OLD DOMINION FREIGHT LINE (ODFL) Stock Fundamental Analysis
USA - NASDAQ:ODFL - US6795801009 - Common Stock
140.42 USD
+3.17 (+2.31%)
140.53 USD
+0.11 (+0.08%)
Taking everything into account, ODFL scores 6 out of 10 in our fundamental rating. ODFL was compared to 42 industry peers in the Ground Transportation industry. Both the health and profitability get an excellent rating, making ODFL a very profitable company, without any liquidiy or solvency issues. ODFL has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ODFL had positive earnings in the past year.
In the past year ODFL had a positive cash flow from operations.
Each year in the past 5 years ODFL has been profitable.
ODFL had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
The Return On Assets of ODFL (19.73%) is better than 97.62% of its industry peers.
ODFL has a Return On Equity of 25.88%. This is amongst the best in the industry. ODFL outperforms 95.24% of its industry peers.
Looking at the Return On Invested Capital, with a value of 21.48%, ODFL belongs to the top of the industry, outperforming 97.62% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ODFL is significantly above the industry average of 7.72%.
The 3 year average ROIC (26.98%) for ODFL is well above the current ROIC(21.48%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.73% | ||
| ROE | 25.88% | ||
| ROIC | 21.48% |
ROA(3y)24.18%
ROA(5y)21.88%
ROE(3y)31.58%
ROE(5y)28.62%
ROIC(3y)26.98%
ROIC(5y)24.46%
1.3 Margins
With an excellent Profit Margin value of 19.42%, ODFL belongs to the best of the industry, outperforming 83.33% of the companies in the same industry.
In the last couple of years the Profit Margin of ODFL has grown nicely.
The Operating Margin of ODFL (25.39%) is better than 85.71% of its industry peers.
ODFL's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 89.46%, ODFL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
ODFL's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.39% | ||
| PM (TTM) | 19.42% | ||
| GM | 89.46% |
OM growth 3Y0.1%
OM growth 5Y5.91%
PM growth 3Y1.2%
PM growth 5Y6.37%
GM growth 3Y-0.05%
GM growth 5Y0.13%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), ODFL is creating value.
The number of shares outstanding for ODFL has been reduced compared to 1 year ago.
ODFL has less shares outstanding than it did 5 years ago.
ODFL has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 16.02 indicates that ODFL is not in any danger for bankruptcy at the moment.
The Altman-Z score of ODFL (16.02) is better than 97.62% of its industry peers.
The Debt to FCF ratio of ODFL is 0.22, which is an excellent value as it means it would take ODFL, only 0.22 years of fcf income to pay off all of its debts.
ODFL has a Debt to FCF ratio of 0.22. This is amongst the best in the industry. ODFL outperforms 100.00% of its industry peers.
A Debt/Equity ratio of 0.04 indicates that ODFL is not too dependend on debt financing.
ODFL's Debt to Equity ratio of 0.04 is amongst the best of the industry. ODFL outperforms 90.48% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.22 | ||
| Altman-Z | 16.02 |
ROIC/WACC2.3
WACC9.36%
2.3 Liquidity
ODFL has a Current Ratio of 1.38. This is a normal value and indicates that ODFL is financially healthy and should not expect problems in meeting its short term obligations.
ODFL has a better Current ratio (1.38) than 69.05% of its industry peers.
ODFL has a Quick Ratio of 1.38. This is a normal value and indicates that ODFL is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ODFL (1.38) is better than 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.38 |
3. Growth
3.1 Past
ODFL shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -13.11%.
The Earnings Per Share has been growing by 16.53% on average over the past years. This is quite good.
The Revenue has decreased by -0.88% in the past year.
ODFL shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 7.19% yearly.
EPS 1Y (TTM)-13.11%
EPS 3Y7.23%
EPS 5Y16.53%
EPS Q2Q%-10.49%
Revenue 1Y (TTM)-0.88%
Revenue growth 3Y3.42%
Revenue growth 5Y7.19%
Sales Q2Q%-4.33%
3.2 Future
ODFL is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 9.99% yearly.
Based on estimates for the next years, ODFL will show a small growth in Revenue. The Revenue will grow by 5.70% on average per year.
