Over the past several years, the company has opened numerous service centers which have increased capacity across its service network. The company based in Thomasville, NC, offers LTL services on a regional, inter-regional and national basis. Zacks Investment Research, Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report. Many strong competitors have ratios above 80% or even 90%. Trucks are also used in the construction industry, two of which require dump trucks and portable concrete mixers to move the large amounts of rocks, dirt, concrete, The reason for the change was that it had purchased vehicles from International Harvester which were delivered dark green. With the deregulation of the trucking industry in the 1980s, Old Dominion extended its service area into Florida, Tennessee and California and also started serving the major markets of Chicago and Dallas. First of all, using close to 11,000 trucks, ODFL operates in 48 states, where it owns 255 service centers to connect customers. Moreover, LTL weight per shipment, excluding fuel surcharges, increased 6% in 2021.Moreover, the companys fiscal year coincides with the calendar year. Hence, it explains high market share gains. The trucking industry landscape both for asset and non-asset companies Women In Trucking Association's Conference & Expo in Dallas, TX. Using ODFL's overview, the company offers the same price as most of its competitors, yet it can deliver a better performance. It noted the company fails to take market share for three to five consecutive quarters during downturns and the 2022 third quarter was the third straight period in which the carrier missed its share-gain mark. Stay informed Subscribe to our email newsletter. We have 2 ways to pay for this website, Advertising or Users who buy out of advertising. How much a stock's price changes over time is a significant driver for most investors. The question is, how does ODFL get it done? If the company is indeed doing close to $1.0 billion in annual free cash flow going forward, we're dealing with a 3% FCF yield. Less-than-truckload demand continues to moderate off all-time highs at a faster-than-expected pace. Its time to focus on navigating the supply chains of the future. As a comparison, a lot of railroads are currently operating with ORs in the low 60% range. Canada ONT Ontario - Garden Island 1908 Split Ring Cancel Card - Town Postmark. It also faces secondary competition from truckload carriers, small package carriers, airfreight carriers and railroads.Owing to the betterment in scenario in 2021, total revenues increased 30.9% year over year to $5.26 billion. Threads 22.7K Messages Old Dominion Freight Line. Most smaller operators struggle to be profitable. [18][19], As of 31December2020[update], ODFL had 19,779 full-time employees, all non-union, and operated 9,288 tractors and 244 service centers, 2017 of which are owned by the company with the remainder leased.[4]. Zacks Investment Research, Old Dominion Freight Line, Inc. (ODFL) : Free Stock Analysis Report. The non-GAAP payout ratio is just 9.4%. JavaScript is disabled. Theyll be happy to chat. On Seeking Alpha, I discuss a wide range of topics including long-term dividend (growth) investments, mid-term trading opportunities, commodities, rates, and related. Find service centers near you, view transit times, maps, and connect directly with your service center manager. The company is aggressively investing in capabilities that now come with strong pricing power and superior service quality. I always believed it's a lower-risk alternative with better shareholder returns. Moreover, the cyclical bull case (for lack of a better name) is starting to see cracks. That makes sense, as the company has "never" disappointed. Old Dominion has an Earnings ESP of +0.37% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. Even if a suppliers plant is open and operating, trucking restrictions are in effect. Autocar delivered its first battery-electric terminal tractor to Old Dominion Freight Line, one of the largest less-than-truckload motor carriers in North America. Whether we're talking about, semiconductors or building materials, chemicals, whatever. Usually, but in late 2022, not always. Old Dominion Freight Line was founded in 1934, and it has built up quite the reputation (and average annual revenue) for itself. Old Dominion is part of the U.S. Environmental Protection Agency's SmartWay Transport Partnership, a collaboration between freight shippers, carriers, and logistics companies to voluntarily achieve certain environmental standards around fuel efficiency and reduced emissions. That said, cracks are starting to appear. