Houlihan Lokey – Transportation Technology Update, Q3 2024

Houlihan Lokey has released its "Transportation Technology Update" for the third quarter of 2024, offering insights into the latest trends and market activities within the transportation technology sector. The report notes significant volatility in technology stocks during Q3, with notable drawdowns followed by recoveries. In contrast to previous quarters, mid-cap and small-cap stocks outperformed mega-cap companies, contributing to the Transportation Technology Index's best quarter of the year. The Federal Reserve's interest rate cut in September introduced some uncertainty regarding the economy's strength but is also viewed as potentially favorable for private equity activity. The M&A market has stabilized, with increasing activity levels observed. The report emphasizes the importance of monitoring developments across eight primary transportation sectors: automotive, aviation, maritime, off-road, transit and mobility, rail, supply chain and logistics, and trucking.