How Analysts View Truckload Carriers after Their 2Q17 Earnings
Of the 21 analysts covering JBHT, five hold a “strong buy” opinion, while six analysts recommend a “buy” for the stock.
ATA’s advanced seasonally adjusted For-Hire Truck Tonnage Index rose 0.1% in July after falling 4.4% in June 2017.
J.B. Hunt Transport Services (JBHT) raised its share repurchases by $80.0 million in 1H17 compared with 2Q16.
Swift Transportation (SWFT) has the lowest capex-to-revenues ratio. In 2Q17, this ratio was 4.4% compared with 3.5% in 2Q16.
Only Heartland Express’s (HTLD) OCF-to-revenue ratio has risen in 2Q17 in the peer group. The company’s ratio rose to 19.6% in 2Q17 from 9.5% in 2Q16.
Swift Transportation (SWFT) has the peer group’s highest net debt-to-NTM-EBITDA multiple of 1.6x.
Swift Transportation’s adjusted earnings fell 26.5% in 2Q17 to $0.25 per share from $0.34 per share in 2Q16.
Among the discussed companies, Heartland Express’s (HTLD) fuel cost as a percentage of operating expenses has risen 1.8% in 2Q17 to 19.7%.
The International Brotherhood of Teamsters, a major labor organization in the US, has been fighting against the implementation of legislation on autonomous trucks in the US.
Heartland Express’s operating margin grew 1.2% to 16.4% in 2Q17 compared to 15.2% in 2Q16.
Landstar Systems’ (LSTR) 2Q17 revenues rose 12.3% on a year-over-year basis.
As the dominant force in the US transportation sector, trucks moved ~66% of all US–NAFTA trade in 2016. The performance of the trucking industry is a barometer to assess the US economy.
Expeditors International of Washington (EXPD) sees 30% of its revenues originating in the US and the remainder coming from overseas.
In 2Q17, EXPD’s Customs Brokerage segmental revenues rose 10.1% to $471.8 million from $428.4 million in 2Q16.
While EXPD’s revenues grew 13.4% in 2Q17, its operating expenses rose 16%.
EXPD’s 2Q17 revenues for its Ocean Freight and Ocean Services segment rose 14% to $528.5 million from $464.7 million in 2Q16.
On a year-over-year basis, Expeditors International of Washington’s (EXPD) 2Q17 revenues jumped 13.4% from ~$1.5 billion in 2Q16.
In 2Q17, EXPD’s Airfreight revenues rose 15.4% to $671.8 million from $582.1 million in 2Q16.
Expeditors International of Washington (EXPD) announced its 2Q17 earnings on August 8. The logistics company’s adjusted earnings per share fell 5% to $0.63 in 2Q17 compared with $0.63 in 2Q16.
XPO is covered by 19 analysts, who were surveyed by Thomson Reuters. Their consensus rating for XPO is 1.8, which represents a “buy.”