EPS Next Y-11.05%
EPS Next 2Y0.17%
EPS Next 3Y5.55%
EPS Next 5Y9.99%
Revenue Next Year-4.7%
Revenue Next 2Y0.45%
Revenue Next 3Y2.94%
Revenue Next 5Y5.7%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last 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
A Price/Earnings ratio of 28.25 indicates a quite expensive valuation of ODFL.
Based on the Price/Earnings ratio, ODFL is valued a bit cheaper than 64.29% of the companies in the same industry.
When comparing the Price/Earnings ratio of ODFL to the average of the S&P500 Index (26.10), we can say ODFL is valued inline with the index average.
A Price/Forward Earnings ratio of 25.54 indicates a quite expensive valuation of ODFL.
The rest of the industry has a similar Price/Forward Earnings ratio as ODFL.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.52, ODFL is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.25 | ||
| Fwd PE | 25.54 |
4.2 Price Multiples
ODFL's Enterprise Value to EBITDA ratio is in line with the industry average.
73.81% of the companies in the same industry are more expensive than ODFL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.79 | ||
| EV/EBITDA | 16.22 |
4.3 Compensation for Growth
ODFL has an outstanding profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.71
EPS Next 2Y0.17%
EPS Next 3Y5.55%
5. Dividend
5.1 Amount
ODFL has a yearly dividend return of 0.82%, which is pretty low.
Compared to an average industry Dividend Yield of 1.68, ODFL has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.35, ODFL's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
5.2 History
The dividend of ODFL is nicely growing with an annual growth rate of 35.65%!
ODFL has been paying a dividend for over 5 years, so it has already some track record.
As ODFL did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)35.65%
Div Incr Years7
Div Non Decr Years7
5.3 Sustainability
20.96% of the earnings are spent on dividend by ODFL. This is a low number and sustainable payout ratio.
ODFL's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP20.96%
EPS Next 2Y0.17%
EPS Next 3Y5.55%
140.42
+3.17 (+2.31%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners79.5%
Inst Owner Change-0.41%
Ins Owners10.11%
Ins Owner Change3.74%
Market Cap29.51B
Revenue(TTM)5.81B
Net Income(TTM)1.10B
Analysts69.03
Price Target162.57 (15.77%)
Short Float %6.12%
Short Ratio5.71
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.82% |
Yearly Dividend1.04
Dividend Growth(5Y)35.65%
DP20.96%
Div Incr Years7
Div Non Decr Years7
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.69%
Min EPS beat(2)-3.34%
Max EPS beat(2)1.96%
EPS beat(4)2
Avg EPS beat(4)0.26%
Min EPS beat(4)-3.34%
Max EPS beat(4)3.51%
EPS beat(8)4
Avg EPS beat(8)0.49%
EPS beat(12)6
Avg EPS beat(12)0.82%
EPS beat(16)10
Avg EPS beat(16)1.62%
Revenue beat(2)0
Avg Revenue beat(2)-2.18%
Min Revenue beat(2)-2.71%
Max Revenue beat(2)-1.66%
Revenue beat(4)0
Avg Revenue beat(4)-2.32%
Min Revenue beat(4)-3.4%
Max Revenue beat(4)-1.5%
Revenue beat(8)0
Avg Revenue beat(8)-2.31%
Revenue beat(12)0
Avg Revenue beat(12)-2.67%
Revenue beat(16)3
Avg Revenue beat(16)-1.93%
PT rev (1m)-0.02%
