Latest news with #C.H.RobinsonWorldwide
Yahoo
23-05-2025
- Business
- Yahoo
Winners And Losers Of Q1: C.H. Robinson Worldwide (NASDAQ:CHRW) Vs The Rest Of The Air Freight and Logistics Stocks
As the craze of earnings season draws to a close, here's a look back at some of the most exciting (and some less so) results from Q1. Today, we are looking at air freight and logistics stocks, starting with C.H. Robinson Worldwide (NASDAQ:CHRW). The growth of e-commerce and global trade continues to drive demand for expedited shipping services, presenting opportunities for air freight companies. The industry continues to invest in advanced technologies such as automated sorting systems and real-time tracking solutions to enhance operational efficiency. Despite the advantages of speed and global reach, air freight and logistics companies are still at the whim of economic cycles. Consumer spending, for example, can greatly impact the demand for these companies' offerings while fuel costs can influence profit margins. The 6 air freight and logistics stocks we track reported a strong Q1. As a group, revenues were in line with analysts' consensus estimates while next quarter's revenue guidance was 3.5% below. In light of this news, share prices of the companies have held steady as they are up 1.6% on average since the latest earnings results. Engaging in contracts with tens of thousands of transportation companies, C.H. Robinson (NASDAQ:CHRW) offers freight transportation and logistics services. C.H. Robinson Worldwide reported revenues of $4.05 billion, down 8.3% year on year. This print fell short of analysts' expectations by 4.9%, but it was still a strong quarter for the company with an impressive beat of analysts' EBITDA estimates. "Our first quarter results reflect progress in the disciplined execution of the strategies that we shared at our Investor Day in December — to take market share and expand our margins. We're not waiting for a market recovery to improve our financial results, and the strategies that the Robinson team is executing are relevant in any market environment," said President and Chief Executive Officer, Dave Bozeman. Interestingly, the stock is up 8.3% since reporting and currently trades at $96.52. Is now the time to buy C.H. Robinson Worldwide? Access our full analysis of the earnings results here, it's free. Expeditors (NYSE:EXPD) offers air and ocean freight as well as brokerage services. Expeditors reported revenues of $2.67 billion, up 20.8% year on year, outperforming analysts' expectations by 3.6%. The business had a stunning quarter with a solid beat of analysts' EBITDA estimates and an impressive beat of analysts' adjusted operating income estimates. Expeditors achieved the biggest analyst estimates beat among its peers. The market seems content with the results as the stock is up 3.7% since reporting. It currently trades at $116. Is now the time to buy Expeditors? Access our full analysis of the earnings results here, it's free. Started with $10,000, Hub Group (NASDAQ:HUBG) is a provider of intermodal, truck brokerage, and logistics services, facilitating transportation solutions for businesses worldwide. Hub Group reported revenues of $915.2 million, down 8.4% year on year, falling short of analysts' expectations by 5.7%. It was a softer quarter as it posted full-year revenue guidance missing analysts' expectations. Hub Group delivered the weakest performance against analyst estimates and slowest revenue growth in the group. Interestingly, the stock is up 2.7% since the results and currently trades at $34.05. Read our full analysis of Hub Group's results here. Trademarking its recognizable UPS Brown color, UPS (NYSE:UPS) offers package delivery, supply chain management, and freight forwarding services. United Parcel Service reported revenues of $21.55 billion, flat year on year. This result topped analysts' expectations by 2.1%. Overall, it was a very strong quarter as it also logged an impressive beat of analysts' sales volume estimates and an impressive beat of analysts' EBITDA estimates. The stock is flat since reporting and currently trades at $97.09. Read our full, actionable report on United