Kirby’s 20% Plunge Drives $380M Trading Volume Surge Entering Top 500 Momentum Stocks as Earnings Rise 17%

On July 31, 2025, Kirby Corporation (KEX) shares fell 20.57% with a trading volume of $0.38 billion, up 335.81% from the prior day. The company reported Q2 2025 earnings of $1.67 per share, a 17% year-over-year increase, driven by $855.5 million in consolidated revenue. Marine transportation segment operating margins reached 20.1%, with inland and coastal operations showing improved pricing and utilization rates. Power generation revenue surged 31% year-over-year in the distribution and services segment, while oil and gas operating income rose 182% despite revenue declines. Kirby repurchased 331,900 shares for $31.2 million during the quarter.

Management highlighted strong execution in dynamic market conditions, with inland barge utilization in the low to mid-90% range and coastal utilization in the mid to high-90% range. Pricing gains were supported by limited vessel availability and disciplined contract renewals. The distribution and services segment saw growth across power generation and commercial markets, though oil and gas faced challenges from reduced conventional activity. Free cash flow generation and a debt-to-capitalization ratio of 24.8% underscored financial discipline.

Outlook for 2025 remains cautious, with expected earnings growth of 15–25% amid trade policy uncertainties and demand softness in certain sectors. Inland marine utilization is projected to moderate to the low 90% range in Q3, while coastal operations are expected to maintain high teens margins. Management emphasized capital discipline and adaptability to evolving macroeconomic conditions.

A strategy of purchasing the top 500 stocks by daily trading volume and holding for one day generated a 166.71% return from 2022 to July 2025, outperforming the benchmark by 137.53%. The approach leveraged market momentum and liquidity trends, demonstrating resilience despite volume fluctuations.