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier. The cargo claims ratio declined from 1.5% in 2002 to just 0.2% in 2022. From the extra care we use when loading your shipment to our state-of-the-art tracking technology, we pride ourselves on providing an excellent customer experience throughout every step of the promise. The company operates multiple service and maintenance centers.While bulk of the centers is owned by the company, the remaining are leased. What if you'd invested in Old Dominion Freight Line (ODFL) ten years ago? It also helps that the ODFL balance sheet is extremely healthy. Our convenient digital tools help you schedule a pickup, track your shipment, review your shipping documents and more, all from our easy-to-use digital hub. This was the second consecutive year Peninsula was No. Also, once the ball starts to roll, the U.S. is in a terrific place to boost re-shoring benefits even more. The Most Valuable Lessons Ive Learned about Price Reduction. LTL service revenues were up 30.7% and accounted for bulk of the top line (98.6%). Please disable your adblocker or click the green AD FREE button to support Truckingboards. The company is failing to grow tonnage as macro weakness is hitting customers. googletag.cmd.push(function() { Moreover, FreightWaves highlighted the struggles when it comes to growing the market share. This allowed ODFL to operate between Richmond and a number of points in North Carolina and South Carolina. Old Dominion Freight Line set records for revenue and profitability during the second quarter of 2022, the company reported July 27. Old Dominion Freight Line, Inc. (ODFL) is an American regional, inter-regional and national less than truckload shipping With the deregulation of the trucking industry in the 1980s, Old Dominion extended its service area into Florida, Tennessee and California and also started serving the major markets of Chicago and Dallas. FOMO, or the fear of missing out, also plays a role in investing, particularly with tech giants and popular consumer-facing stocks. Trucking news and expert analysis of trucking companies across the United States, from trucking industry news about such leading freight carriers as Swift Transportation and Old Dominion Freight Line to smaller regional trucking firms plying various cross-border and domestic routes.. [13], The company converted a disused lumber mill into a trucking terminal in 1942 to support the volume of business they were doing during the war. The service centers are endowed with responsibility pertaining to the pickup and delivery of freight locally. They will eventually move back to the mid-55% range, yet the fact that ODFL is coming so close is beyond impressive. Find information for investors and stockholders, including quarterly updates, events, stock, and OD financial information. Supply Chain Initiative. Please disable your adblocker or click the green AD FREE button to support Truckingboards.We have 2 ways to pay for this website, Advertising or Users who buy out of advertising. down my favorite less-than-truckload ("LTL") company. On the third-quarter call in late October, Old Dominion's management was optimistic that tonnage trends could reverse by the spring. }); googletag.cmd.push(function() { He then succeeded his father Earl Congdon, Jr. as executive chairman. [8] ODFL was initially granted a Certificate of Public Convenience and Necessity (CPCN) by the ICC to transport interstate freight on their original route between Richmond and Norfolk but this freight had to be destined for transit outside the state of Virginia either internationally or interstate. We offer safe, convenient, and dependable solutions for full truckload freightincluding dry van, flatbed, refrigeration, door-to-door, rail, and other special services. It is worth considering Old Dominion Freight Line (ODFL), which belongs to the Zacks Transportation - Truck industry. recommending properties you may be interested in or receiving saved searches by email) and to promote the services of Dreamstime. These companies are opening and Old Dominion has been a great stock to own and it's really a best-in-class operator in its segment. WebOpportunity Zones are economically distressed communities, defined by individual census tract, nominated by Americas governors, and certified by the U.S. Secretary of the Treasury via his delegation of that authority to the Internal Revenue Service. C $0.99 + C $4.00 shipping. The financial impact of the strike forced the company to lay off many of its office workers and sell of its operating authority for a major route between Richmond and Norfolk to Davidson Transfer and Storage to maintain enough capital to continue operations. In this article, we're going to discuss the company's strengths that make it a superior holding for people seeking cyclical industrial exposure. Five years later, the company relocated its headquarters to High Point, North Carolina, in 1962 and merged with Bottoms-Fiske