3 Stocks Pushing The Transportation Industry Lower

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The Transportation industry as a whole closed the day down 0.9% versus the S&P 500, which was down 0.4%. Laggards within the Transportation industry included Radiant Logistics ( RLGT), down 1.6%, Sino-Global Shipping America ( SINO), down 3.7%, Globus Maritime ( GLBS), down 2.1%, PHI ( PHII), down 5.3% and Air T ( AIRT), down 3.0%.

TheStreet Ratings Group would like to highlight 3 stocks that pushed the industry lower today:

Globus Maritime ( GLBS) is one of the companies that pushed the Transportation industry lower today. Globus Maritime was down $0.07 (2.1%) to $3.39 on light volume. Throughout the day, 2,515 shares of Globus Maritime exchanged hands as compared to its average daily volume of 9,400 shares. The stock ranged in price between $3.36-$3.46 after having opened the day at $3.45 as compared to the previous trading day's close of $3.46.

Globus Maritime Limited, an integrated dry bulk shipping company, provides marine transportation services worldwide. It owns, operates, and manages a fleet of dry bulk vessels that transport iron ore, coal, grain, steel products, cement, alumina, and other dry bulk cargoes. Globus Maritime has a market cap of $35.5 million and is part of the services sector. Shares are down 12.6% year-to-date as of the close of trading on Wednesday. Currently there is 1 analyst who rates Globus Maritime a buy, no analysts rate it a sell, and none rate it a hold.

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TheStreet Ratings rates Globus Maritime as a sell. The company's weaknesses can be seen in multiple areas, such as its unimpressive growth in net income and weak operating cash flow.

Highlights from TheStreet Ratings analysis on GLBS go as follows:

  • The company, on the basis of change in net income from the same quarter one year ago, has significantly underperformed when compared to that of the S&P 500 and the Marine industry. The net income has decreased by 18.0% when compared to the same quarter one year ago, dropping from $1.32 million to $1.08 million.
  • Net operating cash flow has decreased to $2.81 million or 16.15% when compared to the same quarter last year. In addition, when comparing to the industry average, the firm's growth rate is much lower.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. When compared to other companies in the Marine industry and the overall market, GLOBUS MARITIME LTD's return on equity is below that of both the industry average and the S&P 500.
  • The gross profit margin for GLOBUS MARITIME LTD is rather high; currently it is at 50.14%. Regardless of GLBS's high profit margin, it has managed to decrease from the same period last year. Despite the mixed results of the gross profit margin, GLBS's net profit margin of 14.60% compares favorably to the industry average.
  • GLOBUS MARITIME LTD's earnings per share declined by 15.4% 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, GLOBUS MARITIME LTD turned its bottom line around by earning $0.52 versus -$8.20 in the prior year. This year, the market expects an improvement in earnings ($0.57 versus $0.52).

You can view the full analysis from the report here: Globus Maritime Ratings Report

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At the close, Sino-Global Shipping America ( SINO) was down $0.07 (3.7%) to $1.89 on average volume. Throughout the day, 11,794 shares of Sino-Global Shipping America exchanged hands as compared to its average daily volume of 9,700 shares. The stock ranged in price between $1.88-$2.02 after having opened the day at $1.91 as compared to the previous trading day's close of $1.96.

Sino-Global Shipping America, Ltd. provides shipping agency services for ships coming to and departing from Chinese ports. Sino-Global Shipping America has a market cap of $9.2 million and is part of the services sector. Shares are down 21.5% year-to-date as of the close of trading on Wednesday. Currently there is 1 analyst who rates Sino-Global Shipping America a buy, 1 analyst rates it a sell, and none rate it a hold.

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TheStreet Ratings rates Sino-Global Shipping America as a sell. The area that we feel has been the company's primary weakness has been its declining revenues.

