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.

Knight-Swift Transportation Holdings, Inc.

Landstar System, Inc.

Saia, Inc.

XPO, Inc.

Old Dominion Freight Line, Inc.

Schneider National, Inc.

Werner Enterprises, Inc.

Marten Transport Ltd.

Forward Air Corp.

ArcBest Corp.

Why is Werner Enterprises, Inc. ?

Poor long term growth as Operating profit has grown by an annual rate -24.37% of over the last 5 years

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

NET PROFIT(HY) At USD -3.79 MM has Grown at -135.42%
OPERATING CASH FLOW(Y) Lowest at USD 119.53 MM
PRE-TAX PROFIT(Q) At USD 0.03 MM has Fallen at -99.62%

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 -4.18%, its profits have fallen by -17.4%

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -4.18% 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?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Werner Enterprises, Inc.

-3.29%

-0.55

41.45%

S&P 500

13.68%

0.71

19.28%

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)

-24.37%

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

1.47

EV to EBIT

47.92

EV to EBITDA

7.87

EV to Capital Employed

1.31

EV to Sales

0.91

PEG Ratio

Dividend Yield

1.71%

ROCE (Latest)

2.74%

ROE (Latest)

1.59%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Mildly Bearish

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Mildly Bullish

Dow Theory

Mildly Bearish

Mildly Bullish

OBV

Mildly Bearish

Mildly Bullish

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

9What is working for the Company

NET PROFIT(Q)

At USD 16.82 MM has Grown at 280.11%

INVENTORY TURNOVER RATIO(HY)

Highest at 213.18 times

DEBTORS TURNOVER RATIO(HY)

Highest at 7.07 times

-16What is not working for the Company

NET PROFIT(HY)

At USD -3.79 MM has Grown at -135.42%

OPERATING CASH FLOW(Y)

Lowest at USD 119.53 MM

PRE-TAX PROFIT(Q)

At USD 0.03 MM has Fallen at -99.62%

ROCE(HY)

Lowest at -1.02%

DEBT-EQUITY RATIO (HY)

Highest at 50.78 %

DIVIDEND PAYOUT RATIO(Y)

Lowest at 0%

EPS(Q)

Lowest at USD -0.46

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

Net Profit

At USD 16.82 MM has Grown at 280.11%

over average net sales of the previous four periods of USD 4.43 MM

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Inventory Turnover Ratio

Highest at 213.18 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its inventory faster

Inventory Turnover Ratio

Debtors Turnover Ratio

Highest at 7.07 times

in the last five Semi-Annual periods

MOJO Watch

Company has been able to sell its Debtors faster

Debtors Turnover Ratio

Depreciation

Highest at USD 73.33 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 0.03 MM has Fallen at -99.62%

over average net sales of the previous four periods of USD 7.03 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Operating Cash Flow

Lowest at USD 119.53 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)

Debt-Equity Ratio

Highest at 50.78 % and Grown

In each half year 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

EPS

Lowest at USD -0.46

in the last five periods

MOJO Watch

Declining profitability; company has created lower earnings for shareholders

EPS (USD)

Dividend Payout Ratio

Lowest at 0%

in the last five years

MOJO Watch

Company is distributing lower proportion of profits generated as dividend

DPR (%)