trucking company. However, getting a good entry point for ODFL is key. Of 184 operators classified as LTL freight carriers, 23 received ratings and feedback sufficient enough to be included in the report. Today, you can download 7 Best Stocks for the Next 30 Days. Second place on our list goes to the less-than-truckload shipping company Old Dominion Freight Line. We have put together training videos to better help you navigate our new, intuitive designed website. I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. Please disable your ad-blocker and refresh. It primarily focuses on increasing shipments and tonnage growth in order to generate higher revenues.The company faces primary competition from regional, inter-regional and national LTL carriers. [9], The company moved its operations out of the Congdon's house into its terminal, a space outside a grocery store, in 1935. I wrote this article myself, and it expresses my own opinions. I-70 Indiana. If you have an ad-blocker enabled you may be blocked from proceeding. That's $1.20 per year, which translates to a 0.4% yield. Prior to joining FreightWaves, he covered the TLs, LTLs, railroads and brokers for RBC Capital Markets and BB&T Capital Markets. Moreover, the company's on-time performance improved from 94% in 2002 to 99% in 2022. The company is gaining an increasing competitive edge over companies that need to prioritize financial health and/or the ones that aren't even profitable yet. That could likely be towards the end of the first half of 2023. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. Today, you can download 7 Best Stocks for the Next 30 Days. The lists do not show all contributions to every state ballot measure, or each independent expenditure committee formed to support or We'll talk a lot more about this in the future, but for now, it's definitely something that will benefit ODFL on a long-term basis. Dec 14, 2022 10:00AM EST. in the News: November 7, 2022 - "Intermodal Update - Part 2" now posted covering: Drayage Demand Declining (pg7) Drayage Trucking Stats (pg18) Drayage Driver Bill of Rights (pg21) Where did the Chassis go? Improvement in the operating ratio (operating expenses as a percentage of revenues), owing to higher revenues, is encouraging. This means it costs less than 70% of total revenues to operate the company. Being a female driver is definitely an experience. At least when it comes to Old Dominion Freight Line, a trucking company that despite its name is not located in Virginia. OD provides complete nationwide coverage across all regions of the United States. It's why I have invested a big part of my capital in railroads. Ive inspired women to get their CDL. Viewed throughout the industry as the most comprehensive service-oriented survey, the 18th edition of Mastios annual study used feedback from more than 1,600 telephone interviews conducted from June to September to compile this years rankings. Global Shipping Report: Analyzing the 2023 Outlook. Until May 2018 he served as the company's Vice Chairman and CEO. Old Dominion Freight Line, founded in 1934, is a leading LTL company. Trouvez aussi des offres spciales sur votre htel, votre location de voiture et votre assurance voyage. While this market environment is challenging, the company has roughly 25% excess capacity (as of the third quarter), which will allow the company to grow its margins as soon as demand rebounds. In todays current business environment, having a trusted shipping partner is critical, so we take great pride in the fact that shippers recognized OD as the best., More FreightWaves articles by Todd Maiden. We believe the year-over-year decrease in volumes is primarily due to continued softness in the domestic economy, as customer demand for our superior service has remained consistently strong. The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. Threads 3.3K Messages 44.8K. Old Dominion Freight Lines (NASDAQ: ODFL) November update showed tonnage was down 8.6% year over year (y/y) during the month, following a 6.5% decline in October.Shipments per day were down by a similar amount in each month but weight per Old Dominion was fourth overall for the second year in a row. I have no business relationship with any company whose stock is mentioned in this article. Greg C. Gantt, President and Chief Executive Officer of Old Dominion, commented, "Old Dominion's revenue growth for the first two months of the fourth quarter reflects the ongoing improvement in our yield, which more than offset the decrease in volumes. ODFL could have been included as a fourth stock as LTL plays a big role in everything related to industrial production, inventory management, and longer-distance transportation. The company operates more than 5,800 tractors and more than 22,500 trailers. Old Dominion Freight