Exploring Knight-Swift Transportation Holdings Inc. (KNX) Investor Profile: Who’s Buying and Why?

You're looking at Knight-Swift Transportation Holdings Inc. (KNX) and wondering if the big money is still on the road, right? The short answer is yes, but the map is getting complicated, especially after a mixed Q3 2025 where total revenue climbed to $1.9 billion, but GAAP net income plummeted to just $7.9 million due to heavy charges. This is a classic case of institutional conviction running head-on into near-term freight cycle headwinds. With nearly 88.8% of the stock held by institutions, the real question isn't if the whales are involved, but who is buying the dip and who is heading for the exit. We saw FMR LLC aggressively add over 4.3 million shares-a 50.2% portfolio increase-worth an estimated $190.4 million, which defintely signals a long-term view on the transportation giant's $7.47 billion TTM revenue scale. But is that conviction enough to offset the broader institutional selling pressure we've seen? You need to know if the giants like Vanguard Group Inc. and BlackRock, Inc. are holding steady, so let's unpack the 13F filings to see the actual risk-adjusted moves being made.

Who Invests in Knight-Swift Transportation Holdings Inc. (KNX) and Why?

The investor profile for Knight-Swift Transportation Holdings Inc. (KNX) is dominated by large, professional money managers, which tells you a lot about how the market views this stock. The direct takeaway is that KNX is primarily an institutional holding, meaning big firms are betting on its long-term stability and cyclical recovery.

As of late 2025, institutional investors-think massive entities like mutual funds, pension funds, and insurance companies-hold a staggering portion of the company's shares, hovering around 88.8% of the outstanding stock. This is a huge concentration, and it means the stock price movements are often driven by the quarterly rebalancing and strategic shifts of these giants, not so much by the average retail investor.

Major players in this space include Vanguard Group Inc., BlackRock, Inc., and Fmr Llc, all of whom hold significant positions. For retail investors, this high institutional ownership can be a double-edged sword: it signals professional confidence, but it can also lead to sharp, sudden drops if a few large funds decide to sell.

• Vanguard Group Inc. is a top holder.
• BlackRock, Inc. also maintains a substantial stake.
• Retail investors own the remaining, smaller piece.

The Dual Motivation: Growth and Income

Investors are attracted to Knight-Swift Transportation Holdings Inc. for two main, often conflicting, reasons: a reliable dividend and the promise of a massive earnings rebound. The dividend is a steady anchor, currently at an annual rate of $0.72 per share, representing a yield of approximately 1.6% to 1.72%. The company has a solid track record, having increased its dividend for 6 consecutive years. This makes it a decent pick for income-focused portfolios, especially pension funds.

But the real excitement is the growth story. The transportation sector is cyclical (meaning it follows the economy), and many investors are positioning for the next upswing. Analysts are forecasting a significant jump in profitability, with an expected 20% annualized growth off 2025 levels, anticipating a sharp recovery from the depressed earnings environment. This is what attracts the growth funds and hedge funds-they see a deep value play here.

Here's the quick math on the 2025 earnings picture: analysts predict the company will post $2.13 in earnings per share (EPS) for the full fiscal year 2025. That's a huge leap from the trailing EPS reported earlier in the year, and it's defintely what the market is trading on right now. You can dive deeper into the financial mechanics in Breaking Down Knight-Swift Transportation Holdings Inc. (KNX) Financial Health: Key Insights for Investors.

Strategies: Long-Term Value vs. Short-Term Volatility

The investment strategies seen in Knight-Swift Transportation Holdings Inc. are split, reflecting the company's position as a mature but cyclical industry leader. Long-term holders, like the big index funds, employ a passive, buy-and-hold strategy (Schedule 13G investors), betting on the company's scale and market dominance over a decade or more. They own it because it's a core part of the US industrials sector.

