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Should you consider NASDAQ:ARCB for quality investing?

By Mill Chart

Last update: Aug 14, 2023

In this article we will dive into ARCBEST CORP (NASDAQ:ARCB) as a possible candidate for quality investing. Investors should always do their own research, but we noticed ARCBEST CORP showing up in our Caviar Cruise quality screen, which makes it worth to investigate a bit more.

Some of the quality metrics of NASDAQ:ARCB highlighted

  • ARCBEST CORP has shown strong performance in revenue growth over the past 5 years, with a 13.5% increase. This indicates the company's ability to generate consistent revenue growth and reflects its potential for long-term success.
  • With a robust ROIC excluding cash and goodwill at 25.04%, ARCBEST CORP showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
  • With a Debt/Free Cash Flow Ratio of 0.78, ARCBEST CORP exhibits solid financial health and responsible debt management practices. This ratio indicates the company's ability to generate ample free cash flow to meet its debt obligations and pursue growth opportunities.
  • With a favorable Profit Quality (5-year) ratio of 179.0%, ARCBEST CORP showcases its ability to consistently deliver high-quality profits. This metric signifies the company's financial strength and its capacity to generate sustainable earnings over an extended period.
  • The 5-year EBIT growth of ARCBEST CORP has been remarkable, with 44.33% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • ARCBEST CORP has achieved impressive EBIT 5-year growth, surpassing its Revenue 5-year growth. This indicates the company's ability to improve its profitability and operational efficiency, highlighting its strong financial performance.

Zooming in on the fundamentals.

ChartMill assigns a Fundamental Rating to every stock. This score, ranging from 0 to 10, is updated daily and is determined by evaluating multiple fundamental indicators and properties.

Overall ARCB gets a fundamental rating of 7 out of 10. We evaluated ARCB against 40 industry peers in the Ground Transportation industry. Both the health and profitability get an excellent rating, making ARCB a very profitable company, without any liquidiy or solvency issues. ARCB may be a bit undervalued, certainly considering the very reasonable score on growth These ratings could make ARCB a good candidate for value investing.

Check the latest full fundamental report of ARCB for a complete fundamental analysis.

More quality stocks can be found in our Caviar Cruise screen.


This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.