Line, Inc. (ODFL) is an American regional, inter-regional and national less than truckload shipping (LTL) company. The most recent hike was announced in February of this year when the dividend was hiked by 50%. This includes my latest thesis, based on the return of supply chains in the United States. The table below shows tonnage data for the month of October. Personal Collection Statement. There's good news and there's bad news. While ODFL continues to benefit from its superior business model, volumes are down as economic demand has gone soft. Long-Term Dividend HoldingsPSA, DUK, HD, PEP, RTX, UNP, VLO, DE, ABBV, CAT, HBAN, NSC, LHX, XOM, HII, XEL, CVX, CP, LMT, NOC, CME, DHR, EXR, NDAQ. Want the latest recommendations from Zacks Investment Research? It generates high free cash flow, which it can invest in its company. That could change as cracks started to appear. The trucking industry is usually a reliable early indicator of any economic slowdown affecting the economy. Especially for long-term investors. So pick up the phone, or follow these three simple steps to start working with the #1 National LTL Carrier as awarded by Mastio & Company 13 years running. googletag.enableServices(); Everything Trucking & BS Forum. If current conditions continue, we might be looking at an attractive entry in 2023, before the Fed is eventually forced to pivot for real. Before we dive into current events, let's discuss the dividend. We see every package, delivery and shipment as a promise. WebPersonal Collection Statement. Supply Chain Initiative. [6], Following passage of the Motor Carrier Act of 1935, the Interstate Commerce Commission (ICC) began regulating the trucking industry. But, with that space lacking a loading dock, they moved again in 1936 to a facility with two truck bays. To us, your business is our business, and we make ourselves readily available as true shipping partners. Key decision-makers from major shippers regularly using LTL carriers were polled on their opinions on a number of items. This facility also housed the company's offices and its first maintenance shop. WebTruckingboards LTL Trucking Forum. And when you look at the stock's positive Zacks Earnings ESP (Expected Surprise Prediction), it's a great indicator of a future earnings beat, especially when combined with its solid Zacks Rank. Other ODFL drivers remained unionized. Many companies end up beating the consensus EPS estimate, but that may not be the sole basis for their stocks moving higher. The consensus estimate has moved up as well.Want the latest recommendations from Zacks Investment Research? Threads 22.7K Messages 139.6K. Earl moved to the role of senior executive chairman. The trucking industry serves the American economy by transporting large quantities of raw materials, works in process, and finished goods over landtypically from manufacturing plants to retail distribution centers. Loaded & Rolling (Enterprise Fleet News/Analysis), Bay and Bay sells tank trucking unit to Foodliner parent, TA Services adds West Coast brokerage in latest deal, XPO board approves RXO spinoff, eyes Nov. 1 distribution. The latest ODFL numbers have not been included. Unfortunately, its yield is low and the valuation is still somewhat lofty. Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. The good news is that dividend growth is high. This is based on its $31.4 billion enterprise value, consisting of its $32.0 billion market cap and $630 million in 2023E net cash (negative net debt). The LTL market has grown to $46.1 billion. Despite a standard deviation of 30%, ODFL shares also outperformed the market on a volatility-adjusted basis (Sharpe/Sortino ratios). Solving your complex shipping problems is what we live for. The sector median is 23%. Old Dominion Freight Line. Its what drives us. C $3.00 + C $1.75 shipping. Use our easy-to-use tools to schedule a freight pickup that fits your needs. This means the 0.4% dividend yield is covered and likely to continue to rise rapidly. [14], ODFL was one of many unionized carriers impacted by a Teamsters strike that lasted over 10 weeks in 1946. "ODFL" redirects here. Finding cost savings, not Additional disclosure: This article serves the sole purpose of adding value to the research process. In some regions, its market share has more than doubled since 2010. Total operating expenses rose 18.7% in the first nine months of 2022 due to a rise in costs pertaining to salaries, wages & benefits among other factors.. Over the past four weeks, shares have rallied 17.66%, and there have been 7 higher earnings estimate revisions in the past two months for fiscal 2022 compared to none lower. Podcasts. C $0.99 Anyone know anything about this. Unfortunately, I don't own it. The company has figured out how to beat competitors in a highly competitive LTL market. To ensure this