Fact based stock research
Expeditors International of Washington (NasdaqGS:EXPD)
US3021301094
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For every stock, we judge its performance against its peers and rank it on a scale of 1 to 100. The higher the rank, the better the stock performs than its peers. And, we do this for six investment strategies:
Value - shows how good of a value the stock is. Green is "inexpensive"; red is "expensive".
Growth - shows a company's growth potential. Green is "high growth" expected; red is "tough times ahead".
Safety - relates to the amount of debt a company has. Green is low debt level; red is high debt level.
Combined Financial - this isn't an average of the first three ranks but rather a consolidated view across several financial indicators. Green = good; red = tread carefully.
(NEW) Sentiment - quantifies professional analyst ratings and holdings as well as market pulse. Green = positive sentiment; red = skepticism (Only available to Premium Subscribers).
(NEW) 360° View - the ultimate rating with all financial and non-financial indicators.
Expeditors International of Washington stock research in summary
ANALYSIS: With an Obermatt Combined Rank of 24 (worse than 76% compared with investment alternatives), Expeditors International of Washington (Air Freight & Logistics, USA) shares have lower financial characteristics compared with similar stocks. Shares of Expeditors International of Washington are low in value (priced high) with a consolidated Value Rank of 8 (worse than 92% of alternatives) and show below-average growth (Growth Rank of 23) but are safely financed (Safety Rank of 100), which means low debt burdens. ...read more
RECOMMENDATION: A Combined Rank of 24, is a sell recommendation based on Expeditors International of Washington's financial characteristics. As the company Expeditors International of Washington's critical financial metrics exhibit below-average performance, such as low value (Obermatt Value Rank of 8) and low growth (Obermatt Growth Rank of 23), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. In this case, good financing practices (Obermatt Safety Rank of 100) are a positive sign, because it may allow the company to weather challenging times until the hoped-for cash flows materialize. This may be true for high-tech or biotechnology companies with enough cash to sustain prolonged business development. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and unattractive today. In such cases, the Obermatt Method has limited value, as it is based on facts we can observe today. If the facts lie all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that account for a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
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360° ViewnewThis stock has achievements: Top 10 Stock.
25-Apr-2024. Stock data may be delayed. Log in or sign up to get the most recent research.
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Review the performance ranks of the individual metrics that form each investment strategy.
Research History: Expeditors International of Washington
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 43 |
|
33 |
|
8 |
|
8 |
|
| GROWTH | ||||||||
| GROWTH | 93 |
|
22 |
|
37 |
|
23 |
|
| SAFETY | ||||||||
| SAFETY | 93 |
|
65 |
|
100 |
|
100 |
|
| SENTIMENT | ||||||||
| SENTIMENT | n/a |
|
73 |
|
64 |
|
new |
|
| 360° VIEW | ||||||||
| 360° VIEW | n/a |
|
32 |
|
51 |
|
new |
|
Combined financial peformance in Detail
ANALYSIS: With an Obermatt Combined Rank of 24 (worse than 76% compared with investment alternatives), Expeditors International of Washington (Air Freight & Logistics, USA) shares have lower financial characteristics compared with similar stocks. Shares of Expeditors International of Washington are low in value (priced high) with a consolidated Value Rank of 8 (worse than 92% of alternatives) and show below-average growth (Growth Rank of 23) but are safely financed (Safety Rank of 100), which means low debt burdens. ...read more
