ARCBEST CORP (ARCB) Stock Fundamental Analysis
NASDAQ:ARCB - Nasdaq - US03937C1053 - Common Stock - Currency: USD
Overall ARCB gets a fundamental rating of 7 out of 10. We evaluated ARCB against 39 industry peers in the Ground Transportation industry. ARCB gets an excellent profitability rating and is at the same time showing great financial health properties. ARCB has a bad growth rate and is valued cheaply. This makes ARCB very considerable for value investing!
1. Profitability
1.1 Basic Checks
In the past year ARCB was profitable.
In the past year ARCB had a positive cash flow from operations.
In the past 5 years ARCB has always been profitable.
In the past 5 years ARCB always reported a positive cash flow from operatings.
1.2 Ratios
ARCB has a Return On Assets of 7.44%. This is in the better half of the industry: ARCB outperforms 71.79% of its industry peers.
The Return On Equity of ARCB (13.83%) is better than 66.67% of its industry peers.
The Return On Invested Capital of ARCB (10.01%) is better than 84.62% of its industry peers.
ARCB had an Average Return On Invested Capital over the past 3 years of 12.49%. This is above the industry average of 8.06%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 13.83% | ||
| ROIC | 10.01% |
ROA(3y)8.99%
ROA(5y)8.21%
ROE(3y)18.28%
ROE(5y)17.28%
ROIC(3y)12.49%
ROIC(5y)11.58%
1.3 Margins
The Profit Margin of ARCB (4.36%) is better than 61.54% of its industry peers.
In the last couple of years the Profit Margin of ARCB has grown nicely.
The Operating Margin of ARCB (5.59%) is comparable to the rest of the industry.
ARCB's Operating Margin has improved in the last couple of years.
ARCB has a Gross Margin of 85.59%. This is amongst the best in the industry. ARCB outperforms 97.44% of its industry peers.
ARCB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.59% | ||
| PM (TTM) | 4.36% | ||
| GM | 85.59% |
OM growth 3Y-4.18%
OM growth 5Y15.74%
PM growth 3Y-8.1%
PM growth 5Y25.48%
GM growth 3Y3.29%
GM growth 5Y2.2%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), ARCB is creating some value.
The number of shares outstanding for ARCB has been reduced compared to 1 year ago.
Compared to 5 years ago, ARCB has less shares outstanding
ARCB has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.63 indicates that ARCB is not in any danger for bankruptcy at the moment.
ARCB has a Altman-Z score of 3.63. This is in the better half of the industry: ARCB outperforms 74.36% of its industry peers.
ARCB has a debt to FCF ratio of 3.66. This is a good value and a sign of high solvency as ARCB would need 3.66 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 3.66, ARCB belongs to the best of the industry, outperforming 84.62% of the companies in the same industry.
A Debt/Equity ratio of 0.11 indicates that ARCB is not too dependend on debt financing.
ARCB has a better Debt to Equity ratio (0.11) than 84.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 3.66 | ||
| Altman-Z | 3.63 |
ROIC/WACC1.09
WACC9.22%
2.3 Liquidity
A Current Ratio of 1.00 indicates that ARCB should not have too much problems paying its short term obligations.
ARCB's Current ratio of 1.00 is in line compared to the rest of the industry. ARCB outperforms 48.72% of its industry peers.
A Quick Ratio of 1.00 indicates that ARCB should not have too much problems paying its short term obligations.
The Quick ratio of ARCB (1.00) is comparable to the rest of the industry.
ARCB does not score too well on the current and quick ratio evaluation. However, as it has excellent solvency and profitability, these ratios do not necessarly indicate liquidity issues and need to be evaluated against the specifics of the business.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The earnings per share for ARCB have decreased strongly by -28.72% in the last year.
Measured over the past years, ARCB shows a quite strong growth in Earnings Per Share. The EPS has been growing by 18.61% on average per year.
Looking at the last year, ARCB shows a decrease in Revenue. The Revenue has decreased by -5.69% in the last year.
ARCB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.94% yearly.
EPS 1Y (TTM)-28.72%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-61.94%
Revenue 1Y (TTM)-5.69%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-6.69%
3.2 Future
The Earnings Per Share is expected to grow by 14.44% on average over the next years. This is quite good.
Based on estimates for the next years, ARCB will show a small growth in Revenue. The Revenue will grow by 2.72% on average per year.
EPS Next Y-21.65%
EPS Next 2Y8.45%
EPS Next 3Y14.44%
EPS Next 5YN/A
Revenue Next Year-1.72%
Revenue Next 2Y2.13%
Revenue Next 3Y2.72%
Revenue Next 5YN/A
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 11.43, the valuation of ARCB can be described as reasonable.
92.31% of the companies in the same industry are more expensive than ARCB, based on the Price/Earnings ratio.
ARCB's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 26.29.
With a Price/Forward Earnings ratio of 8.43, the valuation of ARCB can be described as very reasonable.
94.87% of the companies in the same industry are more expensive than ARCB, based on the Price/Forward Earnings ratio.
ARCB's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.17.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.43 | ||
| Fwd PE | 8.43 |
4.2 Price Multiples
97.44% of the companies in the same industry are more expensive than ARCB, based on the Enterprise Value to EBITDA ratio.
82.05% of the companies in the same industry are more expensive than ARCB, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 24.42 | ||
| EV/EBITDA | 4.01 |
4.3 Compensation for Growth
ARCB has an outstanding profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ARCB's earnings are expected to grow with 14.44% in the coming years.