doesnt happen in the future, please enable Javascript and cookies in your browser. These included wet leasing a significant portion of their fleet to the Manchester Board and Paper Co. in 1936 and unsuccessfully attempting to lease operating authority from Carter Brothers Express Lines in 1939 to expand ODFL's routes. My target is a price below $240. Canada ONT Ontario - Brigden 1993 POCON - John A Ford Trucking Advertising Cover. Looking beyond the upcoming recession, I have zero doubt that Old Dominion Freight Line will remain a highly attractive dividend growth total return champion. Created by Glen A. Larson and Christopher Crowe, the series stars Greg Evigan.The series was produced when the CB radio and trucking craze had peaked in the United States, following the 19741976 television series Movin' On, the number one song I'm looking to buy Old Dominion Freight Line below $240. [18], David Congdon, grandson of the company's founders, was named president and COO in 1997. Not only can price performance impact your portfolio, but it can help you compare investment results across sectors and industries as well. UPDATE 1-Ukraine attacks occupied Melitopol, Russian side says two killed, Yahoo Finance Presents: Andy Cohen, TV Host, Producer, & Author, Andy Cohen reveals the 'secret sauce' to 'The Real Housewives' success, Saudi Arabia Remains on Track to Be Fastest-Growing G-20 Economy, UPDATE 1-Saudi energy minister sees no clear results yet from Russia price cap. I'm a Buy-Side Macro Expert/Financial Markets Analyst. An electric-vehicle production facility in South Carolina could perhaps connect with a textile maker in North Carolina, who then might be able to move from making clothing to making upholstery for an electric vehicle or, potentially, a cloth to cover wind turbines. An attempt by employees to unionize under the Teamsters Union was unsuccessful in 1939 after a 3-month strike. Going back to 2004, ODFL shares have returned 25% per year. The facility was shared with Overnite Transportation with the two bays split between them. If you take pride in your work and care about doing things right, then picture yourself at Old Dominion. The focus is on dividend growth instead of a high yield, and sky-high capital returns have kept the dividend yield from rising. googletag.defineSlot('/21776187881/fw-responsive-main_content-slot2', [[468, 60], [728, 90], [300, 100], [320, 50]], 'div-gpt-ad-1665767472470-0').defineSizeMapping(gptSizeMaps.banner1).addService(googletag.pubads()); In comparison, the S&P 500 gained 191.94% and the price of gold went up -0.70% over the same time frame. Please. Nov. 18, 2022. Create an account to seamlessly manage your shipments, gain access to additional account management tools, and learn the power of keeping promises firsthand. Copyright 2022, All Rights Reserved, FreightWaves, Inc, LTL survey ranks Peninsula No. Contact your local OD team to understand the shipping options near you. 582,457 26-TNT Logistics 572,291 27-Carriers 565,440 29-Prime, Inc. 559,153 Thank You. 1 overall and the 13th straight time Old Dominion (NASDAQ: ODFL) was selected as the top national carrier. A $1000 investment made in November 2012 would be worth $14,306.46, or a 1,330.65% gain, as of November 15, 2022, according to our calculations. Country (also called country and western) is a genre of popular music that originated with blues, church music such as Southern gospel and spirituals, old-time, and American folk music forms including Appalachian, Cajun, Creole, Hawaiian, and the cowboy Western music styles of New Mexico, Red Dirt, Tejano, and Texas country. To read this article on Zacks.com click here. [11], In 1940, the company's drivers were successfully unionized under the Teamsters this time supported by Earl, Sr. at behest of a large customer. Moreover, high operating expenses pose a threat to Old Dominion's bottom line. At that point, we can finally put some serious money to work in ODFL, which almost certainly will continue to be a long-term total return dividend growth star. Old Dominion offers freight shipping nationwide and partners with carefully selected brokers worldwide. FOX FILES combines in-depth news reporting from a variety of Fox News on-air talent. googletag.defineSlot('/21776187881/FW_Super_Leaderboard', [[300, 50], [970, 90], [300, 100], [728, 90]], 'div-gpt-ad-1668097889433-0').defineSizeMapping(gptSizeMaps.banner2).addService(googletag.pubads()); In 1957, Old Dominion extended its operations to most major markets in North Carolina and southern Virginia. With a focus on its Virginia operations, especially transporting equipment and supplies for the military to ports, ODFL chose not to renew their lease of New Dixie's CPCN making them solely a Virginia intrastate operator again. Information Chains: Disentangling Roadblocks to Digitalization in Logistics. In the 1940s, ODFL switched from a navy blue and red livery for its tractors to the dark green color which it continued to use throughout its history. On December 5, the company updated investors on its operations. The company's next earnings report is expected to be released on October 26, 2022. We will update you on new newsroom updates. Threads 3.3K Messages 44.8K. Looking ahead, analysts are expecting more upside for ODFL. I see a lot of potential there, and I think we're only at the beginning of it being realized. 