Update (9:40 a.m.): Updated with Wednesday market open information.
NEW YORK (TheStreet) -- Credit Suisse reduced its target price on Expeditors International of Washington (EXPD) to $44, reduced its estimates and set an "outperform" rating. The firm noted the company is losing operating leverage.
The stock was falling 0.64% to $38.81 shortly after the market opened on Wednesday.
- Despite its growing revenue, the company underperformed as compared with the industry average of 4.6%. Since the same quarter one year prior, revenues slightly increased by 0.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- EXPD has no debt to speak of therefore resulting in a debt-to-equity ratio of zero, which we consider to be a relatively favorable sign. Along with this, the company maintains a quick ratio of 2.82, which clearly demonstrates the ability to cover short-term cash needs.
- Net operating cash flow has increased to $96.29 million or 39.22% when compared to the same quarter last year. In addition, EXPEDITORS INTL WASH INC has also vastly surpassed the industry average cash flow growth rate of -79.65%.
- EXPEDITORS INTL WASH INC has improved earnings per share by 7.1% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, EXPEDITORS INTL WASH INC reported lower earnings of $1.57 versus $1.79 in the prior year. This year, the market expects an improvement in earnings ($1.75 versus $1.57).
- The company, on the basis of net income growth from the same quarter one year ago, has underperformed when compared to that of the S&P 500 and greatly underperformed compared to the Air Freight & Logistics industry average. The net income increased by 4.4% when compared to the same quarter one year prior, going from $88.49 million to $92.40 million.
- You can view the full analysis from the report here: EXPD Ratings Report
Select the service that is right for you!COMPARE ALL SERVICES
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV