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The Zacks Consensus Estimate for ARCB’s first-quarter earnings has been revised downward by 2.3% in the past 60 days. However, the company has an impressive earnings surprise history, having outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 31.4%.
Let’s see how things are shaping up for ArcBest this earnings season.
With strong freight market conditions, increased customer demand and higher pricing are expected to have driven the Asset-Based segment’s (accounts for bulk of the top line) performance in the first quarter. Network resource allocation to cater to less-than-truckload (LTL) customers is likely to have boosted tonnage and shipments in the segment. The Zacks Consensus Estimate for revenues at the Asset-Based segment indicates a 24.3% jump from the year-ago reported number.
The Asset-Light segment is expected to have benefited from favorable market rates owing to strong customer demand amid capacity constraints. The MoLo Solutions acquisition is likely to have resulted in higher truckload brokerage revenues and shipments in the to-be-reported quarter.
However, supply chain disruptions might have resulted in some softness in shipments in the first quarter. Escalating operating expenses, primarily due to increased salaries, wages, as well as benefits and fuel expenses at the Asset-Based segment, and higher purchased transportation costs at the Asset-Light unit, are likely to have dented ArcBest’s bottom line in the to-be-reported quarter.
Earnings Whispers
Our proven Zacks model does not conclusively predict an earnings beat for ArcBest this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, this is not the case here, as elaborated below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: ArcBest has an Earnings ESP of -1.68%% as the Most Accurate Estimate is pegged at $2.05, below the Zacks Consensus Estimate of $2.08. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: ArcBest carries a Zacks Rank #3.
Highlights of Q4 Earnings
ArcBest’s fourth-quarter 2021 earnings of $2.79 per share beat the Zacks Consensus Estimate of $2.21. The bottom line improved more than 100% year over year. Quarterly revenues of $1.19 billion also surpassed the Zacks Consensus Estimate by 7.02%. The top line surged more than 45% year over year.
Stocks to Consider
Investors interested in the broader Transportation sector may consider Old Dominion Freight Line (ODFL - Free Report) and Expeditors International of Washington (EXPD - Free Report) . These companies possess the right combination of elements to beat on earnings in this reporting cycle.
Old Dominion has an Earnings ESP of +1.14% and a Zacks Rank #3. ODFL is set to release first-quarter 2022 earnings numbers on Apr 27.
Old Dominion’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 6.5%.
Expeditors has an Earnings ESP of +3.12% and a Zacks Rank #1. EXPD will announce first-quarter 2022 results on May 3.
Expeditors’ earnings also trumped the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 34.2%.
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What's in the Offing for ArcBest (ARCB) in Q1 Earnings?
ArcBest Corporation (ARCB - Free Report) is scheduled to report first-quarter 2022 results on Apr 29, before market open.
The Zacks Consensus Estimate for ARCB’s first-quarter earnings has been revised downward by 2.3% in the past 60 days. However, the company has an impressive earnings surprise history, having outperformed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 31.4%.
Let’s see how things are shaping up for ArcBest this earnings season.
ArcBest Corporation Price and EPS Surprise
ArcBest Corporation price-eps-surprise | ArcBest Corporation Quote
Factors to Note
With strong freight market conditions, increased customer demand and higher pricing are expected to have driven the Asset-Based segment’s (accounts for bulk of the top line) performance in the first quarter. Network resource allocation to cater to less-than-truckload (LTL) customers is likely to have boosted tonnage and shipments in the segment. The Zacks Consensus Estimate for revenues at the Asset-Based segment indicates a 24.3% jump from the year-ago reported number.
The Asset-Light segment is expected to have benefited from favorable market rates owing to strong customer demand amid capacity constraints. The MoLo Solutions acquisition is likely to have resulted in higher truckload brokerage revenues and shipments in the to-be-reported quarter.
However, supply chain disruptions might have resulted in some softness in shipments in the first quarter. Escalating operating expenses, primarily due to increased salaries, wages, as well as benefits and fuel expenses at the Asset-Based segment, and higher purchased transportation costs at the Asset-Light unit, are likely to have dented ArcBest’s bottom line in the to-be-reported quarter.
Earnings Whispers
Our proven Zacks model does not conclusively predict an earnings beat for ArcBest this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat. However, this is not the case here, as elaborated below. You can see the complete list of today’s Zacks #1 Rank stocks here.
Earnings ESP: ArcBest has an Earnings ESP of -1.68%% as the Most Accurate Estimate is pegged at $2.05, below the Zacks Consensus Estimate of $2.08. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Zacks Rank: ArcBest carries a Zacks Rank #3.
Highlights of Q4 Earnings
ArcBest’s fourth-quarter 2021 earnings of $2.79 per share beat the Zacks Consensus Estimate of $2.21. The bottom line improved more than 100% year over year. Quarterly revenues of $1.19 billion also surpassed the Zacks Consensus Estimate by 7.02%. The top line surged more than 45% year over year.
Stocks to Consider
Investors interested in the broader Transportation sector may consider Old Dominion Freight Line (ODFL - Free Report) and Expeditors International of Washington (EXPD - Free Report) . These companies possess the right combination of elements to beat on earnings in this reporting cycle.
Old Dominion has an Earnings ESP of +1.14% and a Zacks Rank #3. ODFL is set to release first-quarter 2022 earnings numbers on Apr 27.
Old Dominion’s earnings surpassed the Zacks Consensus Estimate in each of the preceding four quarters, the average beat being 6.5%.
Expeditors has an Earnings ESP of +3.12% and a Zacks Rank #1. EXPD will announce first-quarter 2022 results on May 3.
Expeditors’ earnings also trumped the Zacks Consensus Estimate in each of the trailing four quarters, the average beat being 34.2%.
Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.