150-year-old shipwreck from gold rush discovered off the coast of Washington state In a separate news release, Old Dominion said it ranked No. View all your important shipping documents and ODFL tools in one customizable dashboard. How much Revenue does the trucking industry produce? As a result, the company has become a fast-growing company with high free cash flow, a healthy balance sheet, and aggressive dividend growth. Even during the Great Financial Crisis, it made great progress. Old Dominion's efforts to add shareholder value are impressive. *If* economic conditions continue to worsen, I would not bet against a decline to $220. Old Dominion Freight Line is one of my favorite dividend growth stocks, thanks to its ability to dominate the LTL industry while generating high free cash flow. This was one of three routes Wilson had acquired from former ODFL competitor Hampton Roads Transport Company earlier that year. Our Super Regional LTL Shipping service allows businesses to ship both inter- and intra-regionally with the most competitive transit times and pricing available. The company has more cash than gross debt. [6] The name is a reference to a common nickname for the Commonwealth of Virginia, the "Old Dominion". Note that this mainly happened organically, meaning not by simply buying competitors. B.J. Old Dominion remains one of my favorite dividend growth stocks. window.googletag = window.googletag || {cmd: []}; Below are lists of the top 10 contributors to committees that have raised at least $1,000,000 and are primarily formed to support or oppose a state ballot measure or a candidate for state office in the November 2022 general election. However, I believe we could get a better valuation. The company is a total return star, which is now running into economic weakness. Moreover, the payout ratio remains extremely low. Mastio said over-the-phone screening provides higher response rates and more accurate results.. Todd began his career in banking and finance before moving over to transportation equity research where he provided stock recommendations for publicly traded transportation companies. I do not expect pricing and tonnage to bottom until the ISM index bottoms. View reports, export data, get rates, schedule a shipment and much more. From standard LTL to expedited shipping and everything in between, we offer a range of freight solutions to meet any business need across every region of the United States and North America. For now, however, tonnage is down and pressure on pricing is rising. I believe that we will get better entry prices in 2023, allowing us to benefit from Old Dominion Freight Line's ability to generate value and secular supply chain re-shoring. We will collect and use your personal information (which may include cookies we collect through your use of realestate.com.au and our other websites) to give you a personalised user experience (e.g. Choose from our domestic less-than-truckload (LTL), truckload (TL), expedited, and global services to successfully ship your freight. More Webcasts. Quarter-to-date, LTL revenue per hundredweight and LTL revenue per hundredweight, excluding fuel surcharges, increased by 17.3% and 8.6%, respectively. In addition to its core LTL services, the company offers logistics and household moving services. [15], After Earl Congdon died in 1950, Lillian Congdon assumed the presidency[16][17] and was joined by sons Earl, Jr. and Jack. Additionally, it provides value-added services like container drayage, truckload brokerage, supply chain consulting and warehousing. The top 5 for national carriers included Estes, ArcBest (NASDAQ: ARCB), Saia (NASDAQ: SAIA) and FedEx Freight (NYSE: FDX), in that order behind Old Dominion. Palmer Jewellers Advertising Cover. Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. That's another reason why these numbers are so impressive. Have you been searching for a stock that might be well-positioned to maintain its earnings-beat streak in its upcoming report? Greg C. Gantt serves as president and CEO. Everything Trucking & BS Forum. Looking for info on Old Dominion Linehaul, New Kansas City (Bonner Springs,KS) Terminal. Our integrated structure allows us to offer our customers consistent, high-quality service from origin to destination, and we believe our operating structure and proprietary information systems enable us to efficiently manage our operating costs. googletag.pubads().collapseEmptyDivs(); Remainder of the top line was generated from non-LTL revenues.Notably, LTL tons increased 15.4% year over year with LTL shipments rising 18.5%. