Seeking Alpha
0
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

TravelCenters Of America: Undervalued Play On Stronger U.S. Economy

TravelCenters of America (NYSE:TA) operates in a compelling environment with multiple tailwinds at its back. While low and declining fuel prices will help fuel margins, it should have less of an impact on them relative to their peers because the majority of their fuel revenues come from the trucking industry which operates under variable contracts for diesel fuel prices with TA. The prices TA charges its trucking customers are generally "fixed" in that they are tied to prevailing diesel fuel prices with an embedded profit margin for…