Custom Truck One Source Inc

Alta Equipment Group reported second-quarter revenues of $475.5 million, down 1.2% year on year and 3.1% below analysts' expectations, the weakest performance and slowest revenue growth among the eight specialty equipment distributors tracked. The quarter still included beats on analysts' EPS and EBITDA estimates, but the stock is down 17.3% since reporting and trades at $6.10. Across the group, revenues beat consensus by 5.1% on average, yet share prices are down 7.6% on average since the latest results. Richardson Electronics posted the strongest quarter, with revenues of $66.2 million, up 27.6% year on year and 19.6% above expectations, though its stock is down 1.5% at $17.75. SiteOne Landscape Supply reported revenues of $1.53 billion, up 4.7% but 0.7% short of estimates, with a significant miss on EPS and EBITDA, and its stock is down 12.6% at $90.40. Custom Truck One Source reported revenues of $563.4 million, up 10.2% and 8.8% above expectations, and posted the group's highest full-year guidance raise, while Hudson Technologies reported revenues of $78.35 million, up 7.5% and 5.6% above expectations but with a significant EPS miss.

Herc Holdings reported first-quarter revenues of $1.14 billion, up 32.3% year on year and beating analyst estimates by 5.3%, making it the fastest-growing and biggest beat among the eight specialty equipment distributors tracked. The company completed the integration of its H&E acquisition, the largest in industry history, adding 25% more specialty locations and expanding its sales network. However, Herc issued full-year revenue guidance that missed expectations significantly, the weakest update in the group. Richardson Electronics posted the best overall quarter with a 4.4% revenue beat and strong EPS and EBITDA outperformance, while SiteOne Landscape Supply had the weakest results, missing revenue estimates by 4.2% and falling short on operating income and EPS. Custom Truck One Source delivered the highest full-year guidance raise among peers, and Hudson Technologies recorded the highest guidance raise but missed operating income and EPS estimates.

Custom Truck One Source has secured a cooperative purchasing contract through Sourcewell, a move CEO Ryan McMonagle called an important achievement that reinforces customer trust and will help expand partnerships with government agencies across North America. Separately, Cantor Fitzgerald raised its price target on the company from $11 to $13, implying nearly 24% upside, while maintaining an Overweight rating. The firm cited strong investor impressions, expected capex normalization leading to stable free cash flow and deleveraging, and positive demand trends in utility transmission and rental metrics.