As the Q1 earnings season wraps, let's dig into this quarter's best and worst performers in the ground transportation industry, including Universal Logistics (NASDAQ:ULH) 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 14 ground transportation stocks we track reported an ok Q1; on average, revenues beat analyst consensus estimates by 1.1%. Stocks, especially growth stocks where cash flows further in the future are more important to the story, had a good end of 2023. But the beginning of 2024 has seen more volatile stock performance due to mixed inflation data, but ground transportation stocks have shown resilience, with share prices up 8.6% on average since the previous earnings results.
Best Q1: Universal Logistics (NASDAQ:ULH) Founded in 1932, Universal Logistics (NASDAQ:ULH) is a provider of transportation and logistics solutions.
Universal Logistics reported revenues of $491.9 million, up 12.5% year on year, exceeding analysts' expectations by 18.1%. Overall, it was an incredible quarter for the company with an impressive beat of analysts' earnings estimates.
"I am extremely pleased with Universal's overall results in the first quarter of 2024," stated Universal's CEO Tim Phillips.
Universal Logistics scored the biggest analyst estimates beat of the whole group. The stock is up 32.8% since reporting and currently trades at $43.39.
Is now the time to buy Universal Logistics? Find out by reading the original article on StockStory, it's free. Landstar (NASDAQ:LSTR)Covering billions of miles throughout North America, Landstar (NASDAQ:LSTR) is a transportation company specializing in freight and last-mile delivery services.
Landstar reported revenues of $1.17 billion, down 18.3% year on year, outperforming analysts' expectations by 4.7%. It was an exceptional quarter for the company with an impressive beat of analysts' Van Equipment revenue estimates and a decent beat of analysts' earnings estimates.
The market seems happy with the results as the stock is up 7.1% since reporting. It currently trades at $182.91.
Weakest Q1: U-Haul (NYSE:UHAL)Founded by a husband and wife, U-Haul (NYSE:UHAL) offers truck and trailer rentals and self storage units.
U-Haul reported revenues of $1.10 billion, down 7.8% year on year, falling short of analysts' expectations by 6.1%. It was a weak quarter for the company with a miss of analysts' earnings estimates.
U-Haul posted the weakest performance against analyst estimates in the group. Interestingly, the stock is up 4.1% since the results and currently trades at $65.43.
ArcBest (NASDAQ:ARCB)Historically owning furniture, banking, and other subsidiaries, ArcBest (NASDAQ:ARCB) offers full-truckload, less-than-truckload, and intermodal deliveries of freight.
ArcBest reported revenues of $1.04 billion, down 6.3% year on year, in line with analysts' expectations. Revenue aside, it was a weaker quarter for the company with a miss of analysts' earnings estimates.
The stock is down 10.9% since reporting and currently trades at $115.21.
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 $2.55 billion, flat year on year, surpassing analysts' expectations by 1.2%. Zooming out, it was a solid quarter for the company with an impressive beat of analysts' volume estimates.
The stock is up 7.6% since reporting and currently trades at $102.
This content was originally published on Stock Story