Highlights from TheStreet Ratings analysis on SINO go as follows:

  • This stock has increased by 30.71% over the past year, outperforming the rise in the S&P 500 Index during the same period. Looking ahead, however, we cannot assume that the stock's past performance is going to drive future results. Quite to the contrary, its sharp appreciation over the last year is one of the factors that should prompt investors to seek better opportunities elsewhere.
  • The company's current return on equity greatly increased when compared to its ROE from the same quarter one year prior. This is a signal of significant strength within the corporation. Compared to other companies in the Transportation Infrastructure industry and the overall market, SINO-GLOBAL SHIPPING AMERICA's return on equity significantly trails that of both the industry average and the S&P 500.
  • SINO, with its decline in revenue, underperformed when compared the industry average of 9.3%. Since the same quarter one year prior, revenues fell by 10.6%. The declining revenue has not hurt the company's bottom line, with increasing earnings per share.
  • SINO-GLOBAL SHIPPING AMERICA reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past year. During the past fiscal year, SINO-GLOBAL SHIPPING AMERICA continued to lose money by earning -$0.39 versus -$0.61 in the prior year.
  • The gross profit margin for SINO-GLOBAL SHIPPING AMERICA is rather high; currently it is at 56.07%. It has increased significantly from the same period last year. Regardless of the strong results of the gross profit margin, the net profit margin of 15.58% trails the industry average.

You can view the full analysis from the report here: Sino-Global Shipping America Ratings Report

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Radiant Logistics ( RLGT) was another company that pushed the Transportation industry lower today. Radiant Logistics was down $0.05 (1.6%) to $3.02 on heavy volume. Throughout the day, 8,199 shares of Radiant Logistics exchanged hands as compared to its average daily volume of 1,300 shares. The stock ranged in price between $3.00-$3.06 after having opened the day at $3.02 as compared to the previous trading day's close of $3.07.

Radiant Logistics, Inc. operates as a non-asset based transportation and logistic services company in the United States and internationally. Radiant Logistics has a market cap of $105.8 million and is part of the services sector. Shares are up 14.6% year-to-date as of the close of trading on Wednesday. Currently there is 1 analyst who rates Radiant Logistics a buy, no analysts rate it a sell, and none rate it a hold.

TheStreet Ratings rates Radiant Logistics as a buy. 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, compelling growth in net income, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

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Highlights from TheStreet Ratings analysis on RLGT go as follows:

  • The revenue growth came in higher than the industry average of 3.6%. Since the same quarter one year prior, revenues rose by 18.2%. This growth in revenue appears to have trickled down to the company's bottom line, improving the earnings per share.
  • RLGT's debt-to-equity ratio is very low at 0.15 and is currently below that of the industry average, implying that there has been very successful management of debt levels. Along with the favorable debt-to-equity ratio, the company maintains an adequate quick ratio of 1.19, which illustrates the ability to avoid short-term cash problems.
  • The net income growth from the same quarter one year ago has significantly exceeded that of the S&P 500 and the Air Freight & Logistics industry. The net income increased by 86.8% when compared to the same quarter one year prior, rising from $0.88 million to $1.65 million.
  • Powered by its strong earnings growth of 50.00% and other important driving factors, this stock has surged by 53.84% over the past year, outperforming the rise in the S&P 500 Index during the same period. Looking ahead, the stock's sharp rise over the last year has already helped drive it to a level which is relatively expensive compared to the rest of its industry. We feel, however, that other strengths this company displays justify these higher price levels.
  • RADIANT LOGISTICS INC reported significant earnings per share improvement in the most recent quarter compared to the same quarter a year ago. The company has demonstrated a pattern of positive earnings per share growth over the past two years. However, we anticipate underperformance relative to this pattern in the coming year. During the past fiscal year, RADIANT LOGISTICS INC increased its bottom line by earning $0.10 versus $0.06 in the prior year. For the next year, the market is expecting a contraction of 10.0% in earnings ($0.09 versus $0.10).

You can view the full analysis from the report here: Radiant Logistics Ratings Report

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12 months. Learn more.

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