On the flip side, active managers, including hedge funds, are using more tactical strategies. They're engaging in short-term trading to capitalize on the volatility inherent in a transportation stock that's moving through a difficult part of its cycle. They are looking to profit from the difference between the current stock price and the consensus average price target of around $53.65. Honestly, it's a classic value investing scenario: buy a quality company when its cyclical earnings are low, then wait for the rebound.

What this estimate hides, still, is the risk of a prolonged freight recession, which could delay that earnings recovery. Short-term traders are capitalizing on the quarterly earnings misses, like the Q3 2025 EPS of $0.32 which fell short of the $0.38 consensus estimate. That kind of volatility is a short-term trader's bread and butter.

Let's look at the institutional breakdown:

Next step: Review your own portfolio's exposure to cyclical stocks and decide if you're positioned for the projected 20% earnings growth. Owner: Portfolio Manager.

Institutional Ownership and Major Shareholders of Knight-Swift Transportation Holdings Inc. (KNX)

If you're looking at Knight-Swift Transportation Holdings Inc. (KNX), the first thing to understand is that the stock is overwhelmingly controlled by professional money managers. This isn't a retail-driven story; institutional investors-the big players like pension funds and mutual funds-hold the keys. As of the Q3 2025 filings, these institutions own a staggering 88.77% of the shares outstanding, a figure that shows high conviction, but also means any collective shift in their sentiment can hit the stock hard. The total institutional value of their long positions was around $7.62 billion as of mid-November 2025. You need to know who these investors are, because their decisions move the market.

Top Institutional Investors and Their Stakes

The top institutional investors in Knight-Swift Transportation are a list of the usual suspects, largely passive index funds and massive asset managers. They hold these shares for different reasons, but their sheer size makes them critical stakeholders. Here's a quick look at the top holders based on their September 30, 2025, 13F filings, which represent the Q3 2025 position data.

Notice that the top two-Vanguard and BlackRock-are largely passive index fund managers. They hold KNX simply because it's a major component of the indices they track, like the S&P Mid-Cap 400. Their buying or selling is less about a view on the company's strategy and more about fund flows into their index products. The real signal comes from the active managers.

Recent Shifts in Institutional Ownership

The third quarter of 2025 showed a mixed, but telling, picture. Overall, institutions sold a net of over 100 million shares in the last quarter, which is a significant outflow. This happened right as the company reported Q3 2025 Adjusted EPS of $0.32, missing analyst expectations of $0.38, and revenue of $1.72 billion against a consensus of $1.91 billion.

• Wellington Management Group Llp cut its stake by a substantial 3.58 million shares, a clear sign of an active manager reducing exposure to a difficult freight market.
• BlackRock, Inc. and Vanguard Group Inc. also saw minor decreases, selling a combined total of over 524,000 shares, likely due to index rebalancing or slight fund outflows.
• Conversely, active managers like Fmr Llc (Fidelity) and a new entrant, D1 Capital Partners L.P., were net buyers. D1 Capital Partners L.P. purchased a new position of 3,730,000 shares, which shows a strong, contrarian bet on a turnaround or strategic value.

This tells me that while the passive money is stable, active managers are split: some are taking profits or reducing risk in a soft freight cycle, and others are buying the dip, seeing value in the stock at its November 2025 price of around $42.97 per share. It's a classic divergence in sentiment. You defintely see this pattern in cyclical industries.

Impact of Institutional Investors on KNX Stock and Strategy

The sheer volume of institutional ownership-nearly 90%-means these investors play a direct and powerful role in Knight-Swift's stock price and corporate strategy. When a few large funds like Wellington sell off millions of shares, it creates a downward pressure that retail investors can't counteract. This is why the stock price dropped by 23.54% between November 2024 and November 2025.

Here's the quick math: with only about 11% of the stock truly in the hands of retail or smaller investors, the institutional block acts as a massive anchor. Their confidence is paramount. When they see the Truckload segment's Adjusted Operating Income decline by 15.0% in Q3 2025, they demand a clear strategic response.