RECOMMENDATION: A Combined Rank of 24, is a sell recommendation based on Expeditors International of Washington's financial characteristics. As the company Expeditors International of Washington's critical financial metrics exhibit below-average performance, such as low value (Obermatt Value Rank of 8) and low growth (Obermatt Growth Rank of 23), it is a somewhat questionable stock investment, where the risk of paying too much for the shares is significant, unless the company has an exceptionally bright future. In this case, good financing practices (Obermatt Safety Rank of 100) are a positive sign, because it may allow the company to weather challenging times until the hoped-for cash flows materialize. This may be true for high-tech or biotechnology companies with enough cash to sustain prolonged business development. If they own properties that only provide cash flows in the future, the stock may look excessively expensive and unattractive today. In such cases, the Obermatt Method has limited value, as it is based on facts we can observe today. If the facts lie all in the future, stock investing becomes guesswork, and this should only be a driver in a limited number of investments that account for a small fraction of a safe portfolio. Obermatt Premium subscribers can further check the stock’s Sentiment Ranks, which also flow into the Obermatt 360° View for investors. ...read more
| RESEARCH HISTORY | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| VALUE | ||||||||
| VALUE | 43 |
|
33 |
|
8 |
|
8 |
|
| GROWTH | ||||||||
| GROWTH | 93 |
|
22 |
|
37 |
|
23 |
|
| SAFETY | ||||||||
| SAFETY | 93 |
|
65 |
|
100 |
|
100 |
|
| COMBINED | ||||||||
| COMBINED | 85 |
|
22 |
|
36 |
|
24 |
|
Value Metrics in Detail
ANALYSIS: With an Obermatt Value Rank of 8 (worse than 92% compared with alternatives), Expeditors International of Washington shares are significantly more expensive than comparable stocks. The Value Rank is based on consolidating four value indicators, with three out of four indicators below average for Expeditors International of Washington. Only the metric dividend yield has an above-average rank, reflecting that dividend practices are expected to be higher than 56% of comparable companies, making the stock an attractive buy for dividend investors. However, dividend investors may get disappointed because all other critical financial indicators are below the market median: Price-to-Sales is 20 which means that the stock price compared with what market professionals expect for future profits is higher than 80% of comparable companies, indicating a low value concerning Expeditors International of Washington's sales levels. The same is valid for Price-to-Profit (also referred to as price-earnings, P/E) with a rank of 18 which means that the stock price compared with what market professionals expect for future profit levels is higher than 82% of comparable companies. In addition, Price-to-Book (also referred to as market-to-book ratio) with a Price-to-Book Rank of 8 is also low. Compared with invested capital, the stock price is higher than for 92% of comparable investments. ...read more
RECOMMENDATION: The overall picture with a consolidated Value Rank of 8, is a sell recommendation based on Expeditors International of Washington's stock price compared with the company's operational size and dividend yields. Should dividend investors pick Expeditors International of Washington? The company-reported financials speak against it. The company is expensive compared with revenue and invested capital levels, two reliable company size indicators. In addition, it currently has a low level of profits. How can future dividends be paid in the case that profits remain low? Dividend investors should choose Expeditors International of Washington only if they reasonably expect the low current profit levels to be transitory. We recommend further analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks, including the 360° View, before making an investment decision, which is essential in this case, as the financial indicators are inconclusive. ...read more
| VALUE METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| PRICE VS. REVENUES (P/S) | ||||||||
| PRICE VS. REVENUES (P/S) | 50 |
|
32 |
|
19 |
|
20 |
|
| PRICE VS. PROFITS (P/E) | ||||||||
| PRICE VS. PROFITS (P/E) | 72 |
|
37 |
|
15 |
|
18 |
|
| PRICE VS. CAPITAL (Market-to-Book) | ||||||||
| PRICE VS. CAPITAL (Market-to-Book) | 8 |
|
22 |
|
15 |
|
8 |
|
| DIVIDEND YIELD | ||||||||
| DIVIDEND YIELD | 47 |
|
71 |
|
56 |
|
56 |
|
| CONSOLIDATED RANK: VALUE | ||||||||
| CONSOLIDATED RANK: VALUE | 43 |
|
33 |
|
8 |
|
8 |
|
Growth Metrics in Detail
ANALYSIS: With an Obermatt Growth Rank of 23 (better than 23% compared with alternatives), Expeditors International of Washington shows one of the most restricted growth dynamics in its industry. There is little momentum in this company. The Growth Rank is based on consolidating four value indicators, with half of the indicators below and half above average for Expeditors International of Washington. Capital Growth has a rank of 60, which means that currently professionals expect the company to grow its invested capital more than 28% of its competitors. Investors welcomed this, visible in the Stock Returns rank of 50 (above 50% of alternative investments). But Sales Growth has only a rank of 19, which means that, currently, professionals expect the company to grow less than 81% of its competitors, and Profit Growth is also low at a rank of 28. ...read more