Parcel Service here, it's free. With notable customers such as Nike and Apple, GXO (NYSE:GXO) manages outsourced supply chains and warehousing for various companies. GXO Logistics reported revenues of $2.98 billion, up 21.2% year on year. This number surpassed analysts' expectations by 1.4%. It was a very strong quarter as it also put up a solid beat of analysts' adjusted operating income estimates. GXO Logistics scored the fastest revenue growth among its peers. The stock is up 6.1% since reporting and currently trades at $40.43. Read our full, actionable report on GXO Logistics here, it's free. As a result of the Fed's rate hikes in 2022 and 2023, inflation has come down from frothy levels post-pandemic. The general rise in the price of goods and services is trending towards the Fed's 2% goal as of late, which is good news. The higher rates that fought inflation also didn't slow economic activity enough to catalyze a recession. So far, soft landing. This, combined with recent rate cuts (half a percent in September 2024 and a quarter percent in November 2024) have led to strong stock market performance in 2024. The icing on the cake for 2024 returns was Donald Trump's victory in the U.S. Presidential Election in early November, sending major indices to all-time highs in the week following the election. Still, debates around the health of the economy and the impact of potential tariffs and corporate tax cuts remain, leaving much uncertainty around 2025. Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Quality Compounder Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate. Join Paid Stock Investor Research Help us make StockStory more helpful to investors like yourself. Join our paid user research session and receive a $50 Amazon gift card for your opinions. Sign up here. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
CNBC
22-05-2025
- Business
- CNBC
Transport stock charts aren't saying the economy is fine
Markets stabilized on Thursday after the dual sell-off in stocks and bonds, but a key corner of the equity market is blinking a caution light on the economy. The Dow Jones Transportation Average is headed for a losing week and has fallen back below its pre-April 2 Liberation Day levels. JB Hunt Transport Services and C.H. Robinson Worldwide have both dropped for four straight sessions. The performance of transportation stocks is often seen as a harbinger of the U.S. economy as they serve as an intermediary between producers and end customers. The chart of J.B. Hunt in particular is worrisome, as the stock is down more than 18% year to date. JBHT YTD mountain Shares of JB Hunt are trailing the broader market significantly in 2025. The struggles of transport stocks are not necessarily predictive of an economic downturn, but serve as a reminder that the outlook is still murky. Michael Reynolds, vice president of investment strategy at Glenmede, told CNBC that the odds of a recession have fallen in recent weeks due to the deescalation of tariffs on China and cautioned against reading too much into short-term moves over the past few days. However, his firm's outlook doesn't call for an economic boom, either, even as it sees upside ahead for stocks. "Are we going to get our trend 2-to-2.5% growth in 2025? We don't think so. But there is a sort of muddle-through scenario here that is quite a bit more constructive, I think, for risk assets," Reynolds said. Meager economic growth could be good enough to support corporate earnings and help put a floor under the equity market. However, simply avoiding a recession isn't great news for investors if it takes a large amount of deficit spending by the government to prop up growth, and pushes up bond yields at the same time. "You have a debt problem, there's three ways to get out: you inflate out, you grow out, or you default," John Luke Tyner, head of fixed income at Aptus Capital Advisors, told CNBC. "And we know that default's not an option. Significant austerity measures aren't an option because it doesn't get elected in D.C. ...so some combination of growth and inflation seems likely to persist to get out of this problem, and that's going to pressure long-term yields."
