Trucker Swift Transportation to rally 29% as pricing improves next year, JPMorgan says

A Swift truck is driven down the I-10 highway, just west of downtown Phoenix
Dave Cruz | Bloomberg | Getty Images

JPMorgan raised its rating on Swift Transportation shares to overweight from neutral, saying the trucking company offers the most leverage to an industry recovery in 2017.

"We are upgrading SWFT based on our view that the stock provides the most attractive risk/reward in a group already anticipating a turn in the TL [truckload] cycle," analyst Brian Ossenbeck wrote in a note to clients Thursday.

"Truckload carriers stand to gain from a turn in the TL cycle, as reduced capacity plus improved demand bring realized rates positive in 2017 with further growth in 2018."

Swift Transportation shares are up 80 percent this year as investors are looking forward to a potentially better economic environment.