Hub Group Stock Fair Value – HUB GROUP Reports Record Second Quarter Earnings for FY2023
July 30, 2023
🌥️Earnings Overview
HUB GROUP ($NASDAQ:HUBG) reported total revenue of USD 1040.5 million for the second quarter of FY2023 (ending June 30, 2023), a decrease of 25.8% compared to the same period last year. Net income for this quarter was USD 46.5 million, a decrease of 54.8% from the same time last year.
Market Price
The company’s stock opened at $87.2 and closed at $86.8, down by 0.2% from the previous closing price of $86.9. Additionally, the company also saw growth in its truck brokerage, transportation management, and dedicated contract services segments. Overall, HUB GROUP reported a successful second quarter for FY2023, with strong revenue growth and a healthy dividend payout. Investors are optimistic about the company’s strong performance and its potential for continued growth in the future. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Hub Group. More…
| Total Revenues | Net Income | Net Margin |
| 4.83k | 274.88 | 5.6% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Hub Group. More…
| Operations | Investing | Financing |
| 478.81 | -261.91 | -173.01 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Hub Group. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 2.8k | 1.19k | 50.37 |
Key Ratios Snapshot
Some of the financial key ratios for Hub Group are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| 12.1% | 45.2% | 7.6% |
| FCF Margin | ROE | ROA |
| 5.8% | 14.0% | 8.2% |
Analysis – Hub Group Stock Fair Value
At GoodWhale, we have conducted comprehensive analysis of HUB GROUP‘s wellbeing. Our proprietary Valuation Line has determined that the intrinsic value of HUB GROUP share is around $89.1. Currently, HUB GROUP stock is traded at $86.8, implying that it is undervalued by 2.6%. We believe that this is a fair price, given the current market conditions and the company’s performance. More…
Peers
The competition in the logistics industry is fierce. Hub Group Inc, Stonepath Group Inc, XPO Logistics Inc, and LHN Logistics Ltd are all fighting for market share. Each company has its own strengths and weaknesses, and they are constantly trying to one-up each other.
– Stonepath Group Inc ($OTCPK:SGRZ)
The company’s market cap is $4.38k and its ROE is -2.67%. The company is engaged in the business of providing logistics and transportation services.
– XPO Logistics Inc ($NYSE:XPO)
XPO Logistics Inc is a transportation and logistics company that operates in 32 countries. It has a market cap of 5.27B and a ROE of 42.78%. The company provides services such as truckload brokerage, intermodal, last mile, less-than-truckload, managed transportation, and warehousing.
Summary
HUB GROUP reported total revenue of USD 1040.5 million and net income of USD 46.5 million for the second quarter of FY2023, ending on June 30 2023. This represents a year-over-year decrease of 25.8% in revenue and 54.8% in net income. Investors may be concerned with this news, as it could indicate a potential financial struggle for HUB GROUP in the near future.
Analysts may need to reassess the company’s financial standing and advise investors accordingly. Going forward, it is important to keep an eye on the company’s finances and operations to better understand its performance.
