ARCBEST CORP (ARCB) Stock Fundamental Analysis
NASDAQ:ARCB - US03937C1053 - Common Stock
73.76 USD
+0.6 (+0.82%)
73.76 USD
0 (0%)
Overall ARCB gets a fundamental rating of 6 out of 10. We evaluated ARCB against 40 industry peers in the Ground Transportation industry. While ARCB belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ARCB is valued correctly, but it does not seem to be growing.
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.
ARCB had positive earnings in each of the past 5 years.
ARCB had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ARCB has a Return On Assets of 6.40%. This is in the better half of the industry: ARCB outperforms 67.50% of its industry peers.
ARCB's Return On Equity of 12.15% is fine compared to the rest of the industry. ARCB outperforms 62.50% of its industry peers.
ARCB has a Return On Invested Capital of 9.38%. This is in the better half of the industry: ARCB outperforms 75.00% 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 8.45%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.4% | ||
| ROE | 12.15% | ||
| ROIC | 9.38% |
ROA(3y)8.99%
ROA(5y)8.22%
ROE(3y)18.29%
ROE(5y)17.29%
ROIC(3y)12.49%
ROIC(5y)11.58%
1.3 Margins
With a Profit Margin value of 3.90%, ARCB perfoms like the industry average, outperforming 60.00% of the companies in the same industry.
In the last couple of years the Profit Margin of ARCB has grown nicely.
ARCB has a Operating Margin of 5.38%. This is comparable to the rest of the industry: ARCB outperforms 55.00% of its industry peers.
ARCB's Operating Margin has improved in the last couple of years.
ARCB has a Gross Margin of 85.27%. This is amongst the best in the industry. ARCB outperforms 97.50% of its industry peers.
ARCB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.38% | ||
| PM (TTM) | 3.9% | ||
| GM | 85.27% |
OM growth 3Y-4.12%
OM growth 5Y15.78%
PM growth 3Y-8.11%
PM growth 5Y25.47%
GM growth 3Y3.29%
GM growth 5Y2.2%
2. Health
2.1 Basic Checks
ARCB has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
Compared to 1 year ago, ARCB has less shares outstanding
Compared to 5 years ago, ARCB has less shares outstanding
The debt/assets ratio for ARCB has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.61 indicates that ARCB is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.61, ARCB is doing good in the industry, outperforming 77.50% of the companies in the same industry.
The Debt to FCF ratio of ARCB is 4.26, which is a neutral value as it means it would take ARCB, 4.26 years of fcf income to pay off all of its debts.
ARCB has a better Debt to FCF ratio (4.26) than 77.50% of its industry peers.
A Debt/Equity ratio of 0.13 indicates that ARCB is not too dependend on debt financing.
ARCB has a better Debt to Equity ratio (0.13) than 82.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 4.26 | ||
| Altman-Z | 3.61 |
ROIC/WACC1.01
WACC9.31%
2.3 Liquidity
ARCB has a Current Ratio of 0.96. This is a bad value and indicates that ARCB is not financially healthy enough and could expect problems in meeting its short term obligations.
ARCB has a Current ratio (0.96) which is comparable to the rest of the industry.
A Quick Ratio of 0.96 indicates that ARCB may have some problems paying its short term obligations.
ARCB has a Quick ratio (0.96) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 |
3. Growth
3.1 Past
ARCB shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -40.25%.
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.
ARCB shows a decrease in Revenue. In the last year, the revenue decreased by -6.42%.
ARCB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.94% yearly.
EPS 1Y (TTM)-40.25%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-31.31%
Revenue 1Y (TTM)-6.42%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-5.16%
3.2 Future
The Earnings Per Share is expected to grow by 13.22% 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 2.45% on average per year.
EPS Next Y-23.64%
EPS Next 2Y5.61%
EPS Next 3Y13.22%
EPS Next 5YN/A
Revenue Next Year-3.17%
Revenue Next 2Y1.11%
Revenue Next 3Y2.45%
Revenue Next 5YN/A
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ARCB is valuated correctly with a Price/Earnings ratio of 15.24.
85.00% 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 valuation a bit cheaper than the S&P500 average which is at 27.08.
With a Price/Forward Earnings ratio of 10.51, the valuation of ARCB can be described as very reasonable.
95.00% 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 22.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.24 | ||
| Fwd PE | 10.51 |
4.2 Price Multiples
ARCB's Enterprise Value to EBITDA ratio is rather cheap when compared to the industry. ARCB is cheaper than 97.50% of the companies in the same industry.
ARCB's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. ARCB is cheaper than 77.50% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 29.58 | ||
| EV/EBITDA | 4.64 |
4.3 Compensation for Growth
ARCB has a very decent profitability rating, which may justify a higher PE ratio.
ARCB's earnings are expected to grow with 13.22% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)0.82
EPS Next 2Y5.61%
EPS Next 3Y13.22%
5. Dividend
5.1 Amount
ARCB has a yearly dividend return of 0.67%, which is pretty low.
ARCB's Dividend Yield is comparable with the industry average which is at 1.59.
Compared to an average S&P500 Dividend Yield of 2.34, ARCB's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
5.2 History
On average, the dividend of ARCB grows each year by 8.44%, which is quite nice.
ARCB has paid a dividend for at least 10 years, which is a reliable track record.
ARCB has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)8.44%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
ARCB pays out 7.08% of its income as dividend. This is a sustainable payout ratio.
