pushed up second-quarter earnings guidance, citing better pricing.
The former Yellow Roadway expects to earn $1.53 to $1.58 a share before items in the quarter, up from a previous estimate of $1.45 to $1.50 a share. Analysts surveyed by Thomson First Call were expecting the freight carrier to earn $1.46 a share on sales of $2.53 billion during the period.
"Overall the quarter is coming in better than our initial expectations," YRC said. "In our view the economy is still healthy, and while our business volumes and cost management remain on track, pricing has been slightly better than we originally expected."
Shares of YRC closed Tuesday at $39, down 13% since the start of the year and down 32% from its 52-week high of $57.08, which was hit last June 28. The price was 6.8 times the 2006 Thomson First Call earnings estimate of $5.41 a share and 6.7 times next year's estimate of $5.79 a share.
In early trading Wednesday, the stock rose $2.55, or 6.4%, to $41.55.