RECOMMENDATION: The overall picture with a consolidated Growth Rank of 23, is a sell recommendation for growth and momentum investors. This is an ambiguous picture. Revenue growth and capital growth are strong, but the growth in profit, which seems good, can also be an indication that growth momentum may be negative. The fact that stock returns have been above average doesn't help much, as stock returns are less reliable in showing a company’s future growth potential. Prices may perform well for the simple reason that investors were too pessimistic in the past and are now correcting their opinions and moving the stock price to a more reasonable level. As the growth picture is mixed for Expeditors International of Washington, investors may want to look at value and sentiment indicators for a well-rounded picture of this stock. While momentum is a popular investment factor, the value aspect might be the more important one, in the longer term. We recommend analyzing the stock with Obermatt’s Value, Safety, and Sentiment Ranks to arrive at a 360° View of the stock purchase case, especially since the growth performance is mixed here. ...read more
| GROWTH METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| REVENUE GROWTH | ||||||||
| REVENUE GROWTH | 93 |
|
6 |
|
4 |
|
19 |
|
| PROFIT GROWTH | ||||||||
| PROFIT GROWTH | 53 |
|
75 |
|
32 |
|
28 |
|
| CAPITAL GROWTH | ||||||||
| CAPITAL GROWTH | n/a |
|
16 |
|
55 |
|
60 |
|
| STOCK RETURNS | ||||||||
| STOCK RETURNS | 73 |
|
71 |
|
75 |
|
50 |
|
| CONSOLIDATED RANK: GROWTH | ||||||||
| CONSOLIDATED RANK: GROWTH | 93 |
|
22 |
|
37 |
|
23 |
|
Safety Metrics in Detail
ANALYSIS: With an Obermatt Safety Rank of 100 (better than 100% compared with alternatives) for 2024, the company Expeditors International of Washington has safe financing practices, which means that their overall debt burden is low. This doesn't mean that the business of Expeditors International of Washington is safe, it only means that the company is on the safer side regarding possible bankruptcy, assuming that public reporting is correct. The Safety Rank is based on consolidating three financing indicators, where all three are above average for Expeditors International of Washington. Leverage is at 100, meaning the company has a below-average debt-to-equity ratio. It has less debt than 100% of its competitors. Refinancing is at a rank of 84, meaning that the portion of the debt about to be refinanced is below average. It has less debt in the refinancing stage than 84% of its competitors. Finally, Liquidity is also good at a rank of 96, which means that the company generates more profit to service its debt than 96% of its competitors. ...read more
RECOMMENDATION: With a consolidated Safety Rank of 100 (better than 100% compared with alternatives), Expeditors International of Washington has a financing structure that is significantly safer than that of its competitors. These three positive financing indicators signal that the company is less likely to default on its debt obligations. However, it also means that its shareholder returns will be more modest if things go well. A low safety means fewer troubles in downtimes and less upside in good times. Investors may not have a debt issue with Expeditors International of Washington but they should also compare Obermatt’s Value, Growth, and Sentiment Ranks before making a decision. ...read more
| SAFETY METRICS | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| LEVERAGE | ||||||||
| LEVERAGE | 94 |
|
100 |
|
100 |
|
100 |
|
| REFINANCING | ||||||||
| REFINANCING | 69 |
|
68 |
|
76 |
|
84 |
|
| LIQUIDITY | ||||||||
| LIQUIDITY | 90 |
|
100 |
|
90 |
|
96 |
|
| CONSOLIDATED RANK: SAFETY | ||||||||
| CONSOLIDATED RANK: SAFETY | 93 |
|
65 |
|
100 |
|
100 |
|
Sentiment Metrics in Detail
| SENTIMENT | 2021 | 2022 | 2023 | 2024 | ||||
|---|---|---|---|---|---|---|---|---|
| ANALYST OPINIONS | ||||||||
| ANALYST OPINIONS | n/a |
|
13 |
|
5 |
|
new |
|
| OPINIONS CHANGE | ||||||||
| OPINIONS CHANGE | n/a |
|
29 |
|
45 |
|
new |
|
| PRO HOLDINGS | ||||||||
| PRO HOLDINGS | n/a |
|
92 |
|
92 |
|
new |
|
| MARKET PULSE | ||||||||
| MARKET PULSE | n/a |
|
86 |
|
85 |
|
new |
|
| CONSOLIDATED RANK: SENTIMENT | ||||||||
| CONSOLIDATED RANK: SENTIMENT | n/a |
|
73 |
|
64 |
|
new |
|
Stock analysis by the purely fact based Obermatt Method for Expeditors International of Washington from April 25, 2024.
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