A month has gone by since the last earnings report for Old Dominion Freight Line (ODFL Quick QuoteODFL - Free Report) . Shares have added about 13.9% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Old Dominion due for a pullback? 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.

In-Line Earnings at Old Dominion in Q3

Old Dominion Freight Line’s third-quarter 2024 earnings per share of $1.43 was in line with the Zacks Consensus Estimate but decreased 7.1% year over year. Revenues of $1.47 billion fell short of the Zacks Consensus Estimate of $1.51 billion and decreased 3% year over year. A 4.8% decrease in less-than-truckload (“LTL”) tons per day hurt results.

Revenues from LTL services came in at $1.46 billion, down 2.9% year over year. Segmental revenues were below our projection of $1.53 billion. Revenues from other services fell 6.5% to $13.1 million, which was just below our projection of $13.7 million.

In the quarter under review, LTL weight per shipment dipped 1.4% and LTL revenue per shipment inched up 0.1%. LTL shipments and LTL shipments per day were down 1.9% and 3.4%, respectively, on a year-over-year basis. LTL revenue per hundredweight increased 1.5%.

Total operating expenses remained flat at $1.07 billion. Operating income decreased 9.7% to $401.8 million.

Old Dominion exited the September quarter with cash and cash equivalents of $74.2 million compared with $433.8 million in 2023-end. Long-term debt at the end of the quarter was $40 million compared with $60 million at 2023-end. Capital expenditures were $242.8 million. The matric incurred in the reported quarter.

The company paid out dividends worth $168.2 million and repurchased its shares worth $824.8 million in the first nine months of the year. For 2024, ODFL anticipates total capital expenditures to be $750 million. Of the total, $350 million is anticipated to be invested in real estate and service center expansion projects, $325 million in tractors and trailers and $75 million in information technology and other assets.

How Have Estimates Been Moving Since Then?

It turns out, fresh estimates have trended downward during the past month.

The consensus estimate has shifted -9.5% due to these changes.

VGM Scores

Currently, Old Dominion has a nice Growth Score of B, though it is lagging a lot on the Momentum Score front with a D. Charting a somewhat similar path, the stock was allocated a grade of F on the value side, putting it in the bottom 20% quintile for this investment strategy.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Old Dominion has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.

Performance of an Industry Player

Old Dominion belongs to the Zacks Transportation - Truck industry. Another stock from the same industry, JB Hunt (JBHT Quick QuoteJBHT - Free Report) , has gained 3.3% over the past month. More than a month has passed since the company reported results for the quarter ended September 2024.

JB Hunt reported revenues of $3.07 billion in the last reported quarter, representing a year-over-year change of -3%. EPS of $1.49 for the same period compares with $1.80 a year ago.

JB Hunt is expected to post earnings of $1.68 per share for the current quarter, representing a year-over-year change of +14.3%. Over the last 30 days, the Zacks Consensus Estimate has changed -0.1%.

The overall direction and magnitude of estimate revisions translate into a Zacks Rank #3 (Hold) for JB Hunt. Also, the stock has a VGM Score of B.