C.H. Robinson (CHRW) Is Up 11.8% After Profit Grows Despite Falling Revenue and Ongoing Buybacks – Has the Bull Case Changed?

• C.H. Robinson Worldwide reported second quarter 2025 results, showing net income growth to US$152.47 million and basic earnings per share from continuing operations rising to US$1.27, while revenue declined to US$4.14 billion.
• Alongside these results, the company continued its multi-year share repurchase program by buying back 919,000 shares for US$85.8 million in the past quarter, reflecting ongoing management confidence.
• We’ll now explore how the company’s improved profitability, despite lower revenue, may influence its investment outlook and future growth expectations.

Find companies with promising cash flow potential yet trading below their fair value.

C.H. Robinson Worldwide Investment Narrative Recap

Owning shares in C.H. Robinson Worldwide often comes down to believing in the company’s ability to boost profitability through operational discipline and technology-led efficiencies, even within a slow-growth, competitive logistics sector. The latest quarterly results, rising net income and earnings per share despite declining revenue, do little to alter the key catalyst for the stock, which remains the impact of ongoing cost control against persistent freight market pressure. The biggest risk still centers on potential revenue challenges if global freight demand remains weak.

Among the recent updates, the continued share buyback program stands out as especially relevant. The company repurchased 919,000 shares for US$85.8 million in the past quarter, reinforcing its commitment to shareholder returns during a period of margin improvement and profitability gains. This activity underlines the company’s conviction in its ability to generate value, even as logistics markets remain unpredictable.

In contrast, investors should also be mindful of the risk that, despite current margin gains, a prolonged freight market recession could...

Read the full narrative on C.H. Robinson Worldwide (it's free!)

C.H. Robinson Worldwide's outlook anticipates $18.4 billion in revenue and $655.0 million in earnings by 2028. This forecast relies on 2.0% annual revenue growth and represents a $146.9 million increase in earnings from the current $508.1 million.

Uncover how C.H. Robinson Worldwide's forecasts yield a $110.40 fair value, a 4% downside to its current price.

Exploring Other Perspectives

Three distinct fair value estimates from the Simply Wall St Community range from US$110.40 to US$198,416.56 per share. While many see upside linked to margin expansion and cost efficiencies, robust disagreement remains over potential revenue pressures that could affect long-term returns.

Explore 3 other fair value estimates on C.H. Robinson Worldwide - why the stock might be a potential multi-bagger!

Build Your Own C.H. Robinson Worldwide Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

• A great starting point for your C.H. Robinson Worldwide research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.
• Our free C.H. Robinson Worldwide research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate C.H. Robinson Worldwide's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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