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Why Is ArcBest (ARCB) Down 2.1% Since Last Earnings Report?
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A month has gone by since the last earnings report for ArcBest (ARCB - Free Report) . Shares have lost about 2.1% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is ArcBest due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for ArcBest Corporation before we dive into how investors and analysts have reacted as of late.
ArcBest Q2 Earnings Beat Estimates, Up Y/Y
ArcBest Corporation reported impressive second-quarter 2026 results, with adjusted earnings surpassing expectations and revenues increasing substantially year over year.
Quarterly adjusted earnings of $2.38 per share beat the consensus estimate of $2.30 by 3.5%. The reported figure increased 75% from $1.36 in the year-ago quarter. Revenues of $1.18 billion missed the consensus mark of $1.19 billion by 0.8%. Nevertheless, the top line increased 15.9% year over year.
On a GAAP basis, ArcBest incurred a loss of 62 cents per share compared with earnings of $1.12 a year ago. The loss primarily reflected impairment and restructuring charges associated with the company’s recently announced restructuring plan.
ARCB’s Segment Performance
Asset-Based revenues increased 9.9% year over year to $783.7 million. Tonnage per day improved 4.9%, driven by an 8% increase in weight per shipment, despite a 2.8% decline in shipments per day.
Billed revenue per shipment increased 12.5%, while billed revenue per hundredweight rose 4.2%. Excluding fuel surcharges, revenue per hundredweight was flat. Customer contract renewals and deferred pricing agreements averaged a 5.8% increase during the second quarter.
Asset-Based operating income advanced 45.5% to $74.3 million. The operating ratio improved 230 basis points to 90.5%. On an adjusted basis, operating income totaled $72.3 million and the operating ratio improved to 90.8% from 92.8% in the prior-year quarter.
Sequentially, Asset-Based daily revenues increased 17.8%, while the adjusted operating ratio improved 650 basis points. Pricing initiatives, higher fuel-surcharge revenues, cost optimization, network efficiency and technology-driven productivity supported the improvement.
Asset-Light revenues surged 28.3% year over year to $438.7 million. Shipments per day increased 14.6%, while revenue per shipment rose 12%. Higher managed volumes, fuel prices and a tightening capacity environment aided the segment’s top line.
Purchased transportation expense represented 86.5% of revenues compared with 84.4% a year ago. The segment incurred a GAAP operating loss of $31.3 million, largely because of impairment and restructuring charges. Adjusted operating income improved to $6.3 million from $1.1 million, while adjusted EBITDA rose to $7 million from $2.5 million.
ArcBest’s Cash Flow & Capital Allocation
ArcBest generated $138.3 million of operating cash flow during the first six months of 2026, up from $85 million in the year-ago period. The company spent $22.4 million on property, plant and equipment, net of financing.
ARCB returned $13.5 million to shareholders through $8.2 million of share repurchases and $5.4 million of dividends during the first half of 2026. It exited the quarter with cash and short-term investments of $168.4 million.
Management expects 2026 net capital expenditures between $140 million and $160 million. Preliminary July results were encouraging, with Asset-Based revenues per day rising 7% and Asset-Light revenues per day increasing 28% year over year.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a upward trend in fresh estimates.
VGM Scores
Currently, ArcBest has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. Charting a somewhat similar path, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, ArcBest has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
ArcBest is part of the Zacks Transportation - Truck industry. Over the past month, Landstar System (LSTR - Free Report) , a stock from the same industry, has gained 7.4%. The company reported its results for the quarter ended June 2026 more than a month ago.
Landstar reported revenues of $1.43 billion in the last reported quarter, representing a year-over-year change of +18.2%. EPS of $1.44 for the same period compares with $1.20 a year ago.
For the current quarter, Landstar is expected to post earnings of $1.60 per share, indicating a change of +31.2% from the year-ago quarter. The Zacks Consensus Estimate has changed +3.2% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #2 (Buy) for Landstar. Also, the stock has a VGM Score of D.
View the Zacks #1 Rank List
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Why Is ArcBest (ARCB) Down 2.1% Since Last Earnings Report?
A month has gone by since the last earnings report for ArcBest (ARCB - Free Report) . Shares have lost about 2.1% in that time frame, underperforming the S&P 500.
