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

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

J.B. Hunt Transport Services, Inc.

Knight-Swift Transportation Holdings, Inc.

Landstar System, Inc.

Old Dominion Freight Line, Inc.

Saia, Inc.

ArcBest Corp.

XPO, Inc.

Werner Enterprises, Inc.

Schneider National, Inc.

Marten Transport Ltd.

Forward Air Corp.

Why is Werner Enterprises, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate -14.73% of over the last 5 years

The company has declared Negative results for the last 13 consecutive quarters

OPERATING CASH FLOW(Y) Lowest at USD 207.46 MM
CASH AND EQV(HY) Lowest at USD 103.37 MM
DEBT-EQUITY RATIO (HY) Highest at 50.68 %

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -37.39% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

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?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Werner Enterprises, Inc.

-28.28%

-0.89

36.58%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.31%

EBIT Growth (5y)

-14.73%

EBIT to Interest (avg)

32.33

Debt to EBITDA (avg)

0.95

Net Debt to Equity (avg)

0.42

Sales to Capital Employed (avg)

1.47

Tax Ratio

13.54%

Dividend Payout Ratio

102.51%

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

213

Industry P/E

Price to Book Value

1.41

EV to EBIT

58.76

EV to EBITDA

7.94

EV to Capital Employed

1.29

EV to Sales

0.88

PEG Ratio

Dividend Yield

131.94%

ROCE (Latest)

2.19%

ROE (Latest)

0.66%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

RSI

No Signal

Bullish

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Bearish (Daily)

KST

Bearish

Dow Theory

Mildly Bearish

OBV

Mildly Bearish

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

19What is working for the Company

INTEREST COVERAGE RATIO(Q)

Highest at 1,465.6

RAW MATERIAL COST(Y)

Fallen by -82.53% (YoY

OPERATING PROFIT(Q)

Highest at USD 137.08 MM

OPERATING PROFIT MARGIN(Q)

Highest at 18.2 %

PRE-TAX PROFIT(Q)

Highest at USD 59.12 MM

NET PROFIT(Q)

Highest at USD 44.09 MM

EPS(Q)

Highest at USD 0.72

-5What is not working for the Company

OPERATING CASH FLOW(Y)

Lowest at USD 207.46 MM

CASH AND EQV(HY)

Lowest at USD 103.37 MM

DEBT-EQUITY RATIO (HY)

Highest at 50.68 %

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

Pre-Tax Profit

At USD 59.12 MM has Grown at 1,945.96%

over average net sales of the previous four periods of USD 2.89 MM

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 44.09 MM has Grown at 1,627%

over average net sales of the previous four periods of USD 2.55 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Interest Coverage Ratio

Highest at 1,465.6

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit

Highest at USD 137.08 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 18.2 %

in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 59.12 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 44.09 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 0.72

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -82.53% (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

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

Operating Cash Flow

Lowest at USD 207.46 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)

Cash and Eqv

Lowest at USD 103.37 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Debt-Equity Ratio

Highest at 50.68 %

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