ArcBest (NASDAQ:ARCB) Trading Down 12.9% After Earnings Miss

ArcBest Co. (NASDAQ:ARCB) traded down 12.9% on Tuesday following a weaker than expected earnings announcement. The stock traded as low as $112.58 and last traded at $112.72. 175,399 shares were traded during trading, a decline of 42% from the average session volume of 304,269 shares. The stock had previously closed at $129.45.

The transportation company reported $1.34 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.53 by ($0.19). ArcBest had a net margin of 2.80% and a return on equity of 15.27%. The firm had revenue of $1.04 billion during the quarter, compared to analyst estimates of $1.03 billion. During the same quarter in the previous year, the business posted $1.58 earnings per share. The business’s quarterly revenue was down 6.3% compared to the same quarter last year.

ArcBest Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Friday, May 24th. Shareholders of record on Friday, May 10th will be given a $0.12 dividend. The ex-dividend date of this dividend is Thursday, May 9th. This represents a $0.48 annualized dividend and a yield of 0.44%. ArcBest’s dividend payout ratio is 9.66%.

Analyst Ratings Changes

Several research firms have issued reports on ARCB. Bank of America decreased their price target on shares of ArcBest from $143.00 to $110.00 and set an “underperform” rating on the stock in a research report on Wednesday. Stifel Nicolaus raised their price target on shares of ArcBest from $153.00 to $159.00 and gave the stock a “buy” rating in a research report on Wednesday, February 7th. The Goldman Sachs Group raised their price target on shares of ArcBest from $133.00 to $149.00 and gave the stock a “neutral” rating in a research report on Thursday, April 11th. Deutsche Bank Aktiengesellschaft began coverage on shares of ArcBest in a report on Monday, January 29th. They set a “buy” rating and a $148.00 price objective for the company. Finally, StockNews.com raised shares of ArcBest from a “hold” rating to a “buy” rating in a report on Friday, January 26th. One analyst has rated the stock with a sell rating, three have given a hold rating and ten have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $143.38.

Insiders Place Their Bets

In other ArcBest news, insider Erin K. Gattis sold 2,000 shares of the business’s stock in a transaction dated Friday, March 1st. The shares were sold at an average price of $141.58, for a total value of $283,160.00. Following the completion of the transaction, the insider now directly owns 32,247 shares of the company’s stock, valued at $4,565,530.26. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Insiders own 1.65% of the company’s stock.

Hedge Funds Weigh In On ArcBest

Institutional investors have recently modified their holdings of the stock. Contravisory Investment Management Inc. raised its stake in shares of ArcBest by 70.9% in the first quarter. Contravisory Investment Management Inc. now owns 188 shares of the transportation company’s stock worth $27,000 after acquiring an additional 78 shares during the last quarter. EverSource Wealth Advisors LLC grew its position in shares of ArcBest by 49.3% during the 4th quarter. EverSource Wealth Advisors LLC now owns 227 shares of the transportation company’s stock worth $27,000 after buying an additional 75 shares during the period. Allworth Financial LP grew its position in shares of ArcBest by 15,450.0% during the 3rd quarter. Allworth Financial LP now owns 311 shares of the transportation company’s stock worth $32,000 after buying an additional 309 shares during the period. GAMMA Investing LLC acquired a new stake in shares of ArcBest during the 4th quarter worth approximately $39,000. Finally, Parallel Advisors LLC grew its position in shares of ArcBest by 45.8% during the 4th quarter. Parallel Advisors LLC now owns 363 shares of the transportation company’s stock worth $44,000 after buying an additional 114 shares during the period. 99.27% of the stock is owned by institutional investors.

ArcBest Stock Performance

The firm’s 50-day moving average price is $138.58 and its 200 day moving average price is $125.60. The company has a debt-to-equity ratio of 0.12, a quick ratio of 1.26 and a current ratio of 1.23. The company has a market cap of $2.55 billion, a price-to-earnings ratio of 21.80, a PEG ratio of 0.48 and a beta of 1.56.

About ArcBest

ArcBest Corporation, an integrated logistics company, engages in the provision of ground, air, and ocean transportation solutions. It operates through two segments: Asset-Based and Asset-Light. The Asset-Based segment provides less-than-truckload (LTL) services, that transports general commodities, such as food, textiles, apparel, furniture, appliances, chemicals, non-bulk petroleum products, rubber, plastics, metal and metal products, wood, glass, automotive parts, machinery, and miscellaneous manufactured products.