PT rev (3m)-5%
EPS NQ rev (1m)-1.63%
EPS NQ rev (3m)-8.91%
EPS NY rev (1m)-1.28%
EPS NY rev (3m)-6.12%
Revenue NQ rev (1m)-0.83%
Revenue NQ rev (3m)-3.05%
Revenue NY rev (1m)-0.55%
Revenue NY rev (3m)-2.09%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 28.25 | ||
| Fwd PE | 25.54 | ||
| P/S | 5.23 | ||
| P/FCF | 37.79 | ||
| P/OCF | 20.08 | ||
| P/B | 6.98 | ||
| P/tB | 6.98 | ||
| EV/EBITDA | 16.22 |
EPS(TTM)4.97
EY3.54%
EPS(NY)5.5
Fwd EY3.92%
FCF(TTM)3.72
FCFY2.65%
OCF(TTM)6.99
OCFY4.98%
SpS26.83
BVpS20.13
TBVpS20.13
PEG (NY)N/A
PEG (5Y)1.71
Graham Number47.44
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 19.73% | ||
| ROE | 25.88% | ||
| ROCE | 28.39% | ||
| ROIC | 21.48% | ||
| ROICexc | 21.59% | ||
| ROICexgc | 21.59% | ||
| OM | 25.39% | ||
| PM (TTM) | 19.42% | ||
| GM | 89.46% | ||
| FCFM | 13.85% |
ROA(3y)24.18%
ROA(5y)21.88%
ROE(3y)31.58%
ROE(5y)28.62%
ROIC(3y)26.98%
ROIC(5y)24.46%
ROICexc(3y)28.57%
ROICexc(5y)27.14%
ROICexgc(3y)28.57%
ROICexgc(5y)27.14%
ROCE(3y)35.64%
ROCE(5y)32.31%
ROICexgc growth 3Y-5.87%
ROICexgc growth 5Y4.54%
ROICexc growth 3Y-5.87%
ROICexc growth 5Y4.67%
OM growth 3Y0.1%
OM growth 5Y5.91%
PM growth 3Y1.2%
PM growth 5Y6.37%
GM growth 3Y-0.05%
GM growth 5Y0.13%
F-Score5
Asset Turnover1.02
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.04 | ||
| Debt/FCF | 0.22 | ||
| Debt/EBITDA | 0.08 | ||
| Cap/Depr | 193.93% | ||
| Cap/Sales | 12.22% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 82.25% | ||
| Profit Quality | 71.32% | ||
| Current Ratio | 1.38 | ||
| Quick Ratio | 1.38 | ||
| Altman-Z | 16.02 |
F-Score5
WACC9.36%
ROIC/WACC2.3
Cap/Depr(3y)246.01%
Cap/Depr(5y)207.17%
Cap/Sales(3y)12.85%
Cap/Sales(5y)10.93%
Profit Quality(3y)68.97%
Profit Quality(5y)75.24%
High Growth Momentum
Growth
EPS 1Y (TTM)-13.11%
EPS 3Y7.23%
EPS 5Y16.53%
EPS Q2Q%-10.49%
EPS Next Y-11.05%
EPS Next 2Y0.17%
EPS Next 3Y5.55%
EPS Next 5Y9.99%
Revenue 1Y (TTM)-0.88%
Revenue growth 3Y3.42%
Revenue growth 5Y7.19%
Sales Q2Q%-4.33%
Revenue Next Year-4.7%
Revenue Next 2Y0.45%
Revenue Next 3Y2.94%
Revenue Next 5Y5.7%
EBIT growth 1Y-14.47%
EBIT growth 3Y3.52%
EBIT growth 5Y13.53%
EBIT Next Year11.67%
EBIT Next 3Y12.38%
EBIT Next 5Y11.77%
FCF growth 1Y20.65%
FCF growth 3Y10.25%
FCF growth 5Y11.97%
OCF growth 1Y-6.89%
OCF growth 3Y11.02%
OCF growth 5Y11.02%
OLD DOMINION FREIGHT LINE / ODFL FAQ
What is the fundamental rating for ODFL stock?
ChartMill assigns a fundamental rating of 6 / 10 to ODFL.
Can you provide the valuation status for OLD DOMINION FREIGHT LINE?
ChartMill assigns a valuation rating of 4 / 10 to OLD DOMINION FREIGHT LINE (ODFL). This can be considered as Fairly Valued.
What is the profitability of ODFL stock?
OLD DOMINION FREIGHT LINE (ODFL) has a profitability rating of 9 / 10.
What are the PE and PB ratios of OLD DOMINION FREIGHT LINE (ODFL) stock?
The Price/Earnings (PE) ratio for OLD DOMINION FREIGHT LINE (ODFL) is 28.25 and the Price/Book (PB) ratio is 6.98.
What is the expected EPS growth for OLD DOMINION FREIGHT LINE (ODFL) stock?
The Earnings per Share (EPS) of OLD DOMINION FREIGHT LINE (ODFL) is expected to decline by -11.05% in the next year.