|Bid||182.13 x 800|
|Ask||182.18 x 900|
|Day's Range||182.01 - 186.44|
|52 Week Range||104.61 - 190.13|
|Beta (5Y Monthly)||1.06|
|PE Ratio (TTM)||36.89|
|Earnings Date||Oct 22, 2020 - Oct 26, 2020|
|Forward Dividend & Yield||0.60 (0.33%)|
|Ex-Dividend Date||Sep 01, 2020|
|1y Target Est||166.91|
With numerous metrics to determine how a less-than-truckload (LTL) company is doing, the CFO at Old Dominion Freight Line, Inc. (NYSE: ODFL) talked this week about the measurement that his company likes to look at: revenue per shipment.In a conference call with earnings analysts following the release of the company's strong second-quarter earnings report, ODFL CFO Adam Satterfield said that metric is one that the company favors as a barometer of the strength of the business. "We believe revenue per shipment is a better measurement, as we focus internally on maintaining a positive spread between our revenue and cost per shipment," Satterfield said.Focusing on that spread is vital, Satterfield said. "Managing those two factors [revenue and cost per shipment] has really been a key contributor to our long-term ratio improvement," he said. Old Dominion's operating ratio was 10 basis points improved in the quarter. It's a small amount, but it stands in sharp contrast to XPO, where the OR in its LTL division shot up about 10 percentage points, depending on the measuring stick. While some of ODFL's metrics were down in the challenging second quarter, revenue per shipment was up. Old Dominion's revenue per shipment excluding fuel was $321.47, up from $306.37, a gain of 4.9%. Satterfield said that rate of increase was "relatively consistent with the change in the first quarter of 2020, as well as our long-term trends." The gain in revenue per shipment stood in contrast to some other key LTL metrics that declined (yet the company's OR improved regardless). Old Dominion's revenue per hundredweight, another key metric, was down to $21.85 from $22.72.But Satterfield noted that revenue per hundredweight has some flaws. According to a transcript of the earnings call supplied by SeekingAlpha, Satterfield said that metric is subject to "multiple factors" that can have a "significant impact" on its calculation. He specified average length of haul and weight per shipment as two of those factors. The relationship between changes in revenue per hundredweight and changes in Old Dominion's mix of freight are not "linear," Satterfield said. "As a result, revenue per hundredweight is a tough measure to evaluate, when the mix of our business changes so significantly like it did during the second quarter," he said.Weight per shipment was volatile during the second quarter for Old Dominion, one of the reasons why Satterfield suggested revenue per hundredweight was a less-than-stellar barometer. Satterfield said Old Dominion's weight per shipment was about 1,600 pounds in January and February and then climbed to 1,677 pounds in April. It worked its way back toward 1,600 pounds in June. View more earnings on ODFLWeight per shipment, depending on the mix, is a double-edged sword for LTL carriers. Depending on what is driving the gains, higher is not necessarily better. Satterfield said one of the reasons it reached the 1,670-pound level is that in the early days of the pandemic, national accounts continued to be consistent users of Old Dominion's services but some smaller accounts did not. Some of those smaller accounts are returning to the fold, Satterfield said, bringing the number back to 1,600. That bigger is not always better was evident in this answer from Satterfield to an analyst's question: "We're happy to see it kind of coming back to the 1,600-pound range. If we can see that stay around that sort of level for the time being, that would be a good trend and contributor too to the overall revenue per shipment that we're seeing."Price negotiations are more positive than revenue per hundredweight indicatesSatterfield, noting that drop in revenue per hundredweight, said that could be construed as a sign of a weakening market. But the CFO said that is not the case. "While the change in revenue per hundredweight might suggest otherwise, we continue to negotiate rate increases during the second quarter and believe underlying pricing trends remained relatively consistent," he said. Satterfield, in response to an analyst's question, said Old Dominion did lose some business earlier in the year as it stuck to the line on pricing. "In the early part of this quarter, that may have impacted some of our volumes as well," he said. "But ... we are starting to see some volumes coming back to us. That's been an encouraging trend."CEO Greg Gantt echoed Satterfield, noting the return of some lost business. "We did see customers more likely to put out bids and rebid the freight, and that was definitely a challenge for us," Gantt said. But he added that Old Dominion did gain some business from competitors, "and fortunately, we are gaining back some revenue that we lost earlier, because they couldn't meet the service standards they had with us."On a separate issue, Gantt said Old Dominion has "somewhat of an appetite for an acquisition. I just don't know who that is or exactly what that is." He added that ODFL is "not looking at anything currently."More articles by John KingstonRyder sees weak market for used vehicles lingering, and it has a glut of themU.S. Xpress has strong second quarterDrilling Deep: The LTL model adapts to the COVID-19 worldSee more from Benzinga * Old Dominion Held The Line On Costs, Has Slight Uptick In OR Even As Volume Dropped * Geofencing Data: Less-Than-Truckload Boost Carries Into June * Trying To Make Sense Of The YRC Bailout(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
This conference call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements, among others, regarding Old Dominion's expected financial and operating performance. You are hereby cautioned that these statements may be affected by the important factors, among others, set forth in Old Dominion's filings with the Securities and Exchange Commission and in this morning's news release. At this time for opening remarks, I would like to turn the conference over to the company's President and Chief Executive Officer, Mr. Greg Gantt.