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven. Founded in 1934 and located in Thomasville, North Carolina, ODFL has become the largest pure-play LTL trucking company in the United States. For Old Dominion, estimates have been trending higher, thanks in part to this earnings surprise history. Threads 22.7K Messages 139.6K. 22-Old Dominion Freight Line 667,531 23-Averitt Express, Inc. 625,948 24-North American Van Lines 590,176 25-Covenant Transport. We believe your business is an extension of ours, meaning were always working to develop custom service plans around your unique needs. Old Dominion Freight Line's Business In-Depth. That's a good result based on an increase in LTL revenue per hundredweight. gptAdSlots.push(gptSlot); [12], During World War II, ODFL expanded outside Virginia beginning in 1941 by buying the trucks of New Dixie Transfer and leasing New Dixie's CPCN for a year. Coming from a woman who drives trucks to a woman whos thinking about driving trucks, I say, just go for it! Based in Richmond, VA, Todd is the finance editor at FreightWaves. Its popularized roots originate in the Southern and The firms less-than-truckload rankings for 2022 showed Peninsula was rated the highest overall for value and loyalty, with Old Dominion receiving the highest marks of any national carrier. By 1944, the company operated 14 straight trucks, 18 tractors, and 25 trailers with 74 employees. I am not receiving compensation for it (other than from Seeking Alpha). With an industry-leading on-time record and low claims rate, our premier LTL shipping service ensures your shipment is delivered on-time and damage-free. That number has improved to 11.4% in 2021. [3], The company has five primary product groups: Domestic, Expedited, People, Global, Household Services and Technology. When you begin to nudge that a bit with industrial policy-as we are seeing with the Biden administration's push around things like electric vehicles-suddenly you start to be able to connect the dots. [5], Old Dominion Freight Line, Inc. traces its origins to 1934 when husband and wife Earl Congdon, Sr. and Lillian Congdon (ne Herbert) founded the company with a single straight truck running between Richmond and Norfolk, Virginia. Opportunity Zones are economically distressed communities, defined by individual census tract, nominated by Americas governors, and certified by the U.S. Secretary of the Treasury via his delegation of that authority to the Internal Revenue Service. It's a core strength of ODFL. With the Earnings ESP metric, it's important to note that a negative value reduces its predictive power; however, a negative Earnings ESP does not indicate an earnings miss. Global offerings include full container load (FCL) and less-than-container load (LCL) service to the Caribbean, Europe, the Far East, Central America and South America. Old Dominion Freight Line's LTL tons 2014-2021 YRC Worldwide's operating revenue by business segment 2014-2019 YRC Worldwide's total shipments by business segment 2014-2019 In the first nine months of 2022, ODFL paid dividends of $101.4 million and repurchased shares worth $1.1 billion. Also, I'm on Twitter (@Growth_Value_) in case you want to say hi! Old Dominion Freight Line, founded in 1934, is a leading LTL company. From Import/Export Compliance to Global Air Freight Service, OD supports your international freight shipping needs. The bad news is that ODFL's dividend yield is very low. [14], Following the strike, ODFL was able to recover and in 1947 was operating 16 straight trucks, 25 tractors, and 35 trailers and was profitable. Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. Unfortunately, I don't own it. Microsoft pleaded for its deal on the day of the Phase 2 decision last month, but now the gloves are well and truly off. Rservez des vols pas chers sur easyJet.com vers les plus grandes villes d'Europe. We're moving supply chains back in the country, so we're not just talking about goods going to the end user but stuff needs to get to the manufacturing plant as well. In 2002, ODFL had a market share of 2.9% in an LTL industry worth $19.4 billion. That valuation is not a dealbreaker. 