The dividend of ARCB is growing, but earnings are growing more, so the dividend growth is sustainable.
DP7.08%
EPS Next 2Y5.61%
EPS Next 3Y13.22%
73.76
+0.6 (+0.82%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners106.17%
Inst Owner Change-3.9%
Ins Owners1.53%
Ins Owner Change4.54%
Market Cap1.68B
Analysts76.84
Price Target91.06 (23.45%)
Short Float %4.45%
Short Ratio2.51
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.67% |
Yearly Dividend0.48
Dividend Growth(5Y)8.44%
DP7.08%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-4.96%
Min EPS beat(2)-7.33%
Max EPS beat(2)-2.59%
EPS beat(4)1
Avg EPS beat(4)0.91%
Min EPS beat(4)-11.93%
Max EPS beat(4)25.49%
EPS beat(8)3
Avg EPS beat(8)5.56%
EPS beat(12)4
Avg EPS beat(12)-0.67%
EPS beat(16)8
Avg EPS beat(16)4.06%
Revenue beat(2)0
Avg Revenue beat(2)-3.99%
Min Revenue beat(2)-4.1%
Max Revenue beat(2)-3.87%
Revenue beat(4)0
Avg Revenue beat(4)-2.94%
Min Revenue beat(4)-4.1%
Max Revenue beat(4)-1.32%
Revenue beat(8)1
Avg Revenue beat(8)-2.15%
Revenue beat(12)1
Avg Revenue beat(12)-3.05%
Revenue beat(16)2
Avg Revenue beat(16)-2.46%
PT rev (1m)-3.91%
PT rev (3m)11.85%
EPS NQ rev (1m)-7.64%
EPS NQ rev (3m)-28.94%
EPS NY rev (1m)-5.4%
EPS NY rev (3m)-2.54%
Revenue NQ rev (1m)-2.3%
Revenue NQ rev (3m)-6.34%
Revenue NY rev (1m)-1.53%
Revenue NY rev (3m)-1.48%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.24 | ||
| Fwd PE | 10.51 | ||
| P/S | 0.41 | ||
| P/FCF | 29.58 | ||
| P/OCF | 7.23 | ||
| P/B | 1.29 | ||
| P/tB | 1.84 | ||
| EV/EBITDA | 4.64 |
EPS(TTM)4.84
EY6.56%
EPS(NY)7.02
Fwd EY9.51%
FCF(TTM)2.49
FCFY3.38%
OCF(TTM)10.2
OCFY13.84%
SpS178.36
BVpS57.21
TBVpS40.18
PEG (NY)N/A
PEG (5Y)0.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.4% | ||
| ROE | 12.15% | ||
| ROCE | 12.07% | ||
| ROIC | 9.38% | ||
| ROICexc | 10.16% | ||
| ROICexgc | 13.24% | ||
| OM | 5.38% | ||
| PM (TTM) | 3.9% | ||
| GM | 85.27% | ||
| FCFM | 1.4% |
ROA(3y)8.99%
ROA(5y)8.22%
ROE(3y)18.29%
ROE(5y)17.29%
ROIC(3y)12.49%
ROIC(5y)11.58%
ROICexc(3y)14.5%
ROICexc(5y)13.54%
ROICexgc(3y)19.97%
ROICexgc(5y)18.73%
ROCE(3y)16.08%
ROCE(5y)14.9%
ROICexcg growth 3Y-13.17%
ROICexcg growth 5Y12.2%
ROICexc growth 3Y-9.54%
ROICexc growth 5Y9.98%
OM growth 3Y-4.12%
OM growth 5Y15.78%
PM growth 3Y-8.11%
PM growth 5Y25.47%
GM growth 3Y3.29%
GM growth 5Y2.2%
F-Score5
Asset Turnover1.64
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.13 | ||
| Debt/FCF | 4.26 | ||
| Debt/EBITDA | 0.44 | ||
| Cap/Depr | 111.95% | ||
| Cap/Sales | 4.32% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 61.92% | ||
| Profit Quality | 35.88% | ||
| Current Ratio | 0.96 | ||
| Quick Ratio | 0.96 | ||
| Altman-Z | 3.61 |
F-Score5
WACC9.31%
ROIC/WACC1.01
Cap/Depr(3y)146.13%
Cap/Depr(5y)110.02%
Cap/Sales(3y)4.7%
Cap/Sales(5y)3.6%
Profit Quality(3y)58.29%
Profit Quality(5y)99.7%
High Growth Momentum
Growth
EPS 1Y (TTM)-40.25%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-31.31%
EPS Next Y-23.64%
EPS Next 2Y5.61%
EPS Next 3Y13.22%
EPS Next 5YN/A
Revenue 1Y (TTM)-6.42%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-5.16%
Revenue Next Year-3.17%
Revenue Next 2Y1.11%
Revenue Next 3Y2.45%
Revenue Next 5YN/A
EBIT growth 1Y6.44%
EBIT growth 3Y-2.55%
EBIT growth 5Y23.82%
EBIT Next Year54.61%
EBIT Next 3Y30.61%
EBIT Next 5YN/A
FCF growth 1Y-70.55%
FCF growth 3Y-42.8%
FCF growth 5Y-7.58%
OCF growth 1Y-40.52%
OCF growth 3Y-4.04%
OCF growth 5Y10.9%