EPS Growth: Expeditors International is expected to report a significant EPS increase of 14.7% year-over-year for the quarter ended September 2024.
Revenue Growth: Revenue for the same period is projected to rise by 8.1%, indicating strong segment performance.
Positive Analyst Sentiment: The consensus EPS estimate has been revised upward, suggesting a positive outlook and potential investor interest.
Expeditors International of Washington, Inc. (NYSE:EXPD) is a global logistics company that provides supply chain solutions, including freight forwarding and customs brokerage. As a key player in the logistics industry, it competes with companies like DHL and FedEx.
For the quarter ended September 2024, EXPD is expected to report an EPS of $1.33, a 14.7% increase from the previous year. Revenue is projected to reach $2.37 billion, reflecting an 8.1% rise compared to the same quarter last year. This growth indicates a strong performance across its segments, suggesting the potential for an earnings beat.
The consensus EPS estimate has been revised upward by 0.2% over the past month, indicating a positive reassessment by analysts. This trend in earnings estimate revisions is often linked to short-term stock price performance, suggesting potential investor interest in EXPD. The company’s strong third-quarter results are anticipated to drive this positive outlook.
EXPD’s financial metrics provide insight into its market valuation. With a P/E ratio of 24.88, the market values its earnings relatively high. The price-to-sales ratio of 1.84 and enterprise value to sales ratio of 1.76 reflect investor willingness to pay for its sales. The enterprise value to operating cash flow ratio of 21.97 indicates its valuation relative to cash flow.
The company’s financial health is further supported by a debt-to-equity ratio of 0.25, showing a low level of debt compared to equity. A current ratio of 1.53 suggests good liquidity to cover short-term liabilities. With an earnings yield of 4.02%, EXPD provides a return on investment relative to its share price, appealing to investors.
