We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
C.H. Robinson (CHRW) Down 6.1% Since Earnings Report: Can It Rebound?
Read MoreHide Full Article
It has been about a month since the last earnings report for C.H. Robinson Worldwide, Inc. (CHRW - Free Report) . Shares have lost about 6.1% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
First Quarter Earnings
C.H. Robinson's first-quarter 2017 earnings per share of 86 cents beat the Zacks Consensus Estimate of 80 cents. Moreover, earnings increased 3.61% year over year. Results were aided by higher revenues.
Total revenue rose 11.10% year over year to $3415.1 million and beat the Zacks Consensus Estimate of $3328.2 million. Volume growth across all its transportation services drove the top line. Total operating expenses climbed 4.5% year over year to $380.61 million, resulting in an operating ratio (operating expenses as a percentage of net revenue) of 67%, compared with 64.7% in the year-ago quarter.
From fourth-quarter 2016, the company has reporting under three segments – North American Surface Transportation (NAST), Global Forwarding and Robinson Fresh. While total revenue at NAST was $2.3 billion (up 10.5% year over year), revenues at Global Forwarding totaled $468.8 million (up 33.5%) and Robinson Fresh was $550.4 million (down 2.4%).
Below we give a historical presentation of results on an enterprise basis.
Transportation: The unit (comprising Truckload, Intermodal, Less-than-Truckload, Ocean, Air, Customs and Other logistics services) reported net revenue of $538.1 million in the first quarter of 2017, up 0.8% from the year-ago quarter.
Truckload net revenue fell 5.5% year over year to $304.1 million. Meanwhile, net revenue at Less-than-Truckload increased 6.9% year over year to $97.6 million.
Net revenue at the Intermodal segment declined 19.1% year over year to $7.5 million as the presence of alternative lower cost trucks hurt Intermodal opportunities.
Net revenue at the Ocean transportation segment climbed 7.2% year over year to $62.9 million. The same at the Air transportation division rose 18.5% year over year to $21.8 million. Customs net revenue advanced 49.9% to $16.1 million.
Net revenue at Other logistics services jumped 17.2% year over year to $28.1 million on the back of growth in managed services.
Sourcing: Net revenue at the segment increased 3.9% year over year to $30.41 million.
Liquidity
C.H. Robinson exited the first-quarter with cash and cash equivalents of $229.8 million compared with $247.7 million at the end of 2016. Long-term debt was $500 million at the end of the first quarter, unchanged from the figure recorded at the end of 2016.
Liquidity
Sourcing: Net revenue at the segment increased 3.9% year over year to $30.41 million.
Liquidity
Sourcing: Net revenue at the segment increased 3.9% year over year to $30.41 million.
Liquidity
Below we give a historical presentation of results on an enterprise basis.
Transportation: The unit (comprising Truckload, Intermodal, Less-than-Truckload, Ocean, Air, Customs and Other logistics services) reported net revenue of $538.1 million in the first quarter of 2017, up 0.8% from the year-ago quarter.
Below we give a historical presentation of results on an enterprise basis.
Transportation: The unit (comprising Truckload, Intermodal, Less-than-Truckload, Ocean, Air, Customs and Other logistics services) reported net revenue of $538.1 million in the first quarter of 2017, up 0.8% from the year-ago quarter.
Below we give a historical presentation of results on an enterprise basis.
Transportation: The unit (comprising Truckload, Intermodal, Less-than-Truckload, Ocean, Air, Customs and Other logistics services) reported net revenue of $538.1 million in the first quarter of 2017, up 0.8% from the year-ago quarter.
How Have Estimates Been Moving Since Then?
Following the release, investors have witnessed a downward trend in fresh estimates. There have been nine revisions lower for the current quarter. In the past month, the consensus estimate has declined 5.5% due to these changes.
At this time, C.H. Robinson's stock has an average Growth Score of 'C', though it is lagging a lot on the momentum front with an 'F'. However, the stock was allocated a grade of 'B' on the value side, putting it in the top 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'C'. If you aren't focused on one strategy, this score is the one you should be interested in.
