ARCBEST CORP (ARCB) Stock Fundamental Analysis
NASDAQ:ARCB - Nasdaq - US03937C1053 - Common Stock - Currency: USD
Overall ARCB gets a fundamental rating of 6 out of 10. We evaluated ARCB against 40 industry peers in the Ground Transportation industry. ARCB scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 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.
In the past year ARCB had a positive cash flow from operations.
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
The Return On Assets of ARCB (7.44%) is better than 70.00% of its industry peers.
Looking at the Return On Equity, with a value of 13.83%, ARCB is in the better half of the industry, outperforming 65.00% of the companies in the same industry.
ARCB's Return On Invested Capital of 10.01% is amongst the best of the industry. ARCB outperforms 82.50% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ARCB is above the industry average of 8.58%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 13.83% | ||
| ROIC | 10.01% |
ROA(3y)8.99%
ROA(5y)8.21%
ROE(3y)18.28%
ROE(5y)17.28%
ROIC(3y)12.49%
ROIC(5y)11.58%
1.3 Margins
ARCB has a Profit Margin (4.36%) which is in line with its industry peers.
ARCB's Profit Margin has improved in the last couple of years.
ARCB has a Operating Margin (5.59%) which is in line with its industry peers.
ARCB's Operating Margin has improved in the last couple of years.
With an excellent Gross Margin value of 85.59%, ARCB belongs to the best of the industry, outperforming 97.50% of the companies in the same industry.
ARCB's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 5.59% | ||
| PM (TTM) | 4.36% | ||
| GM | 85.59% |
OM growth 3Y-4.18%
OM growth 5Y15.74%
PM growth 3Y-8.1%
PM growth 5Y25.48%
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.
ARCB has less shares outstanding than it did 1 year ago.
ARCB has less shares outstanding than it did 5 years ago.
The debt/assets ratio for ARCB has been reduced compared to a year ago.
2.2 Solvency
ARCB has an Altman-Z score of 3.79. This indicates that ARCB is financially healthy and has little risk of bankruptcy at the moment.
ARCB's Altman-Z score of 3.79 is fine compared to the rest of the industry. ARCB outperforms 75.00% of its industry peers.
The Debt to FCF ratio of ARCB is 3.66, which is a good value as it means it would take ARCB, 3.66 years of fcf income to pay off all of its debts.
ARCB's Debt to FCF ratio of 3.66 is amongst the best of the industry. ARCB outperforms 82.50% of its industry peers.
A Debt/Equity ratio of 0.11 indicates that ARCB is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.11, ARCB belongs to the best of the industry, outperforming 85.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 3.66 | ||
| Altman-Z | 3.79 |
ROIC/WACC1.09
WACC9.2%
2.3 Liquidity
A Current Ratio of 1.00 indicates that ARCB should not have too much problems paying its short term obligations.
ARCB's Current ratio of 1.00 is in line compared to the rest of the industry. ARCB outperforms 47.50% of its industry peers.
A Quick Ratio of 1.00 indicates that ARCB should not have too much problems paying its short term obligations.
ARCB has a Quick ratio of 1.00. This is comparable to the rest of the industry: ARCB outperforms 47.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The earnings per share for ARCB have decreased strongly by -28.72% in the last year.
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 -5.69%.
ARCB shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 6.94% yearly.
EPS 1Y (TTM)-28.72%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-61.94%
Revenue 1Y (TTM)-5.69%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-6.69%
3.2 Future
ARCB is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 14.61% yearly.
ARCB is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 2.77% yearly.
EPS Next Y-19.46%
EPS Next 2Y9.15%
EPS Next 3Y14.61%
EPS Next 5YN/A
Revenue Next Year-1.55%
Revenue Next 2Y2.24%
Revenue Next 3Y2.77%
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.
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
Based on the Price/Earnings ratio of 14.10, the valuation of ARCB can be described as correct.
Based on the Price/Earnings ratio, ARCB is valued cheaper than 85.00% of the companies in the same industry.
ARCB's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.15.
ARCB is valuated reasonably with a Price/Forward Earnings ratio of 10.28.
Based on the Price/Forward Earnings ratio, ARCB is valued cheaply inside the industry as 90.00% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ARCB to the average of the S&P500 Index (21.60), we can say ARCB is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.1 | ||
| Fwd PE | 10.28 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ARCB indicates a rather cheap valuation: ARCB is cheaper than 97.50% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ARCB is valued a bit cheaper than the industry average as 75.00% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 30.14 | ||
| EV/EBITDA | 4.78 |
4.3 Compensation for Growth
The decent profitability rating of ARCB may justify a higher PE ratio.
A more expensive valuation may be justified as ARCB's earnings are expected to grow with 14.61% in the coming years.
PEG (NY)N/A
PEG (5Y)0.76
EPS Next 2Y9.15%
EPS Next 3Y14.61%
5. Dividend
5.1 Amount
ARCB has a yearly dividend return of 0.64%, which is pretty low.
Compared to an average industry Dividend Yield of 1.55, ARCB has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.42, ARCB's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
5.2 History
On average, the dividend of ARCB grows each year by 7.80%, which is quite nice.
ARCB has paid a dividend for at least 10 years, which is a reliable track record.
ARCB has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.8%
Div Incr Years0
Div Non Decr Years14
5.3 Sustainability
ARCB pays out 6.12% 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.
