Shares of global logistics firm C.H. Robinson experienced a notable decline earlier this month amid investor concern that emerging AI-enabled freight platforms could disrupt traditional brokerage businesses. Management has pushed back on that narrative, arguing the market reaction was temporary and that the firm’s existing advantages are not easily replicated.
On February 12, C.H. Robinson stock suffered its largest one-day drop in about two years, a move that coincided with a broader pullback across transportation and logistics equities after headlines highlighted new AI-driven freight solutions. The share price later regained some lost ground but traded down 6.1% at $178.44 in afternoon trading on Monday.
The selloff followed comments from AI-technology company Algorhythm Holdings that its SemiCab platform has helped customers scale freight volumes by 300% to 400% without adding operational headcount. Those figures appear to have triggered investor concern about potential threats to incumbent brokers.
In response, C.H. Robinson’s chief executive described the stock decline as a "short-term reaction," pointing to the company’s scale and "vast proprietary data set" as competitive advantages that are costly and difficult for rivals to replicate. "We’re going to go into agentic artificial intelligence that’s going to make us faster and even better," the CEO said, signaling the firm’s intention to integrate more advanced AI capabilities into its operations.
Executives also forecast an acceleration in industry consolidation as smaller firms find it hard to compete in an environment where large datasets and deep domain expertise are prerequisites for effective AI deployment. The CEO emphasized that such capabilities cannot be built quickly, even with fresh capital.
Last month, C.H. Robinson reported fourth-quarter profit that exceeded Wall Street estimates. Management attributed part of that outperformance to efficiencies gained from AI, which helped streamline operations and reduce manual processes across routine functions.
Separately, promotional material included in public commentary referenced a stock selection tool called ProPicks AI, which evaluates CHRW and other companies using a broad set of financial metrics. That material highlighted the tool’s approach to identifying risk-reward opportunities and cited past winners as illustrative examples.
Contextual note: The article reports on share-price moves, management comments, vendor claims about AI platform scale, and company-reported quarterly results. It does not include additional external analysis or projections beyond these stated facts.