Our style scores indicate that the stock is more suitable for value investors than growth investors.
Outlook
Estimates have been broadly trending downward for the stock. The magnitude of this revision also indicates a downward shift. Notably, the stock has a Zacks Rank #3 (Hold). We are looking for in-line returns from the stock in the next few months.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
C.H. Robinson (CHRW) Down 6.1% Since Earnings Report: Can It Rebound?
It has been about a month since the last earnings report for C.H. Robinson Worldwide, Inc. (CHRW - Free Report) . Shares have lost about 6.1% in that time frame, underperforming the market.
Will the recent negative trend continue leading up to the stock's next earnings release, or is it due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important catalysts.
First Quarter Earnings
C.H. Robinson's first-quarter 2017 earnings per share of 86 cents beat the Zacks Consensus Estimate of 80 cents. Moreover, earnings increased 3.61% year over year. Results were aided by higher revenues.
Total revenue rose 11.10% year over year to $3415.1 million and beat the Zacks Consensus Estimate of $3328.2 million. Volume growth across all its transportation services drove the top line. Total operating expenses climbed 4.5% year over year to $380.61 million, resulting in an operating ratio (operating expenses as a percentage of net revenue) of 67%, compared with 64.7% in the year-ago quarter.
From fourth-quarter 2016, the company has reporting under three segments – North American Surface Transportation (NAST), Global Forwarding and Robinson Fresh. While total revenue at NAST was $2.3 billion (up 10.5% year over year), revenues at Global Forwarding totaled $468.8 million (up 33.5%) and Robinson Fresh was $550.4 million (down 2.4%).
Below we give a historical presentation of results on an enterprise basis.
Transportation: The unit (comprising Truckload, Intermodal, Less-than-Truckload, Ocean, Air, Customs and Other logistics services) reported net revenue of $538.1 million in the first quarter of 2017, up 0.8% from the year-ago quarter.
Truckload net revenue fell 5.5% year over year to $304.1 million. Meanwhile, net revenue at Less-than-Truckload increased 6.9% year over year to $97.6 million.
Net revenue at the Intermodal segment declined 19.1% year over year to $7.5 million as the presence of alternative lower cost trucks hurt Intermodal opportunities.
Net revenue at the Ocean transportation segment climbed 7.2% year over year to $62.9 million. The same at the Air transportation division rose 18.5% year over year to $21.8 million. Customs net revenue advanced 49.9% to $16.1 million.
Net revenue at Other logistics services jumped 17.2% year over year to $28.1 million on the back of growth in managed services.
Sourcing: Net revenue at the segment increased 3.9% year over year to $30.41 million.
Liquidity
C.H. Robinson exited the first-quarter with cash and cash equivalents of $229.8 million compared with $247.7 million at the end of 2016. Long-term debt was $500 million at the end of the first quarter, unchanged from the figure recorded at the end of 2016.
How Have Estimates Been Moving Since Then?
Following the release, investors have witnessed a downward trend in fresh estimates. There have been nine revisions lower for the current quarter. In the past month, the consensus estimate has declined 5.5% due to these changes.
C.H. Robinson Worldwide, Inc. Price and Consensus
C.H. Robinson Worldwide, Inc. Price and Consensus | C.H. Robinson Worldwide, Inc. Quote
VGM Scores
At this time, C.H. Robinson's stock has an average Growth Score of 'C', though it is lagging a lot on the momentum front with an 'F'. However, the stock was allocated a grade of 'B' on the value side, putting it in the top 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of 'C'. If you aren't focused on one strategy, this score is the one you should be interested in.
Our style scores indicate that the stock is more suitable for value investors than growth investors.
Outlook
Estimates have been broadly trending downward for the stock. The magnitude of this revision also indicates a downward shift. Notably, the stock has a Zacks Rank #3 (Hold). We are looking for in-line returns from the stock in the next few months.