DP6.12%
EPS Next 2Y9.15%
EPS Next 3Y14.61%
77.01
+1.46 (+1.93%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners104.16%
Inst Owner Change0.76%
Ins Owners1.56%
Ins Owner Change4.6%
Market Cap1.76B
Analysts74.74
Price Target85.87 (11.5%)
Short Float %5.36%
Short Ratio2.85
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.64% |
Yearly Dividend0.47
Dividend Growth(5Y)7.8%
DP6.12%
Div Incr Years0
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)11.45%
Min EPS beat(2)-2.59%
Max EPS beat(2)25.49%
EPS beat(4)1
Avg EPS beat(4)1.29%
Min EPS beat(4)-11.93%
Max EPS beat(4)25.49%
EPS beat(8)3
Avg EPS beat(8)3.19%
EPS beat(12)5
Avg EPS beat(12)0.5%
EPS beat(16)9
Avg EPS beat(16)5.7%
Revenue beat(2)0
Avg Revenue beat(2)-2.59%
Min Revenue beat(2)-3.87%
Max Revenue beat(2)-1.32%
Revenue beat(4)1
Avg Revenue beat(4)-1.89%
Min Revenue beat(4)-3.87%
Max Revenue beat(4)0.08%
Revenue beat(8)1
Avg Revenue beat(8)-1.93%
Revenue beat(12)1
Avg Revenue beat(12)-3.19%
Revenue beat(16)3
Avg Revenue beat(16)-2.14%
PT rev (1m)5.47%
PT rev (3m)-21.33%
EPS NQ rev (1m)3.82%
EPS NQ rev (3m)-19.88%
EPS NY rev (1m)2.8%
EPS NY rev (3m)-19.25%
Revenue NQ rev (1m)0.28%
Revenue NQ rev (3m)-4.35%
Revenue NY rev (1m)0.17%
Revenue NY rev (3m)-4.23%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.1 | ||
| Fwd PE | 10.28 | ||
| P/S | 0.43 | ||
| P/FCF | 30.14 | ||
| P/OCF | 6.85 | ||
| P/B | 1.36 | ||
| P/tB | 1.95 | ||
| EV/EBITDA | 4.78 |
EPS(TTM)5.46
EY7.09%
EPS(NY)7.49
Fwd EY9.73%
FCF(TTM)2.55
FCFY3.32%
OCF(TTM)11.24
OCFY14.6%
SpS179.38
BVpS56.53
TBVpS39.5
PEG (NY)N/A
PEG (5Y)0.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.44% | ||
| ROE | 13.83% | ||
| ROCE | 12.88% | ||
| ROIC | 10.01% | ||
| ROICexc | 10.59% | ||
| ROICexgc | 13.79% | ||
| OM | 5.59% | ||
| PM (TTM) | 4.36% | ||
| GM | 85.59% | ||
| FCFM | 1.42% |
ROA(3y)8.99%
ROA(5y)8.21%
ROE(3y)18.28%
ROE(5y)17.28%
ROIC(3y)12.49%
ROIC(5y)11.58%
ROICexc(3y)14.5%
ROICexc(5y)13.55%
ROICexgc(3y)19.98%
ROICexgc(5y)18.74%
ROCE(3y)16.08%
ROCE(5y)14.9%
ROICexcg growth 3Y-13.21%
ROICexcg growth 5Y12.17%
ROICexc growth 3Y-9.6%
ROICexc growth 5Y9.94%
OM growth 3Y-4.18%
OM growth 5Y15.74%
PM growth 3Y-8.1%
PM growth 5Y25.48%
GM growth 3Y3.29%
GM growth 5Y2.2%
F-Score7
Asset Turnover1.71
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 3.66 | ||
| Debt/EBITDA | 0.39 | ||
| Cap/Depr | 131.09% | ||
| Cap/Sales | 4.84% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 67.51% | ||
| Profit Quality | 32.67% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 3.79 |
F-Score7
WACC9.2%
ROIC/WACC1.09
Cap/Depr(3y)146.19%
Cap/Depr(5y)110.06%
Cap/Sales(3y)4.7%
Cap/Sales(5y)3.6%
Profit Quality(3y)58.32%
Profit Quality(5y)99.72%
High Growth Momentum
Growth
EPS 1Y (TTM)-28.72%
EPS 3Y-9.05%
EPS 5Y18.61%
EPS Q2Q%-61.94%
EPS Next Y-19.46%
EPS Next 2Y9.15%
EPS Next 3Y14.61%
EPS Next 5YN/A
Revenue 1Y (TTM)-5.69%
Revenue growth 3Y1.64%
Revenue growth 5Y6.94%
Sales Q2Q%-6.69%
Revenue Next Year-1.55%
Revenue Next 2Y2.24%
Revenue Next 3Y2.77%
Revenue Next 5YN/A
EBIT growth 1Y15.71%
EBIT growth 3Y-2.61%
EBIT growth 5Y23.77%
EBIT Next Year56.72%
EBIT Next 3Y31.29%
EBIT Next 5YN/A
FCF growth 1Y-81.88%
FCF growth 3Y-42.74%
FCF growth 5Y-7.52%
OCF growth 1Y-48.78%
OCF growth 3Y-4.02%
OCF growth 5Y10.91%