Editor's Note: Any reference to TheStreet Ratings and its underlying recommendation does not reflect the opinion of TheStreet, Inc. or any of its contributors including Jim Cramer or Stephanie Link.
Trade-Ideas LLC identified
) as a pre-market mover with heavy volume candidate. In addition to specific proprietary factors, Trade-Ideas identified CH Robinson Worldwide as such a stock due to the following factors:
- CHRW has an average dollar-volume (as measured by average daily share volume multiplied by share price) of $121.0 million.
- CHRW traded 165,885 shares today in the pre-market hours as of 8:32 AM, representing 10.2% of its average daily volume.
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More details on CHRW:
C.H. Robinson Worldwide, Inc., a third party logistics company, provides freight transportation services and logistics solutions to companies in various industries worldwide. The stock currently has a dividend yield of 2%. CHRW has a PE ratio of 26.0. Currently there are 2 analysts that rate CH Robinson Worldwide a buy, 2 analysts rate it a sell, and 13 rate it a hold.
The average volume for CH Robinson Worldwide has been 1.5 million shares per day over the past 30 days. CH Robinson Worldwide has a market cap of $10.5 billion and is part of the services sector and transportation industry. The stock has a beta of 0.17 and a short float of 8.5% with 7.57 days to cover. Shares are up 21.9% year-to-date as of the close of trading on Monday.
rates CH Robinson Worldwide as a
. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity, solid stock price performance and increase in net income. We feel these strengths outweigh the fact that the company shows weak operating cash flow.
Highlights from the ratings report include:
- CHRW's revenue growth has slightly outpaced the industry average of 5.8%. Since the same quarter one year prior, revenues slightly increased by 6.5%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
- The debt-to-equity ratio is somewhat low, currently at 0.89, and is less than that of the industry average, implying that there has been a relatively successful effort in the management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.29, which illustrates the ability to avoid short-term cash problems.
- The return on equity has improved slightly when compared to the same quarter one year prior. This can be construed as a modest strength in the organization. When compared to other companies in the Air Freight & Logistics industry and the overall market, C H ROBINSON WORLDWIDE INC's return on equity exceeds that of the industry average and significantly exceeds that of the S&P 500.
- The stock has risen over the past year as investors have generally rewarded the company for its earnings growth and other positive factors like the ones we have cited in this report. Turning our attention to the future direction of the stock, it goes without saying that even the best stocks can fall in an overall down market. However, in any other environment, this stock still has good upside potential despite the fact that it has already risen in the past year.
- The net income growth from the same quarter one year ago has exceeded that of the S&P 500 and greatly outperformed compared to the Air Freight & Logistics industry average. The net income increased by 6.0% when compared to the same quarter one year prior, going from $111.87 million to $118.60 million.
- You can view the full CH Robinson Worldwide Ratings Report.