12:24 PM EDT, 10/22/2025 (MT Newswires) -- C.H. Robinson Worldwide ( CHRW ) has room to run amid a muted demand backdrop, UBS said in a note Wednesday.

The report said investor sentiment remains broadly positive on the stock, but concerns have developed over risks of a sharp decline in 2026 truckload capacity and cycle pressures.

UBS said the company could deploy technology and lean initiatives to cut operating expense to improve its gross margin.

"Against an uncertain cycle backdrop we believe productivity &

execution are key levers," the report said.

The report also said investors are still in a phase of developing an understanding of what the use of new technology, including AI and AI agents, can do for transports.

"We expect rising visibility to how these technologies can be applied in brokerage and forwarding to provide a multiyear tailwind for CHRW stock," the note said.

UBS kept its buy rating on the stock with a price target of $166.

Price: 128.88, Change: +0.59, Percent Change: +0.46