Their influence is also strategic. High institutional ownership encourages management to focus on long-term, capital-intensive plays. For KNX, this means supporting the aggressive expansion of the Less-than-Truckload (LTL) segment, which saw a 21.5% revenue increase (excluding fuel surcharge) in Q3 2025. They are essentially greenlighting the company's shift toward a more diversified, less-cyclical business model. If you want to dive deeper into the company's long-term view, check out the Mission Statement, Vision, & Core Values of Knight-Swift Transportation Holdings Inc. (KNX).

The net result of this high institutional control is a focus on operational efficiency and shareholder returns, evidenced by the recently declared quarterly dividend of $0.18 per share, representing an annualized yield of about 1.6%. Their presence keeps management focused on maximizing returns on invested capital (ROIC), even during a tough freight recession.

Key Investors and Their Impact on Knight-Swift Transportation Holdings Inc. (KNX)

You're looking at Knight-Swift Transportation Holdings Inc. (KNX) and trying to figure out who the big players are and what their moves mean for the stock. The direct takeaway is that KNX is overwhelmingly owned by institutions-nearly 90% of the stock-which means passive index funds like Vanguard and BlackRock drive stability, but active managers and hedge funds are signaling a split view on the near-term freight market recovery.

As of late 2025, institutional investors hold a massive amount, totaling over 191.45 million shares, representing a significant portion of the company. This isn't just a handful of funds; there are over 900 institutional owners. This high concentration means company decisions often require a nod from these large shareholders, especially on capital allocation like the quarterly cash dividend, which was recently declared at $0.18 per share.

The Vanguard and BlackRock Effect: Passive Giants

The largest shareholders are the titans of passive investing: Vanguard Group Inc and BlackRock, Inc. These firms, along with others like Fmr Llc and Wellington Management Group Llp, hold massive stakes primarily through index funds (like the iShares Core S&P Mid-Cap ETF). Their investment thesis is straightforward: they own KNX because it's a component of the major indices they track.

• Passive ownership provides a strong, stable floor for the stock price.
• Their influence is generally passive, focused on governance and long-term stability.
• They rarely push for operational changes, but they defintely vote on major corporate actions.

This passive ownership base means that the stock's day-to-day volatility is less about their buying/selling and more about the active investors reacting to sector news, like the Q3 2025 results where revenue hit $1.93 billion but adjusted earnings per share (EPS) missed estimates at $0.32.

Active Funds and Recent Buying/Selling Signals

While the index funds are steady, the active managers and hedge funds are where you see conviction-or lack thereof-in the trucking cycle. Their recent moves show a divergence of opinion on when the freight market will truly turn around. This is a crucial signal for you to watch, as these active funds are betting on a shorter time horizon than the passive giants.

Here's a snapshot of notable activity from the Q2 2025 13F filings:

The large boost by Primecap Management Co. CA and the new position from Todd Kantor's Encompass Capital Advisors suggest a belief that the current low valuations-driven by a soft freight market and Q4 2025 guidance of $0.340-$0.400 adjusted EPS-present a compelling entry point for a turnaround. They are likely buying the dip, betting on the strength of KNX's Less-Than-Truckload (LTL) expansion and cost control measures. On the flip side, Larry Robbins' Glenview Capital Management trimming its position suggests a view that the market headwinds, like the ongoing margin pressures, will persist longer than anticipated.

Investor Influence and Actionable Insights

The influence of these active investors is felt most acutely when KNX reports earnings or announces a major acquisition. When a fund like Primecap makes a large, concentrated bet, it signals confidence in management's long-term strategy, especially their ability to integrate the U.S. Xpress acquisition and improve the operating ratio (a measure of efficiency). The hedge fund activity, particularly the new buys, suggests that the market is now pricing in a bottom for the trucking cycle, even if the Q3 2025 operating margin was a challenging 2.6%.

For a deeper dive into the company's operational strength, you should read Breaking Down Knight-Swift Transportation Holdings Inc. (KNX) Financial Health: Key Insights for Investors. The split in active investor sentiment is your signal to be selective. If you believe the freight market will rebound in 2026, following the company's cautious Q4 2025 guidance, then mirroring the buyers is a clear action. If you think the cycle is still soft, patience is your best move.

