What's in the Cards for Expeditors (EXPD) in Q3 Earnings?
Expeditors International of Washington EXPD is scheduled to report third-quarter 2023 results on Nov 7.
Expeditors has outperformed the Zacks Consensus Estimate in two of the preceding four quarters (missed in the remaining two), the average beat being 0.49%.
Let’s see how things have shaped up for EXPD this earnings season.
Q3 Expectations
The Zacks Consensus Estimate for EXPD’s third-quarter 2023 revenues is pegged at $2.32 billion, indicating a 46.73% decline year over year. The top line is likely to have been weighed down by declining volumes (with respect to air-freight tonnage and ocean containers) due to weakening demand and falling rates.
Higher capital expenses might have dented the bottom line. The Zacks Consensus Estimate for EXPD’s third-quarter 2023 earnings has been revised downward by 8.1% in the past 90 days.
What Our Model Says
Our proven model does not conclusively predict an earnings beat for Expeditors this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.
Expeditors has an Earnings ESP of -1.28% and a Zacks Rank #3.
Highlights of Q2
Expeditors' second-quarter 2023 earnings of $1.30 per share fell short of the Zacks Consensus Estimate of $1.34. Moreover, the bottom line plunged 42.7% year over year. Total revenues of $2,239.8 million lagged the Zacks Consensus Estimate of 2,878.8 million and decreased 51.3% year over year. Results were hurt by the lackluster demand scenario.
Expeditors International of Washington, Inc. Price and EPS Surprise
Expeditors International of Washington, Inc. price-eps-surprise | Expeditors International of Washington, Inc. Quote
Stocks to Consider
Here are a few stocks from the broader Zacks Transportation sector that investors may consider, which have reported better-than-expected earnings and revenue performance in their third-quarter 2023 results:
SkyWest, Inc. (SKYW) has an Earnings ESP of +7.93% and a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
SKYW reported better-than-expected earnings and revenue performance in its third-quarter 2023 results.
Quarterly earnings of 55 cents per share outpaced the Zacks Consensus Estimate of 40 cents but declined 42.7% year over year. Revenues of $766.2 million beat the Zacks Consensus Estimate of $762.6 million but slipped 2.9% year over year.
SKYW delivered a trailing four-quarter earnings surprise of 32.57%, on average.
Old Dominion Freight Line, Inc. ODFL has an Earnings ESP of +1.12% and a Zacks Rank #2.
ODFL reported third-quarter 2023 earnings per share of $3.09 surpassed the Zacks Consensus Estimate of $2.89 but declined 8% year over year.
Revenues of $1,515.27 million beat the Zacks Consensus Estimate of $1,492 million and decreased 5.5% year over year. The downside was due to a 6.9% decrease in LTL tons per day, partially offset by a 3.1% increase in LTL revenue per hundredweight.
Westinghouse Air Brake Technologies Corporation, operating as Wabtec Corporation WAB, has an Earnings ESP of +1.80% and a Zacks Rank #2.
WAB reported third-quarter 2023 earnings (excluding 36 cents from non-recurring items) of $1.70 per share, which beat the Zacks Consensus Estimate of $1.46. The bottom line improved 39.3% year over year, owing to higher sales.
Revenues of $2,550 million also surpassed the Zacks Consensus Estimate of $2,401.2 million. The top line grew 22.5% year over year on the back of higher sales of the Freight and Transit segments.
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Expeditors International of Washington, Inc. (EXPD) : Free Stock Analysis Report
Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report
SkyWest, Inc. (SKYW) : Free Stock Analysis Report
Westinghouse Air Brake Technologies Corporation (WAB) : Free Stock Analysis Report
