Old Dominion Freight Line’s (ODFL - Free Report) fourth-quarter 2020 earnings per share of $1.61 outpaced the Zacks Consensus Estimate of $1.57. Moreover, the bottom line surged 34.2% year over year. This upside was driven by a record improvement in the operating ratio (operating expenses as a percentage of revenues) on the back of the company’s cost-containment efforts.
Revenues of $1073.4 million surpassed the Zacks Consensus Estimate of $1039.9 million and also increased 6.4% year over year on a 4.9% rise in LTL (Less-Than-Truckload) tons.
Management stated in the press release that all prior-period share and per share data are adjusted to reflect the three-for-two stock split effectuated last year.
Other Details
In the quarter under review, Old Dominion reported a 2.4% increase in LTL shipments per day. LTL revenue per hundredweight inched up 1.1%. Moreover, LTL revenue per hundredweight excluding fuel surcharges climbed 4.2%. LTL weight per shipment and LTL revenue per shipment rose 2.5% and 3.7%, respectively.
Revenues from the company’s major revenue-generating segment LTL services logged a total of $1057.9 million, increasing 6.2% year over year. Revenues from other services rose 22.8% to $15.5 million. Total operating expenses decreased to $819.1 million, mainly owing to the 11.3% reduction in operating supplies and expenses.
Moreover, operating ratio improved 500 basis points year over year to 76.3%. Notably, lower the value of this metric, the better.
Old Dominion exited the quarter with cash and cash equivalents worth $401.4 million compared with $403.6 million at the end of 2019. Capital expenditures incurred in the reported quarter were $58.6 million and $225.1 million for 2020. Old Dominion expects a capex of $605 million for 2021. Of the total, $275 million is anticipated to be invested in real estate and service-center expansion. The company expects to spend $290 million and $40 million on tractors and trailers, and information technology and other assets, respectively.
Dividend Update
The company’s board of directors declared a first-quarter 2021 dividend of 20 cents per share (annualized: 80 cents), payable Mar 17, 2021 to its shareholders of record at the close of business on Mar 3. After taking into account the three-for-two stock split, this dividend payment represents a 33.3% increase from the quarterly cash dividend paid out in the first quarter of 2020.
Moreover, during the fourth quarter of 2020, Old Dominion, currently carrying a Zacks Rank # 3 (Hold), rewarded its shareholders to the tune of $74.8. The trucking company shelled out $435.1 million to its shareholders in 2020 through share buybacks ($364.1 million) and dividends ($71 million). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Other Trucking Stocks Performed
Let’s take a look at some other recently released earnings reports from the Zacks Transportation-Truck sector.
J.B. Hunt Transport Services (JBHT - Free Report) reported earnings of $1.44 per share, beating the Zacks Consensus Estimate of $1.27. Total operating revenues of $2,737.7 million also surpassed the Zacks Consensus Estimate of $2,514.3 million.
Landstar System’s (LSTR - Free Report) earnings (excluding 31 cents from non-recurring items) of $2.01 per share surpassed the Zacks Consensus estimate of $1.75. The bottom line also surged 58.3% year over year on higher revenues. Revenues of $1,296.4 million outperformed the Zacks Consensus Estimate of $1,189.6 million and also jumped 30.3% year over year.
Knight-Swift Transportation Holdings’ (KNX - Free Report) earnings (excluding 10 cents from non-recurring items) of 94 cents per share surpassed the Zacks Consensus Estimate of 91 cents. Moreover, the bottom line soared 70.9% year over year owing to a significant improvement in the adjusted operating ratio across all segments. Total revenues of $1,278 million beat the Zacks Consensus Estimate of $1,275.9 million and also increased 6.8% year over year.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Old Dominion Freight Line’s (ODFL - Free Report) fourth-quarter 2020 earnings per share of $1.61 outpaced the Zacks Consensus Estimate of $1.57. Moreover, the bottom line surged 34.2% year over year. This upside was driven by a record improvement in the operating ratio (operating expenses as a percentage of revenues) on the back of the company’s cost-containment efforts.
Revenues of $1073.4 million surpassed the Zacks Consensus Estimate of $1039.9 million and also increased 6.4% year over year on a 4.9% rise in LTL (Less-Than-Truckload) tons.
Management stated in the press release that all prior-period share and per share data are adjusted to reflect the three-for-two stock split effectuated last year.
Other Details
In the quarter under review, Old Dominion reported a 2.4% increase in LTL shipments per day. LTL revenue per hundredweight inched up 1.1%. Moreover, LTL revenue per hundredweight excluding fuel surcharges climbed 4.2%. LTL weight per shipment and LTL revenue per shipment rose 2.5% and 3.7%, respectively.
Revenues from the company’s major revenue-generating segment LTL services logged a total of $1057.9 million, increasing 6.2% year over year. Revenues from other services rose 22.8% to $15.5 million. Total operating expenses decreased to $819.1 million, mainly owing to the 11.3% reduction in operating supplies and expenses.
Moreover, operating ratio improved 500 basis points year over year to 76.3%. Notably, lower the value of this metric, the better.
Old Dominion exited the quarter with cash and cash equivalents worth $401.4 million compared with $403.6 million at the end of 2019. Capital expenditures incurred in the reported quarter were $58.6 million and $225.1 million for 2020. Old Dominion expects a capex of $605 million for 2021. Of the total, $275 million is anticipated to be invested in real estate and service-center expansion. The company expects to spend $290 million and $40 million on tractors and trailers, and information technology and other assets, respectively.
Dividend Update
The company’s board of directors declared a first-quarter 2021 dividend of 20 cents per share (annualized: 80 cents), payable Mar 17, 2021 to its shareholders of record at the close of business on Mar 3. After taking into account the three-for-two stock split, this dividend payment represents a 33.3% increase from the quarterly cash dividend paid out in the first quarter of 2020.
Moreover, during the fourth quarter of 2020, Old Dominion, currently carrying a Zacks Rank # 3 (Hold), rewarded its shareholders to the tune of $74.8. The trucking company shelled out $435.1 million to its shareholders in 2020 through share buybacks ($364.1 million) and dividends ($71 million). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
How Other Trucking Stocks Performed
Let’s take a look at some other recently released earnings reports from the Zacks Transportation-Truck sector.
J.B. Hunt Transport Services (JBHT - Free Report) reported earnings of $1.44 per share, beating the Zacks Consensus Estimate of $1.27. Total operating revenues of $2,737.7 million also surpassed the Zacks Consensus Estimate of $2,514.3 million.
Landstar System’s (LSTR - Free Report) earnings (excluding 31 cents from non-recurring items) of $2.01 per share surpassed the Zacks Consensus estimate of $1.75. The bottom line also surged 58.3% year over year on higher revenues. Revenues of $1,296.4 million outperformed the Zacks Consensus Estimate of $1,189.6 million and also jumped 30.3% year over year.
Knight-Swift Transportation Holdings’ (KNX - Free Report) earnings (excluding 10 cents from non-recurring items) of 94 cents per share surpassed the Zacks Consensus Estimate of 91 cents. Moreover, the bottom line soared 70.9% year over year owing to a significant improvement in the adjusted operating ratio across all segments. Total revenues of $1,278 million beat the Zacks Consensus Estimate of $1,275.9 million and also increased 6.8% year over year.
5 Stocks Set to Double
Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
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