NasdaqGS:ECHO

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Executive Summary

Echo Global Logistics, Inc. provides technology-enabled transportation and supply chain management solutions in the United States.


Snowflake Analysis

Fair value with moderate growth potential.


Similar Companies

Share Price & News

How has Echo Global Logistics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ECHO's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

7.6%

ECHO

4.7%

US Logistics

2.7%

US Market


1 Year Return

5.2%

ECHO

7.4%

US Logistics

9.1%

US Market

Return vs Industry: ECHO underperformed the US Logistics industry which returned 7.4% over the past year.

Return vs Market: ECHO underperformed the US Market which returned 9.1% over the past year.


Shareholder returns

ECHOIndustryMarket
7 Day7.6%4.7%2.7%
30 Day18.1%5.1%4.5%
90 Day12.2%8.4%2.3%
1 Year5.2%5.2%10.1%7.4%11.5%9.1%
3 Year6.4%6.4%4.6%-2.4%30.6%22.0%
5 Year-36.6%-36.6%8.9%-2.5%57.2%39.5%

Price Volatility Vs. Market

How volatile is Echo Global Logistics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Echo Global Logistics undervalued compared to its fair value and its price relative to the market?

15.7%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: ECHO ($20.7) is trading below our estimate of fair value ($24.55)

Significantly Below Fair Value: ECHO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: ECHO is poor value based on its PE Ratio (64.9x) compared to the Logistics industry average (20.3x).

PE vs Market: ECHO is poor value based on its PE Ratio (64.9x) compared to the US market (15.9x).


Price to Earnings Growth Ratio

PEG Ratio: ECHO is good value based on its PEG Ratio (0.9x)


Price to Book Ratio

PB vs Industry: ECHO is good value based on its PB Ratio (1.4x) compared to the US Logistics industry average (2.3x).


Next Steps

Future Growth

How is Echo Global Logistics forecast to perform in the next 1 to 3 years based on estimates from 11 analysts?

75.2%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ECHO's forecast earnings growth (75.2% per year) is above the savings rate (2.2%).

Earnings vs Market: ECHO's earnings (75.2% per year) are forecast to grow faster than the US market (21.7% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: ECHO's revenue (5.7% per year) is forecast to grow slower than the US market (8.8% per year).

High Growth Revenue: ECHO's revenue (5.7% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ECHO's Return on Equity is forecast to be low in 3 years time (7.4%).


Next Steps

Past Performance

How has Echo Global Logistics performed over the past 5 years?

22.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ECHO has high quality earnings.

Growing Profit Margin: ECHO's current net profit margins (0.4%) are lower than last year (1.1%).


Past Earnings Growth Analysis

Earnings Trend: ECHO's earnings have grown significantly by 22.6% per year over the past 5 years.

Accelerating Growth: ECHO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: ECHO had negative earnings growth (-69.4%) over the past year, making it difficult to compare to the Logistics industry average (-7.9%).


Return on Equity

High ROE: ECHO's Return on Equity (2.2%) is considered low.


Next Steps

Financial Health

How is Echo Global Logistics's financial position?


Financial Position Analysis

Short Term Liabilities: ECHO's short term assets ($387.4M) exceed its short term liabilities ($272.4M).

Long Term Liabilities: ECHO's short term assets ($387.4M) exceed its long term liabilities ($224.6M).


Debt to Equity History and Analysis

Debt Level: ECHO's debt to equity ratio (44.8%) is considered high.

Reducing Debt: ECHO's debt to equity ratio has increased from 1.6% to 44.8% over the past 5 years.

Debt Coverage: ECHO's debt is well covered by operating cash flow (41.8%).

Interest Coverage: ECHO's interest payments on its debt are not well covered by EBIT (2.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Echo Global Logistics's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ECHO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ECHO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ECHO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ECHO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ECHO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure


CEO

Doug Waggoner (60yo)

13.42yrs

Tenure

US$4,425,794

Compensation

Mr. Douglas R. Waggoner, also known as Doug, has been the Chief Executive Officer of Echo Global Logistics, Inc. since December 2006 and has been its Chairman of the Board since June 2015. Mr. Waggoner has ...


CEO Compensation Analysis

Compensation vs Market: Doug's total compensation ($USD4.43M) is above average for companies of similar size in the US market ($USD2.23M).

Compensation vs Earnings: Doug's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Douglas Waggoner
Chairman & CEO13.42yrsUS$4.43m1.22% $6.7m
David Menzel
President & COO5.83yrsUS$2.35m0.51% $2.8m
Kyle Sauers
CFO & Secretary6.58yrsUS$1.90m0.36% $2.0m
Miles English
Chief Information Officerno datano datano data
Christopher Clemmensen
Senior Vice President of Marketing4.75yrsno datano data
Paula Frey
Chief Human Resources Officer1.33yrsno datano data
Sean Burke
Chief Commercial Officerno datano datano data
Peter Rogers
VP of Finance & Financial Controllerno datano data0.058% $318.9k

5.8yrs

Average Tenure

57yo

Average Age

Experienced Management: ECHO's management team is seasoned and experienced (5.8 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Douglas Waggoner
Chairman & CEO13.42yrsUS$4.43m1.22% $6.7m
Samuel Skinner
Lead Independent Director2.92yrsUS$277.50k0.13% $696.3k
Matthew Ferguson
Independent Director10.17yrsUS$247.50k0.10% $564.6k
William Farrow
Independent Director2.92yrsUS$235.00k0.046% $255.5k
David Habiger
Independent Director7.42yrsUS$247.50k0.10% $551.1k
Virginia Henkels
Independent Director1.67yrsUS$237.50k0.026% $141.5k

3.9yrs

Average Tenure

56yo

Average Age

Experienced Board: ECHO's board of directors are considered experienced (3.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Echo Global Logistics, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Echo Global Logistics, Inc.
  • Ticker: ECHO
  • Exchange: NasdaqGS
  • Founded: 2005
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: US$550.923m
  • Shares outstanding: 26.61m
  • Website: https://www.echo.com

Number of Employees


Location

  • Echo Global Logistics, Inc.
  • 600 West Chicago Avenue
  • Suite 725
  • Chicago
  • Illinois
  • 60654
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ECHONasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 2009
AOZDB (Deutsche Boerse AG)YesCommon StockDEEUROct 2009

Biography

Echo Global Logistics, Inc. provides technology-enabled transportation and supply chain management solutions in the United States. It utilizes a proprietary technology platform to compile and analyze data from its multi-modal network of transportation providers for the transportation and logistics needs. The company offers services in various transportation modes, such as truckload, less-than truckload, small parcel, domestic air, and expedited and international. It also provides various transportation management and logistics services, which include rate negotiation; procurement of transportation; shipment execution and tracking; carrier management, selection, reporting, and compliance; executive dashboard presentations and detailed shipment reports; freight bill payment and audit; claims processing and service refund management; design and management of inbound client freight programs; individually configured Web portals and self-service data warehouses; enterprise resource planning integration with transactional shipment data; and integration of shipping applications into client e-commerce sites, as well as back-end reports customized to the internal reporting needs of the business. The company serves manufacturing, construction, food and beverage, consumer products, and retail industries. Echo Global Logistics, Inc. was founded in 2005 and is headquartered in Chicago, Illinois. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/05/30 04:24
End of Day Share Price2020/05/29 00:00
Earnings2020/03/31
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.