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Why OLD DOMINION FREIGHT LINE (NASDAQ:ODFL) should be investigated by quality investors.

By Mill Chart

Last update: Apr 4, 2024

Quality investors are looking for the best of the best. Companies which are growing steadily and consistently, but are also in excellent financial condition. We will have a look here to see if OLD DOMINION FREIGHT LINE (NASDAQ:ODFL) is suited for quality investing. Investors should of course do their own research, but we spotted OLD DOMINION FREIGHT LINE showing up in our Caviar Cruise quality screen, so it may be worth spending some more time on it.

A Deep Dive into OLD DOMINION FREIGHT LINE's Quality Metrics.

  • OLD DOMINION FREIGHT LINE has achieved substantial revenue growth over the past 5 years, with a 7.72% increase. This signifies the company's ability to successfully capture market opportunities and generate sustained revenue growth.
  • With a robust ROIC excluding cash and goodwill at 27.14%, OLD DOMINION FREIGHT LINE showcases its effective allocation of capital and operational excellence. This metric signifies the company's ability to generate attractive returns and supports its long-term financial performance.
  • OLD DOMINION FREIGHT LINE demonstrates a well-balanced Debt/Free Cash Flow Ratio of 0.1, indicating effective debt management and strong cash flow generation. This ratio suggests the company has a sustainable financial position and the capacity to allocate capital efficiently.
  • OLD DOMINION FREIGHT LINE demonstrates consistent Profit Quality over the past 5 years, with a strong 76.66%. This indicates the company's ability to generate sustainable and reliable profits, showcasing its long-term profitability and financial stability.
  • The 5-year EBIT growth of OLD DOMINION FREIGHT LINE has been remarkable, with 14.96% increase. This demonstrates the company's ability to improve its operational efficiency and indicates its competitiveness within the market.
  • The EBIT 5-year growth of OLD DOMINION FREIGHT LINE has outpaced its Revenue 5-year growth, reflecting the company's focus on optimizing its profitability and generating sustainable earnings. This trend underscores its strong financial management.

A complete fundamental analysis of NASDAQ:ODFL

Every day, ChartMill assigns a Fundamental Rating to each stock, providing a score ranging from 0 to 10. This rating is determined by evaluating various fundamental indicators and properties.

ODFL gets a fundamental rating of 8 out of 10. The analysis compared the fundamentals against 37 industry peers in the Ground Transportation industry. ODFL scores excellent points on both the profitability and health parts. This is a solid base for a good stock. ODFL has a correct valuation and a medium growth rate. These ratings would make ODFL suitable for quality investing!

Check the latest full fundamental report of ODFL for a complete fundamental analysis.

More quality stocks can be found in our Caviar Cruise screen.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.

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