Yahoo
05-05-2025
- Business
- Yahoo
Expeditors Earnings: What To Look For From EXPD
Logistics and freight forwarding company Expeditors (NYSE:EXPD) will be reporting results tomorrow before the bell. Here's what to look for. Expeditors beat analysts' revenue expectations by 4.3% last quarter, reporting revenues of $2.95 billion, up 29.7% year on year. It was a stunning quarter for the company, with a solid beat of analysts' EBITDA estimates. Is Expeditors a buy or sell going into earnings? Read our full analysis here, it's free. This quarter, analysts are expecting Expeditors's revenue to grow 16.6% year on year to $2.57 billion, a reversal from the 14.9% decrease it recorded in the same quarter last year. Adjusted earnings are expected to come in at $1.37 per share. Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Expeditors has missed Wall Street's revenue estimates five times over the last two years. Looking at Expeditors's peers in the transportation and logistics segment, some have already reported their Q1 results, giving us a hint as to what we can expect. United Parcel Service posted flat year-on-year revenue, beating analysts' expectations by 2.1%, and C.H. Robinson Worldwide reported a revenue decline of 8.3%, falling short of estimates by 4.9%. United Parcel Service traded down 1.8% following the results while C.H. Robinson Worldwide was up 1.2%. Read our full analysis of United Parcel Service's results here and C.H. Robinson Worldwide's results here. There has been positive sentiment among investors in the transportation and logistics segment, with share prices up 13% on average over the last month. Expeditors is up 6% during the same time and is heading into earnings with an average analyst price target of $112.51 (compared to the current share price of $112.01). Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Sign in to access your portfolio
Yahoo
02-05-2025
- Business
- Yahoo
C.H. Robinson Worldwide First Quarter 2025 Earnings: EPS Beats Expectations, Revenues Lag
Revenue: US$4.05b (down 8.3% from 1Q 2024). Net income: US$135.3m (up 46% from 1Q 2024). Profit margin: 3.3% (up from 2.1% in 1Q 2024). The increase in margin was driven by lower expenses. EPS: US$1.12 (up from US$0.78 in 1Q 2024). AI is about to change healthcare. These 20 stocks are working on everything from early diagnostics to drug discovery. The best part - they are all under $10bn in marketcap - there is still time to get in early. All figures shown in the chart above are for the trailing 12 month (TTM) period Revenue missed analyst estimates by 4.7%. Earnings per share (EPS) exceeded analyst estimates by 6.1%. Looking ahead, revenue is forecast to grow 3.4% p.a. on average during the next 3 years, compared to a 3.1% growth forecast for the Logistics industry in the US. Performance of the American Logistics industry. The company's share price is broadly unchanged from a week ago. We should say that we've discovered 2 warning signs for C.H. Robinson Worldwide that you should be aware of before investing here. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
Yahoo
01-05-2025
- Business
- Yahoo
C.H. Robinson Worldwide (NASDAQ:CHRW) Misses Q1 Revenue Estimates
Freight transportation intermediary C.H. Robinson (NASDAQ:CHRW) fell short of the market's revenue expectations in Q1 CY2025, with sales falling 8.3% year on year to $4.05 billion. Its non-GAAP profit of $1.17 per share was 11.3% above analysts' consensus estimates. Is now the time to buy C.H. Robinson Worldwide? Find out in our full research report. Revenue: $4.05 billion vs analyst estimates of $4.26 billion (8.3% year-on-year decline, 4.9% miss) Adjusted EPS: $1.17 vs analyst estimates of $1.05 (11.3% beat) Operating Margin: 4.4%, up from 2.9% in the same quarter last year Free Cash Flow was $90.45 million, up from -$55.8 million in the same quarter last year Market Capitalization: $10.55 billion "Our first quarter results reflect progress in the disciplined execution of the strategies that we shared at our Investor Day in December — to take market share and expand our margins. We're not waiting for a market recovery to improve our financial results, and the strategies that the Robinson team is executing are relevant in any market environment," said President and Chief Executive Officer, Dave Bozeman. Engaging in contracts with tens of thousands of transportation companies, C.H. Robinson (NASDAQ:CHRW) offers freight transportation and logistics services. A company's long-term performance is an indicator of its overall quality. Any business can experience short-term success, but top-performing ones enjoy sustained growth for years. Over the last five years, C.H. Robinson Worldwide grew its sales at a sluggish 2.5% compounded annual growth rate. This fell short of our benchmarks and is a rough starting point for our analysis. We at StockStory place the most emphasis on long-term growth, but within industrials, a half-decade historical view may miss cycles, industry trends, or a company capitalizing on catalysts such as a new contract