Next Step: Compare the average buy-in price of the recent hedge fund buyers to the current stock price to gauge their conviction level.

Market Impact and Investor Sentiment

You're looking at Knight-Swift Transportation Holdings Inc. (KNX) and seeing a mixed signal, and honestly, that's exactly what the data shows right now. The overall investor sentiment is best described as cautiously optimistic, but with a serious layer of realism baked in following a tough year for the freight market. Institutional investors, the big money like pension funds and hedge funds, still hold the vast majority, owning approximately 88.8% of the company's shares.

That level of institutional conviction is defintely a vote of confidence in the long-term strategy, especially the expansion into less-than-truckload (LTL) shipping. But still, the internal view is more measured. Insiders, the executives who know the business best, have been net sellers, with the Chief Administrative Officer (CAO) selling 4,300 shares recently. This divergence-big institutions buying the long-term story while insiders take some chips off the table-is a classic sign of a company navigating a cyclical trough.

Here's the quick math on the ownership structure:

• Institutional Ownership: ~88.8%
• Insider Ownership: ~3%
• Consensus Analyst Rating: Moderate Buy (based on 20 analysts)

Recent Market Reactions: The Q3 2025 Shock

The stock market has responded to Knight-Swift Transportation Holdings Inc.'s recent performance with a sharp correction. The stock has plunged a significant 21.1% year-to-date through November 2025, which is slightly worse than the broader Transportation - Truck industry's decline of 20.3%. That's a tough road to travel.

The biggest catalyst for this negative reaction was the Q3 2025 earnings report released in October. The company missed Wall Street's expectations on both the top and bottom lines, reporting earnings per share (EPS) of just $0.32, missing the consensus estimate of $0.38. Revenue also came in light at $1.72 billion, falling short of the $1.91 billion consensus. This shortfall immediately intensified analyst and legal scrutiny, as it reinforced concerns about persistently weak freight demand and margin pressures. The market hates a surprise, and this was a big one.

Even the Q2 2025 results, which showed a 17.2% year-over-year increase in adjusted operating income, only led to a slight dip of 1.24% in premarket trading, showing how cautious investors were even on good news. For more background on how the company got here, you can check out Knight-Swift Transportation Holdings Inc. (KNX): History, Ownership, Mission, How It Works & Makes Money.

Analyst Perspectives: Risks and Opportunities

Wall Street's perspective on Knight-Swift Transportation Holdings Inc. is a classic risk/reward calculation. The consensus price target from analysts sits around $53.29 to $54.00, suggesting a potential upside of over 20% from the current price. This bullish view rests on the company's strong foundation in asset-based trucking, which accounts for approximately 82% of its revenue.

However, the near-term risks are clear, concrete, and driving the stock's recent performance. The primary drag is cost inflation and operational inefficiency in new segments. In Q3 2025, total operating expenses surged by 4.5% year over year, with fuel expenses alone jumping 4% to $221.8 million. Plus, the intermodal operations are struggling with an operating ratio (a measure of efficiency, where lower is better) of 102%, meaning they are spending $1.02 for every $1.00 of revenue.

The analyst community is split on the near-term outlook, which you can see in the range of price targets, from a low of $42 to a high of $67. The downward revision of the Zacks Consensus Estimate for the December quarter's earnings by 20.8% in the past 60 days shows the lack of confidence in a quick turnaround. The opportunity is in the projected 2025 full-year EPS of $1.33, which would be an 83.23% increase from the prior year, assuming the freight market starts to recover late in the year.

To be fair, the company has set Q4 2025 EPS guidance between $0.340 and $0.400, a modest improvement from the Q3 miss. The action item for you is simple: watch the Q4 earnings call for concrete evidence of the LTL integration costs dropping and the intermodal operating ratio improving below 100%. Finance: track adjusted operating ratio for LTL and Intermodal segments by next quarter's report.