ARCBEST CORP (ARCB)
US03937C1053 - Common Stock
ARCB gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 36 industry peers in the Ground Transportation industry. ARCB has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 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.
1. Profitability
1.1 Basic Checks
ARCB had positive earnings in the past year.
ARCB had a positive operating cash flow in the past year.
Each year in the past 5 years ARCB has been profitable.
Each year in the past 5 years ARCB had a positive operating cash flow.
1.2 Ratios
With a decent Return On Assets value of 7.86%, ARCB is doing good in the industry, outperforming 77.78% of the companies in the same industry.
The Return On Equity of ARCB (15.73%) is better than 69.44% of its industry peers.
ARCB's Return On Invested Capital of 8.41% is fine compared to the rest of the industry. ARCB outperforms 75.00% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ARCB is significantly above the industry average of 7.88%.
The last Return On Invested Capital (8.41%) for ARCB is well below the 3 year average (13.45%), which needs to be investigated, but indicates that ARCB had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.86% | ||
| ROE | 15.73% | ||
| ROIC | 8.41% |
ROA(3y)9.98%
ROA(5y)7.27%
ROE(3y)21.54%
ROE(5y)15.69%
ROIC(3y)13.45%
ROIC(5y)10.27%
1.3 Margins
Looking at the Profit Margin, with a value of 4.41%, ARCB is in line with its industry, outperforming 50.00% of the companies in the same industry.
ARCB's Profit Margin has improved in the last couple of years.
ARCB has a Operating Margin of 4.46%. This is comparable to the rest of the industry: ARCB outperforms 41.67% of its industry peers.
In the last couple of years the Operating Margin of ARCB has remained more or less at the same level.
Looking at the Gross Margin, with a value of 84.08%, ARCB belongs to the top of the industry, outperforming 94.44% of the companies in the same industry.
In the last couple of years the Gross Margin of ARCB has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.46% | ||
| PM (TTM) | 4.41% | ||
| GM | 84.08% |
OM growth 3Y14.12%
OM growth 5Y0.46%
PM growth 3Y22.21%
PM growth 5Y15.27%
GM growth 3Y2.85%
GM growth 5Y1.63%
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.
ARCB has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, ARCB has less shares outstanding
Compared to 1 year ago, ARCB has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 4.39 indicates that ARCB is not in any danger for bankruptcy at the moment.
The Altman-Z score of ARCB (4.39) is better than 83.33% of its industry peers.
The Debt to FCF ratio of ARCB is 2.54, which is a good value as it means it would take ARCB, 2.54 years of fcf income to pay off all of its debts.
ARCB's Debt to FCF ratio of 2.54 is amongst the best of the industry. ARCB outperforms 91.67% of its industry peers.
ARCB has a Debt/Equity ratio of 0.13. This is a healthy value indicating a solid balance between debt and equity.
The Debt to Equity ratio of ARCB (0.13) is better than 80.56% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 2.54 | ||
| Altman-Z | 4.39 |
ROIC/WACC0.95
WACC8.89%
2.3 Liquidity
A Current Ratio of 1.26 indicates that ARCB should not have too much problems paying its short term obligations.
ARCB's Current ratio of 1.26 is fine compared to the rest of the industry. ARCB outperforms 66.67% of its industry peers.
A Quick Ratio of 1.26 indicates that ARCB should not have too much problems paying its short term obligations.
ARCB has a Quick ratio of 1.26. This is in the better half of the industry: ARCB outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
ARCB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -42.04%.
The Earnings Per Share has been growing by 15.40% on average over the past years. This is quite good.
The Revenue for ARCB has decreased by -13.35% in the past year. This is quite bad
Measured over the past years, ARCB shows a small growth in Revenue. The Revenue has been growing by 7.43% on average per year.
EPS 1Y (TTM)-42.04%
EPS 3Y34.87%
EPS 5Y15.4%
EPS growth Q2Q0.82%
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y14.62%
Revenue growth 5Y7.43%
Revenue growth Q2Q-12.43%
3.2 Future
The Earnings Per Share is expected to grow by 23.78% on average over the next years. This is a very strong growth
ARCB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 5.54% yearly.
EPS Next Y31.27%
EPS Next 2Y27.89%
EPS Next 3Y23.78%
EPS Next 5YN/A
Revenue Next Year2.39%
Revenue Next 2Y4.75%
Revenue Next 3Y5.54%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
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
ARCB is valuated rather expensively with a Price/Earnings ratio of 17.47.
Compared to the rest of the industry, the Price/Earnings ratio of ARCB indicates a somewhat cheap valuation: ARCB is cheaper than 77.78% of the companies listed in the same industry.
ARCB is valuated rather cheaply when we compare the Price/Earnings ratio to 24.76, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 13.31, the valuation of ARCB can be described as correct.
Based on the Price/Forward Earnings ratio, ARCB is valued cheaper than 83.33% of the companies in the same industry.
Compared to an average S&P500 Price/Forward Earnings ratio of 21.26, ARCB is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.47 | ||
| Fwd PE | 13.31 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ARCB is valued a bit cheaper than 69.44% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of ARCB indicates a rather cheap valuation: ARCB is cheaper than 80.56% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 35.97 | ||
| EV/EBITDA | 8.84 |
4.3 Compensation for Growth
ARCB's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
ARCB has an outstanding profitability rating, which may justify a higher PE ratio.
ARCB's earnings are expected to grow with 23.78% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.56
PEG (5Y)1.13
EPS Next 2Y27.89%
EPS Next 3Y23.78%
5. Dividend
5.1 Amount
ARCB has a yearly dividend return of 0.32%, which is pretty low.
ARCB's Dividend Yield is comparable with the industry average which is at 1.68.
With a Dividend Yield of 0.32, ARCB pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
5.2 History
On average, the dividend of ARCB grows each year by 8.58%, which is quite nice.
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)8.58%
Div Incr Years3
Div Non Decr Years13
5.3 Sustainability
5.91% of the earnings are spent on dividend by ARCB. This is a low number and sustainable payout ratio.
ARCB's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP5.91%
EPS Next 2Y27.89%
EPS Next 3Y23.78%
ARCBEST CORP
NASDAQ:ARCB (4/19/2024, 5:38:24 PM)
After market: 138.03 0 (0%)138.03
+1.79 (+1.31%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap3.24B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.32% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
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Revenue beat(2)
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PT rev (1m)
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EPS NQ rev (1m)
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EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 17.47 | ||
| Fwd PE | 13.31 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)0.56
PEG (5Y)1.13
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.86% | ||
| ROE | 15.73% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.46% | ||
| PM (TTM) | 4.41% | ||
| GM | 84.08% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.78
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.26 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)-42.04%
EPS 3Y34.87%
EPS 5Y
EPS growth Q2Q
EPS Next Y31.27%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)-13.35%
Revenue growth 3Y14.62%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y