Dismal performance of the Less-Than-Truckload Services unit dents Old Dominion's (ODFL) Q2 results. Lower expenses, however, offer some relief.
Less-than-truckload (LTL) carrier Old Dominion Freight Line, Inc. (NASDAQ: ODFL) turned in a second quarter that saw it actually improve its operating ratio (OR), though several metrics on the volume side of the ledger were down.Total revenue for the company was down 15.5% to $896.2 million from $1.06 billion, a drop of 15.5%. The LTL services revenue line of $884.0 million made up the bulk of that, down 15.6% from the year-ago period.Operating income fell at a pace roughly in line with the decline in revenue. Operating income was down 15.1% to $199.1 million, down from $234.4 million. But the company's OR ticked up 10 basis points to 77.8% from 77.9%. Where Old Dominion saw big changes was in its costs. Operating expenses for salaries, wages and benefits dropped to $460.9 million from $532.5 million, a decrease of 11.7%. Since such expenses are generally viewed as "sticky," that sort of decline against a revenue drop of 15.5% is a significant accomplishment. The numbers on average full-time employees tell the story – there were 17,911 employees in the second quarter of 2020 and 20,735 in the second quarter of 2019. The transportation analysis team at Deutsche Bank was impressed. In a quick analysis of the earnings put out soon after the Old Dominion numbers were released, the team led by Amit Mehrotra wrote that ODFL "exhibited very strong cost performance in a very difficult top-line environment," the Deutsche Bank report said. The overall cost decline was 15.6% against a drop in revenues of 15.5%, allowing for the slight improvement in OR. View more earnings on ODFLThe Deutsche report noted that the cost line of "operating supplies and expenses" was just 8.4% of sales, which the report said is likely the smallest in company history. Operating supplies and expenses plummeted to $75.4 million from $122.4 million, a drop of a whopping 38%."Clearly ODFL took a hard line on discretionary costs in the quarter, which together with best-in-class management of the other aspects of its cost structure, equated to a nice bottom-line beat," Deutsche wrote.More articles by John KingstonRyder sees weak market for used vehicles lingering and it has a lot of themUS Xpress has strong second quarterNew Jersey court ruling victory for employers seeking to compel arbitrationSee more from Benzinga * Geofencing Data: Less-Than-Truckload Boost Carries Into June * Trying To Make Sense Of The YRC Bailout * April The Bottom For Less-Than-Truckload?(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Old Dominion (ODFL) delivered earnings and revenue surprises of 21.36% and 0.14%, respectively, for the quarter ended June 2020. Do the numbers hold clues to what lies ahead for the stock?
Shares of Old Dominion Freight Line (NASDAQ:ODFL) rose 1.1% in pre-market trading after the company reported Q2 results.Quarterly Results Earnings per share decreased 42.13% year over year to $1.25, which beat the estimate of $1.08.Revenue of $896,210,000 declined by 15.53% from the same period last year, which missed the estimate of $900,350,000.Guidance Old Dominion Freight Line hasn't issued any earnings guidance for the time being.Old Dominion Freight Line hasn't issued any revenue guidance for the time being.How To Listen To The Conference Call Date: Jul 30, 2020View more earnings on ODFLTime: 10:00 AMET Webcast URL: https://www.webcaster4.com/Webcast/Page/1053/35633Recent Stock Performance 52-week high: $227.2152-week low: $119.01Price action over last quarter: Up 30.17%Company Profile Old Dominion Freight Line is the third- largest less-than-truckload carrier in the United States, with more than 235 service centers and 9,200-plus tractors. OD is by far one of the most disciplined and efficient providers in the trucking industry, and its profitability and capital returns stand head and shoulders above its peers. Strategic initiatives revolve around increasing network density through market share gains and maintaining industry- leading levels of service through consistent infrastructure investment.See more from Benzinga * Earnings Scheduled For July 30, 2020(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Old Dominion Freight Line, Inc. (Nasdaq: ODFL) today announced financial results for the three-month and six-month periods ended June 30, 2020.
Batman versus Superman. Yankees-Red Sox. Nikola Tesla versus Thomas Edison. These are some of the greatest rivalries of all time. Nikola bulls hope
Decline in LTL tons per day and LTL revenue per hundredweight is likely to get reflected in Old Dominion's (ODFL) second-quarter 2020 performance.