1 in 24 of the 28 categories. It may not display this or other websites correctly. Your email address will not be published. That's mainly based on high capital expenses (a lot of equipment is needed), labor shortages, very low entry barriers for new competitors, and other inflationary factors like fuel and risks of shortages. Biden administration's push around things like electric vehicles. The company is consistently investing as much in real estate as it invests in trucks and trailers, allowing it to run a highly efficient network of distribution centers. (pg26) Why Railroads will never change (pg28) view ppt presentation April 25, 2022 - "Intermodal News Report" covering: IMC/FF/NVO/3PL/Draymen news; update on the googletag.cmd.push(function() { With improved freight market conditions, rise in LTL (Less-Than-Truckload) shipments is driving the top line. OD's Dock and Warehouse workers ensure each truck is loaded with care, ensuring OD maintains our industry-leading low 0.2% claims rate. If that happens, I'm happy to step up and buy. Connor D. Wolf | Staff Reporter July 27, 2022 Dec 1, 2022 2:00PM EST. McHugh, Peter, 2005, Shared Being, Old Promises, and the Just Necessity of Affirmative Action, Human Studies, 28 (2): 129156. And if youre new to the open road, well provide you with 6 weeks of paid training. The company based in Thomasville, NC, offers LTL services on a regional, inter-regional and national basis. I almost got the chance in September, yet the stock took off to $320. During this period, the S&P 500 returned 9.1%. Threads 3.3K Messages 44.8K. ODFL has never been really cheap (hence I started this article with a fitting quote). Old Dominion Freight Line (ODFL), is a leading LTL trucking company and LTL carrier with national, expedited, and global freight shipping service. ODFL shareholders currently enjoy a $0.30 per share per quarter dividend. }); Peninsula Truck Lines and Old Dominion Freight Line received top honors from consulting and research company Mastio. The survey ranks carriers on a variety of metrics like on-time pickup and delivery, damages, claims handling, accurate weighing, pricing, transit times, billing, carrier responsiveness, technology and problem resolution. Ive inspired men to get their CDL. New posts LTL Carriers (Sorted By Post Count) General Trucking Discussion. That's not a typo and it beats most well-known tech stocks. These service centers allow the company to offer a wide menu of services, including regional, inter-regional, and long-haul LTL, time-sensitive and appointment shipments, container drayage, truckload brokerage, and international LTL (Mexico and Canada). Over the past five years, the average annual growth rate has been 43%. To read this article on Zacks.com click here. With that in mind, let's take a look at Old Dominion Freight Line's main business drivers. Capiex for 2022 are likely to be $720 million compared with $550.1 million in 2021. Old Dominion offers freight shipping nationwide and partners with carefully selected brokers worldwide. While pricing remains strong, the company isn't growing its market share anymore. B. ODFL | Class action lawsuit. This also means that there is still a lot of room to grow organically. This trucking company has seen a nice streak of beating earnings estimates, especially when looking at the previous two reports. That may sound like a lot, but it's extremely low. Fourth-Quarter Trucking Report: Building Drayage Resilience. Anyone can invest, but building a successful investment portfolio takes a combination of a few things: research, patience, and a little bit of risk. The company is failing to grow tonnage as macro weakness is hitting customers. This has allowed the company to grow its market share in every region. The team had a great time connecting, networking, and attending educational sessions. However, high capital expenditures might be an overhang. Investors should note that this return excludes dividends but includes price increases. The only other type of shipments ODFL was allowed to carry were interline shipments, transiting freight along this route on behalf of other carriers who did not possess a CPCN for that route. B. ODFL | Class action lawsuit. While pricing remains strong, the company isn't growing its market share anymore. What started with de-risking efforts in China after the pandemic is now turning into a big trend fueled by companies who want to be closer to the North American consumer, government initiatives to support semiconductors and EV production, and overseas issues like the European energy crisis and regulatory headwinds. I have no business relationship with any company whose stock is mentioned in this article. When you drive for OD, youre not only helping the world keep promises, youre allowing us to make a promise to you. So, if you had invested in Old Dominion Freight Line a decade ago, you're probably feeling pretty good about your investment today. Its who we are. Today at 8:04 PM; On December 5, I wrote an article focused on dividend stocks in a scenario where supply chains are coming back to North America. 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