Werner Enterprises, Inc. (WERN) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

J.B. Hunt Transport Services, Inc.

Saia, Inc.

Landstar System, Inc.

Old Dominion Freight Line, Inc.

XPO, Inc.

Knight-Swift Transportation Holdings, Inc.

Schneider National, Inc.

Werner Enterprises, Inc.

Forward Air Corp.

ArcBest Corp.

Marten Transport Ltd.

Why is Werner Enterprises, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate -25.03% of over the last 5 years

The company has declared Negative results for the last 3 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at USD 235.9 MM
PRE-TAX PROFIT(Q) At USD -5.97 MM has Fallen at -199.92%
NET PROFIT(Q) At USD -4.29 MM has Fallen at -156.66%

Risky -

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of 49.94%, its profits have fallen by -17.1%

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Transport Services)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Werner Enterprises, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Werner Enterprises, Inc.

48.44%

0.24

40.31%

S&P 500

22.24%

1.91

13.23%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.63%

EBIT Growth (5y)

-25.03%

EBIT to Interest (avg)

32.33

Debt to EBITDA (avg)

0.95

Net Debt to Equity (avg)

0.42

Sales to Capital Employed (avg)

1.45

Tax Ratio

13.54%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

12.53%

ROE (avg)

11.21%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.54

EV to EBIT

52.17

EV to EBITDA

8.26

EV to Capital Employed

1.36

EV to Sales

0.94

PEG Ratio

Dividend Yield

1.63%

ROCE (Latest)

2.60%

ROE (Latest)

1.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Mildly Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

No Trend

OBV

Mildly Bullish

No Trend

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

7What is working for the Company

NET PROFIT(HY)

At USD 12.61 MM has Grown at 318.59%

RAW MATERIAL COST(Y)

Fallen by -6.87% (YoY

INVENTORY TURNOVER RATIO(HY)

Highest at 211.3 times

NET SALES(Q)

Highest at USD 808.61 MM

-20What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 235.9 MM

PRE-TAX PROFIT(Q)

At USD -5.97 MM has Fallen at -199.92%

NET PROFIT(Q)

At USD -4.29 MM has Fallen at -156.66%

ROCE(HY)

Lowest at -0.61%

DEBT-EQUITY RATIO (HY)

Highest at 72.43 %

DEBTORS TURNOVER RATIO(HY)

Lowest at 6.63 times

INTEREST(Q)

Highest at USD 11.65 MM

Here's what is working for Werner Enterprises, Inc.

Net Sales

Highest at USD 808.61 MM

in the last five periods

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Inventory Turnover Ratio

Highest at 211.3 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Raw Material Cost

Fallen by -6.87% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Depreciation

Highest at USD 84.91 MM

in the last five periods

MOJO Watch

The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Werner Enterprises, Inc.

Pre-Tax Profit

At USD -5.97 MM has Fallen at -199.92%

over average net sales of the previous four periods of USD 5.97 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -4.29 MM has Fallen at -156.66%

over average net sales of the previous four periods of USD 7.57 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Cash Flow

Lowest at USD 235.9 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Interest

At USD 11.65 MM has Grown at 13.9%

period on period (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Interest

Highest at USD 11.65 MM

in the last five periods and Increased by 13.9% (QoQ)

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Debt-Equity Ratio

Highest at 72.43 %

in the last five Semi-Annual periods

MOJO Watch

The company is borrowing more to fund its operations; it's liquidity situation may be stressed

Debt-Equity Ratio

Debtors Turnover Ratio

Lowest at 6.63 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling Debtors has slowed

Debtors Turnover Ratio