Q4 Rundown: Hertz (NASDAQ:HTZ) Vs Other Ground Transportation Stocks

Earnings results often indicate what direction a company will take in the months ahead. With Q4 behind us, let’s have a look at Hertz (NASDAQ:HTZ) and its peers.

The growth of e-commerce and global trade continues to drive demand for shipping services, especially last-mile delivery, presenting opportunities for ground transportation companies. The industry continues to invest in data, analytics, and autonomous fleets to optimize efficiency and find the most cost-effective routes. Despite the essential services this industry provides, ground transportation companies are still at the whim of economic cycles. Consumer spending, for example, can greatly impact the demand for these companies’ offerings while fuel costs can influence profit margins.

The 15 ground transportation stocks we track reported a slower Q4. As a group, revenues were in line with analysts’ consensus estimates.

While some ground transportation stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 3% since the latest earnings results.

Hertz (NASDAQ:HTZ)

Started with a dozen Model T Fords, Hertz (NASDAQ:HTZ) is a global car rental company providing vehicle rental services to leisure and business travelers.

Hertz reported revenues of $2.04 billion, down 6.6% year on year. This print fell short of analysts’ expectations by 3.7%. Overall, it was a softer quarter for the company with a significant miss of analysts’ adjusted operating income and EPS estimates.

"Our focus in 2024 was stabilizing the business and implementing fundamental changes to transform our company," said Gil West, Hertz CEO.

Hertz delivered the weakest performance against analyst estimates of the whole group. Interestingly, the stock is up 5.7% since reporting and currently trades at $4.50.

Read our full report on Hertz here, it’s free.

Best Q4: XPO (NYSE:XPO)

Owning a mobile game simulating freight operations for the Tour de France, XPO (NYSE:XPO) is a transportation company specializing in expedited shipping services.

XPO reported revenues of $1.92 billion, flat year on year, in line with analysts’ expectations. The business had an exceptional quarter with an impressive beat of analysts’ EPS estimates and a solid beat of analysts’ EBITDA estimates.

However, the results were likely priced into the stock as it’s traded sideways since reporting. Shares currently sit at $137.40.

Is now the time to buy XPO? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Avis Budget Group (NASDAQ:CAR)

The parent company of brands such as Zipcar and Budget Truck Rental, Avis (NASDAQ:CAR) is a provider of car rental and mobility solutions.

Avis Budget Group reported revenues of $2.71 billion, down 2% year on year, falling short of analysts’ expectations by 1%. It was a disappointing quarter as it posted a significant miss of analysts’ adjusted operating income estimates.

Interestingly, the stock is up 5% since the results and currently trades at $94.19.

Read our full analysis of Avis Budget Group’s results here.

Saia (NASDAQ:SAIA)

Pivoting its business model after realizing there was more success in delivering produce than selling it, Saia (NASDAQ:SAIA) is a provider of freight transportation solutions.

Saia reported revenues of $789 million, up 5% year on year. This print surpassed analysts’ expectations by 1.5%. It was a strong quarter as it also put up a solid beat of analysts’ sales volume estimates and a decent beat of analysts’ adjusted operating income estimates.

The stock is flat since reporting and currently trades at $476.

Read our full, actionable report on Saia here, it’s free.

Universal Logistics (NASDAQ:ULH)

Founded in 1932, Universal Logistics (NASDAQ:ULH) is a provider of customized transportation and logistics solutions operating throughout the United States and in Mexico, Canada, and Colombia.

Universal Logistics reported revenues of $465.1 million, up 19% year on year. This number topped analysts’ expectations by 8.9%. It was a strong quarter as it also produced an impressive beat of analysts’ EBITDA estimates.

Universal Logistics scored the biggest analyst estimates beat among its peers. The stock is down 29.2% since reporting and currently trades at $30.43.

Read our full, actionable report on Universal Logistics here, it’s free.

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