PEG (NY)N/A
PEG (5Y)0.61
EPS Next 2Y8.45%
EPS Next 3Y14.44%
5. Dividend
5.1 Amount
ARCB has a yearly dividend return of 0.74%, which is pretty low.
ARCB's Dividend Yield is comparable with the industry average which is at 1.58.
With a Dividend Yield of 0.74, ARCB pays less dividend than the S&P500 average, which is at 2.38.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
5.2 History
The dividend of ARCB is nicely growing with an annual growth rate of 7.80%!
ARCB has been paying a dividend for at least 10 years, so it has a reliable track record.
ARCB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.8%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
ARCB pays out 6.12% of its income as dividend. This is a sustainable payout ratio.
ARCB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP6.12%
EPS Next 2Y8.45%
EPS Next 3Y14.44%
62.39
-0.3 (-0.48%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners102.32%
Inst Owner Change0.76%
Ins Owners1.15%
Ins Owner Change4.6%
Market Cap1.43B
Analysts74.74
Price Target81.41 (30.49%)
Short Float %6.42%
Short Ratio3.39
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.74% |
Yearly Dividend0.47
Dividend Growth(5Y)7.8%
DP6.12%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)11.45%
Min EPS beat(2)-2.59%
Max EPS beat(2)25.49%
EPS beat(4)1
Avg EPS beat(4)1.29%
Min EPS beat(4)-11.93%
Max EPS beat(4)25.49%
EPS beat(8)3
Avg EPS beat(8)3.19%
EPS beat(12)5
Avg EPS beat(12)0.5%
EPS beat(16)9
Avg EPS beat(16)5.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.59%
Min Revenue beat(2)-3.87%
Max Revenue beat(2)-1.32%
Revenue beat(4)1
Avg Revenue beat(4)-1.89%
Min Revenue beat(4)-3.87%
Max Revenue beat(4)0.08%
Revenue beat(8)1
Avg Revenue beat(8)-1.93%
Revenue beat(12)1
Avg Revenue beat(12)-3.19%
Revenue beat(16)3
Avg Revenue beat(16)-2.14%
PT rev (1m)-15.74%
PT rev (3m)-30.1%
EPS NQ rev (1m)-2.74%
EPS NQ rev (3m)-25.58%
EPS NY rev (1m)-14.12%
EPS NY rev (3m)-24.19%
Revenue NQ rev (1m)-0.38%
Revenue NQ rev (3m)-4.27%
Revenue NY rev (1m)-3.62%
Revenue NY rev (3m)-4.39%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.43 | ||
| Fwd PE | 8.43 | ||
| P/S | 0.35 | ||
| P/FCF | 24.42 | ||
| P/OCF | 5.55 | ||
| P/B | 1.1 | ||
| P/tB | 1.58 | ||
| EV/EBITDA | 4.01 |
EPS(TTM)5.46
EY8.75%
EPS(NY)7.4
Fwd EY11.86%
FCF(TTM)2.55
FCFY4.09%
OCF(TTM)11.24
OCFY18.02%
SpS179.38
BVpS56.53
TBVpS39.5
PEG (NY)N/A
PEG (5Y)0.61
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 13.83% | ||
| ROCE | 12.88% | ||
| ROIC | 10.01% | ||
| ROICexc | 10.59% | ||
| ROICexgc | 13.79% | ||
| OM | 5.59% | ||
| PM (TTM) | 4.36% | ||
| GM | 85.59% | ||
| FCFM | 1.42% |
ROA(3y)8.99%
ROA(5y)8.21%
ROE(3y)18.28%
ROE(5y)17.28%
ROIC(3y)12.49%
ROIC(5y)11.58%
ROICexc(3y)14.5%
ROICexc(5y)13.55%
ROICexgc(3y)19.98%
ROICexgc(5y)18.74%
ROCE(3y)16.08%
ROCE(5y)14.9%
ROICexcg growth 3Y-13.21%
ROICexcg growth 5Y12.17%
ROICexc growth 3Y-9.6%
ROICexc growth 5Y9.94%
OM growth 3Y-4.18%
OM growth 5Y15.74%
PM growth 3Y-8.1%
PM growth 5Y25.48%
GM growth 3Y3.29%
GM growth 5Y2.2%
F-Score7
Asset Turnover1.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 3.66 | ||
| Debt/EBITDA | 0.39 | ||
| Cap/Depr | 131.09% | ||
| Cap/Sales | 4.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.51% | ||
| Profit Quality | 32.67% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 3.63 |
F-Score7
WACC9.22%
ROIC/WACC1.09
Cap/Depr(3y)146.19%
Cap/Depr(5y)110.06%
Cap/Sales(3y)4.7%
Cap/Sales(5y)3.6%
Profit Quality(3y)58.32%
Profit Quality(5y)99.72%
High Growth Momentum
Growth
EPS 1Y (TTM)-28.72%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-61.94%
EPS Next Y-21.65%
EPS Next 2Y8.45%
EPS Next 3Y14.44%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.69%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-6.69%
Revenue Next Year-1.72%
Revenue Next 2Y2.13%
Revenue Next 3Y2.72%
Revenue Next 5YN/A
EBIT growth 1Y15.71%
EBIT growth 3Y-2.61%
EBIT growth 5Y23.77%
EBIT Next Year56.72%
EBIT Next 3Y31.29%
EBIT Next 5YN/A
FCF growth 1Y-81.88%
FCF growth 3Y-42.74%
FCF growth 5Y-7.52%
OCF growth 1Y-48.78%
OCF growth 3Y-4.02%
OCF growth 5Y10.91%