Back to top

Image: Bigstock

Here's Why You Should Add C.H. Robinson Stock to Your Portfolio Now

Read MoreHide Full Article

C.H. Robinson Worldwide (CHRW - Free Report) is benefiting from its cost-reduction initiatives. The company’s shareholder-friendly initiatives also bode well.

Let us delve deep to unearth the factors working in favor of this Zacks Rank #2 (Buy) stock.

CHRW’s Northward Earnings Estimates: The Zacks Consensus Estimate for current-quarter, current-year and next-year earnings has been revised upward 3.8%, 5.8% and 3.3%, respectively, in the past 60 days. Such favorable estimate revisions reflect brokers’ confidence in the stock.

Given the wealth of information at the brokers’ disposal, it is in the best interest of investors to be guided by their expert advice and the direction of their estimate revisions. This is because it serves as a key indicator in determining the price of a stock.

Impressive Price Performance of CHRW: Shares of CHRW  have gained 29.3% year to date against its industry’s decline of 6.9%.

Zacks Investment ResearchImage Source: Zacks Investment Research

Other Tailwinds of CHRW: C.H. Robinson’s efforts to reward its shareholders through dividends and share buybacks are impressive. In August, CHRW hiked its quarterly dividend by 1.6%. In the third quarter of 2024, CHRW returned $77.1 million of cash to its shareholders, including $73 million in cash dividends and $4.1 million through share repurchases.

Efforts to cut costs are driving the bottom line with revenues being weak due to lackluster freight demand. The earnings beat achieved in the third quarter, despite the freight downturn, underscores the effectiveness of the company's pricing strategies and cost-saving measures. 

Other Stocks to Consider

Some other top-ranked stocks from the Zacks Transportation sector are Westinghouse Air Brake Technologies Corporation, operating as Wabtec (WAB - Free Report) and Expeditors International of Washington, Inc. (EXPD - Free Report) . WAB presently sports a Zacks Rank #1 (Strong Buy), while EXPD carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.

Wabtec, based in Pittsburgh, PA, offers technology-based locomotives, equipment, systems and services for the freight rail and passenger transit industries worldwide.

Wabtec’s top line benefits from higher sales across its Freight and Transit segments. Strong segmental performance driven by an improving economy and restructuring actions have led to a healthy balance sheet that supports its shareholder-friendly stance. EXPD has an impressive earnings surprise history. The company's earnings outpaced the Zacks Consensus Estimate in two of the trailing four quarters (missed the mark once and met in the other quarter), delivering an average surprise of 4.75%.

The Zacks Consensus Estimate for EXPD’s 2024 earnings has been revised 6.4% upward in the past 90 days. EXPD has an expected earnings growth rate of 5.79% for 2024. Shares of EXPD have gained 58.5% so far this year.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


C.H. Robinson Worldwide, Inc. (CHRW) - free report >>

Expeditors International of Washington, Inc. (EXPD) - free report >>

Wabtec (WAB) - free report >>

Published in