But investors have to be wondering, will the recent negative trend continue leading up to its next earnings release, or is ArcBest due for a breakout? Well, first let's take a quick look at its most recent earnings report in order to get a better handle on the recent catalysts for ArcBest Corporation before we dive into how investors and analysts have reacted as of late.
ArcBest Q2 Earnings Beat Estimates, Up Y/Y
ArcBest Corporation reported impressive second-quarter 2026 results, with adjusted earnings surpassing expectations and revenues increasing substantially year over year.
Quarterly adjusted earnings of $2.38 per share beat the consensus estimate of $2.30 by 3.5%. The reported figure increased 75% from $1.36 in the year-ago quarter. Revenues of $1.18 billion missed the consensus mark of $1.19 billion by 0.8%. Nevertheless, the top line increased 15.9% year over year.
On a GAAP basis, ArcBest incurred a loss of 62 cents per share compared with earnings of $1.12 a year ago. The loss primarily reflected impairment and restructuring charges associated with the company’s recently announced restructuring plan.
ARCB’s Segment Performance
Asset-Based revenues increased 9.9% year over year to $783.7 million. Tonnage per day improved 4.9%, driven by an 8% increase in weight per shipment, despite a 2.8% decline in shipments per day.
Billed revenue per shipment increased 12.5%, while billed revenue per hundredweight rose 4.2%. Excluding fuel surcharges, revenue per hundredweight was flat. Customer contract renewals and deferred pricing agreements averaged a 5.8% increase during the second quarter.
Asset-Based operating income advanced 45.5% to $74.3 million. The operating ratio improved 230 basis points to 90.5%. On an adjusted basis, operating income totaled $72.3 million and the operating ratio improved to 90.8% from 92.8% in the prior-year quarter.
Sequentially, Asset-Based daily revenues increased 17.8%, while the adjusted operating ratio improved 650 basis points. Pricing initiatives, higher fuel-surcharge revenues, cost optimization, network efficiency and technology-driven productivity supported the improvement.
Asset-Light revenues surged 28.3% year over year to $438.7 million. Shipments per day increased 14.6%, while revenue per shipment rose 12%. Higher managed volumes, fuel prices and a tightening capacity environment aided the segment’s top line.
Purchased transportation expense represented 86.5% of revenues compared with 84.4% a year ago. The segment incurred a GAAP operating loss of $31.3 million, largely because of impairment and restructuring charges. Adjusted operating income improved to $6.3 million from $1.1 million, while adjusted EBITDA rose to $7 million from $2.5 million.
ArcBest’s Cash Flow & Capital Allocation
ArcBest generated $138.3 million of operating cash flow during the first six months of 2026, up from $85 million in the year-ago period. The company spent $22.4 million on property, plant and equipment, net of financing.
ARCB returned $13.5 million to shareholders through $8.2 million of share repurchases and $5.4 million of dividends during the first half of 2026. It exited the quarter with cash and short-term investments of $168.4 million.
Management expects 2026 net capital expenditures between $140 million and $160 million. Preliminary July results were encouraging, with Asset-Based revenues per day rising 7% and Asset-Light revenues per day increasing 28% year over year.
How Have Estimates Been Moving Since Then?
Since the earnings release, investors have witnessed a upward trend in fresh estimates.
VGM Scores
Currently, ArcBest has a strong Growth Score of A, though it is lagging a lot on the Momentum Score front with a C. Charting a somewhat similar path, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of A. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, ArcBest has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
Performance of an Industry Player
ArcBest is part of the Zacks Transportation - Truck industry. Over the past month, Landstar System (LSTR - Free Report) , a stock from the same industry, has gained 7.4%. The company reported its results for the quarter ended June 2026 more than a month ago.
Landstar reported revenues of $1.43 billion in the last reported quarter, representing a year-over-year change of +18.2%. EPS of $1.44 for the same period compares with $1.20 a year ago.
For the current quarter, Landstar is expected to post earnings of $1.60 per share, indicating a change of +31.2% from the year-ago quarter. The Zacks Consensus Estimate has changed +3.2% over the last 30 days.
The overall direction and magnitude of estimate revisions translate into a Zacks Rank #2 (Buy) for Landstar. Also, the stock has a VGM Score of D.