Tesla's blowout profit justifies some of its stock run-up. It also ups the S&P; 500 inclusion odds. But analysts think Tesla shares are grossly overvalued.
Old Dominion (ODFL) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Old Dominion Freight Line, Inc. (Nasdaq: ODFL) today announced that its Board of Directors has declared a quarterly cash dividend of $0.15 per share of common stock, payable on September 16, 2020, to shareholders of record at the close of business on September 2, 2020. After giving effect to the Company’s March 2020 three-for-two stock split, this dividend represents a 32.4% increase over the dividend paid in September 2019.
We know that hedge funds generate strong, risk-adjusted returns over the long run, which is why imitating the picks that they are collectively bullish on can be a profitable strategy for retail investors. With billions of dollars in assets, professional investors have to conduct complex analyses, spend many resources and use tools that are not […]
What happened Old Dominion Freight Line (NASDAQ: ODFL) has long been viewed as a best-of-breed trucking operation. The stock lived up to that reputation in the first half of 2020, gaining 34%, according to data provided by S&P Global Market Intelligence, despite difficult conditions.
Less-than-truckload (LTL) volumes continued to improve throughout May and into the first week of June, said Deutsche Bank (NYSE: DB) analyst Amit Mehrotra in a note to clients.He reported that in the first week of June, LTL activity levels improved 7% versus the average levels seen in May and were up 8% compared to the last week of May. Mehrotra believes that Old Dominion Freight Line (NASDAQ: ODFL) and SAIA (NASDAQ: SAIA) outperformed the average increase and United Parcel Service, Inc. (NYSE: UPS) and YRC Worldwide (NASDAQ: YRCW) underperformed.The investment firm has mapped approximately 1,000 LTL service sites, providing it with a high-frequency geolocation dataset for the LTL industry. The geofencing data covers all regions for major public and private LTL carriers, including all of Old Dominion's more than 200 facilities. The week-by-week analysis evaluates shipment trends for both regional and national carriers. The note said that the firm hasn't mapped XPO Logistics (NYSE: XPO) facilities yet.The regional data showed "sharp inflections." The Midwest saw activity improve 19% and the Northeast climbed 28% in the first week of June compared to the last week of May. The data shows that activity "stabilized at lower levels" in the Southwest. Chart: dbDIG Primary ResearchThe PMI, a survey of manufacturing supply executives, jumped 9.5 percentage points in June to a level of 52.6%. A reading above 50% implies expansion in the U.S. manufacturing sector. This was the second consecutive monthly improvement in the survey. The New Orders Index increased 24.6 percentage points from May to 56.4%, with the Production Index climbing 24.1 percentage points to 57.3%.Manufactured goods can represent nearly 85% of total tonnage for some LTL carriers.The early June data is a continuation of a meaningful recovery from the COVID-19-induced lows seen in April. Many LTL carriers highlighted improving tonnage and revenue trends from April to May in their midquarter reports.ArcBest Corp. (NASDAQ: ARCB) and Old Dominion reported year-over-year revenue declines of around 20% in April and in the mid- to high teens in May. SAIA reported a 12.9% year-over-year decline in April tonnage, with May tonnage down only 8.8%. SAIA doesn't provide midquarter yield metrics."Our observations are positive for our overall bullish stance on LTL industry and pricing dynamics, with our top picks remaining XPO and SAIA, and only valuation keeping us on the sidelines with respect to ODFL," concluded Mehrotra.Click for more FreightWaves articles by Todd Maiden. * Trying to make sense of the YRC bailout * YRC gives government 30% stake in its latest financial bailout * million financing keeps Workhorse's share surge hummingSee more from Benzinga * Current Volume Level Is Likely Unsustainable, But Just How High Can We Expect Throughput To Be Post-Fourth? * Pandemic Prompts DHL To Beef Up Expedited LCL Services * Fourth of July, 2020: U.S. Fireworks Industry Annual Revenue(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Old Dominion Freight Line, Inc. (Nasdaq: ODFL) announced today that it plans to release its second quarter 2020 financial results before opening of trading on Thursday, July 30, 2020. The Company will also hold a conference call to discuss its financial results and outlook at 10:00 a.m. (Eastern Time) on Thursday, July 30, 2020.
Trucking company YRC Worldwide shares surged after getting a huge loan from the government. The move shows that it pays to have friends in high places.
Old Dominion's shareholder friendly measures and liquidity position are aiding the stock. Meanwhile, supply chain disruptions are a headwind.
In this article we will take a look at whether hedge funds think Old Dominion Freight Line, Inc. (NASDAQ:ODFL) is a good investment right now. We check hedge fund and billionaire investor sentiment before delving into hours of research. Hedge funds spend millions of dollars on Ivy League graduates, unconventional data sources, expert networks, and […]