win or a successful product line. C.H. Robinson Worldwide's performance shows it grew in the past but relinquished its gains over the last two years, as its revenue fell by 12.1% annually. C.H. Robinson Worldwide isn't alone in its struggles as the Air Freight and Logistics industry experienced a cyclical downturn, with many similar businesses observing lower sales at this time. C.H. Robinson Worldwide also breaks out the revenue for its most important segments, North American surface transportation and Global Forwarding, which are 70.9% and 19.1% of revenue. Over the last two years, C.H. Robinson Worldwide's North American surface transportation revenue (transportation brokerage) averaged 11.6% year-on-year declines while its Global Forwarding revenue (worldwide ocean, air, customers ) averaged 5.6% declines. This quarter, C.H. Robinson Worldwide missed Wall Street's estimates and reported a rather uninspiring 8.3% year-on-year revenue decline, generating $4.05 billion of revenue. Looking ahead, sell-side analysts expect revenue to grow 2% over the next 12 months. While this projection suggests its newer products and services will fuel better top-line performance, it is still below the sector average. Software is eating the world and there is virtually no industry left that has been untouched by it. That drives increasing demand for tools helping software developers do their jobs, whether it be monitoring critical cloud infrastructure, integrating audio and video functionality, or ensuring smooth content streaming. Click here to access a free report on our 3 favorite stocks to play this generational megatrend. Operating margin is an important measure of profitability as it shows the portion of revenue left after accounting for all core expenses – everything from the cost of goods sold to advertising and wages. It's also useful for comparing profitability across companies with different levels of debt and tax rates because it excludes interest and taxes. C.H. Robinson Worldwide was profitable over the last five years but held back by its large cost base. Its average operating margin of 4.3% was weak for an industrials business. This result isn't too surprising given its low gross margin as a starting point. Looking at the trend in its profitability, C.H. Robinson Worldwide's operating margin might fluctuated slightly but has generally stayed the same over the last five years. This raises questions about the company's expense base because its revenue growth should have given it leverage on its fixed costs, resulting in better economies of scale and profitability. In Q1, C.H. Robinson Worldwide generated an operating profit margin of 4.4%, up 1.5 percentage points year on year. Since its gross margin expanded more than its operating margin, we can infer that leverage on its cost of sales was the primary driver behind the recently higher efficiency. Revenue trends explain a company's historical growth, but the long-term change in earnings per share (EPS) points to the profitability of that growth – for example, a company could inflate its sales through excessive spending on advertising and promotions. C.H. Robinson Worldwide's EPS grew at an unimpressive 6% compounded annual growth rate over the last five years. This performance was better than its flat revenue but doesn't tell us much about its business quality because its operating margin didn't expand. Diving into the nuances of C.H. Robinson Worldwide's earnings can give us a better understanding of its performance. A five-year view shows that C.H. Robinson Worldwide has repurchased its stock, shrinking its share count by 10.3%. This tells us its EPS outperformed its revenue not because of increased operational efficiency but financial engineering, as buybacks boost per share earnings. Like with revenue, we analyze EPS over a shorter period to see if we are missing a change in the business. For C.H. Robinson Worldwide, its two-year annual EPS declines of 14% show it's continued to underperform. These results were bad no matter how you slice the data. In Q1, C.H. Robinson Worldwide reported EPS at $1.17, up from $0.86 in the same quarter last year. This print easily cleared analysts' estimates, and shareholders should be content with the results. Over the next 12 months, Wall Street expects C.H. Robinson Worldwide's full-year EPS of $4.81 to stay about the same. It was encouraging to see C.H. Robinson Worldwide beat analysts' EPS expectations this quarter. On the other hand, its revenue missed significantly due to underperformance in its North American surface transportation segment. Overall, this was a weaker quarter, but the stock traded up 1.6% to $90.53 immediately after reporting. Is C.H. Robinson Worldwide an attractive investment opportunity at the current price? If you're making that decision, you should consider the bigger picture of valuation, business qualities, as well as the latest earnings. We cover that in our actionable full research report which you can read here, it's free. Sign in to access your portfolio
