The end of an earnings season can be a great time to discover new stocks and assess how companies are handling the current business environment. Let’s take a look at how Expeditors (NYSE:EXPD) and the rest of the air freight and logistics stocks fared in Q4.
The growth of e-commerce and global trade continues to drive demand for expedited shipping services, presenting opportunities for air freight companies. The industry continues to invest in advanced technologies such as automated sorting systems and real-time tracking solutions to enhance operational efficiency. Despite the advantages of speed and global reach, air freight and logistics 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 6 air freight and logistics stocks we track reported a mixed Q4. As a group, revenues missed analysts’ consensus estimates by 0.7%.
While some air freight and logistics stocks have fared somewhat better than others, they have collectively declined. On average, share prices are down 4.9% since the latest earnings results.
Expeditors (NYSE:EXPD) offers air and ocean freight as well as brokerage services.
Expeditors reported revenues of $2.95 billion, up 29.7% year on year. This print exceeded analysts’ expectations by 4.3%. Overall, it was a stunning quarter for the company with a solid beat of analysts’ EBITDA estimates.
“As in Q3 2024, our fourth quarter results demonstrate our ability to adapt to highly volatile conditions and win new business,” said Jeffrey S. Musser, President and Chief Executive Officer.
Expeditors scored the biggest analyst estimates beat and fastest revenue growth of the whole group. The results were likely priced in, however, and the stock is flat since reporting. It currently trades at $114.02.
Is now the time to buy Expeditors? Access our full analysis of the earnings results here, it’s free.
Sporting one of the largest air cargo fleets in the world, FedEx (NYSE:FDX) is a global provider of parcel and cargo delivery services.
FedEx reported revenues of $21.97 billion, flat year on year, falling short of analysts’ expectations by 0.7%. The business performed better than its peers, but it was unfortunately a mixed quarter with an impressive beat of analysts’ adjusted operating income estimates.
Although it had a fine quarter compared to its peers, the market seems unhappy with the results as the stock is down 3.4% since reporting. It currently trades at $266.30.
Story Continues
