NasdaqGS:HUBG

Stock Analysis Report

Executive Summary

Hub Group, Inc., an asset-light freight transportation management company, provides intermodal, trucking, truck brokerage, and other logistics services in North America.

Snowflake

Fundamentals

Excellent balance sheet and fair value.


Similar Companies

Share Price & News

How has Hub Group's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

5.6%

NasdaqGS:HUBG

3.5%

US Logistics

1.2%

US Market


1 Year Return

-4.5%

NasdaqGS:HUBG

-10.2%

US Logistics

1.7%

US Market

HUBG outperformed the Logistics industry which returned -10.2% over the past year.

HUBG underperformed the Market in United States of America which returned 1.7% over the past year.


Share holder returns

HUBGIndustryMarket
7 Day5.6%3.5%1.2%
30 Day14.7%9.4%4.9%
90 Day10.4%14.0%3.7%
1 Year-4.5%-4.5%-8.2%-10.2%3.9%1.7%
3 Year13.4%13.4%27.0%18.4%47.2%37.7%
5 Year12.5%12.5%38.8%24.5%60.0%42.4%

Price Volatility Vs. Market

How volatile is Hub Group's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Hub Group undervalued based on future cash flows and its price relative to the stock market?

13.72x

Price to Earnings (PE) ratio


Intrinsic Value Based on Future Cash Flows

Hub Group's share price is above the future cash flow value, it's not available at a moderate discount (< 20%).

Hub Group's share price is above the future cash flow value, it's not available at a substantial discount (< 40%).


Price Based on Earnings

Hub Group is good value based on earnings compared to the US Logistics industry average.

Hub Group is good value based on earnings compared to the United States of America market.


Price Based on Expected Growth

Hub Group is poor value based on expected growth next year.


Price Based on Value of Assets

Hub Group is good value based on assets compared to the US Logistics industry average.


Next Steps

Future Growth

How is Hub Group expected to perform in the next 1 to 3 years based on estimates from 15 analysts?

1.0%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

Hub Group's revenue is expected to grow by 4.3% yearly, however this is not considered high growth (20% yearly).

Hub Group's earnings are expected to grow by 1% yearly, however this is not considered high growth (20% yearly).

Hub Group's revenue growth is positive but not above the United States of America market average.

Hub Group's earnings growth is positive but not above the United States of America market average.

Hub Group's earnings growth is positive but not above the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

Hub Group is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has Hub Group performed over the past 5 years?

17.5%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

Hub Group's year on year earnings growth rate has been positive over the past 5 years.

Hub Group's 1-year earnings growth is negative, it can't be compared to the 5-year average.

Hub Group's 1-year earnings growth is negative, it can't be compared to the US Logistics industry average.


Return on Equity

Hub Group has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

Hub Group used its assets more efficiently than the US Logistics industry average last year based on Return on Assets.


Return on Capital Employed

Hub Group's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is Hub Group's financial position?


Financial Position Analysis

Hub Group is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

Hub Group's cash and other short term assets cover its long term commitments.


Debt to Equity History and Analysis

Hub Group's level of debt (28.8%) compared to net worth is satisfactory (less than 40%).

The level of debt compared to net worth has increased over the past 5 years (5.3% vs 28.8% today).

Debt is well covered by operating cash flow (83.4%, greater than 20% of total debt).

Interest payments on debt are well covered by earnings (EBIT is 18x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is covered by short term assets, assets are 2x debt.


Next Steps

Dividend

What is Hub Group's current dividend yield, its reliability and sustainability?


Dividend Yield and Payments Analysis

Unable to evaluate Hub Group's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.

Unable to evaluate Hub Group's dividend against the top 25% market benchmark as the company has not reported any payouts.

Unable to perform a dividend volatility check as Hub Group has not reported any payouts.

Unable to verify if Hub Group's dividend has been increasing as the company has not reported any payouts.


Current Payout to Shareholders

Unable to calculate sustainability of dividends as Hub Group has not reported any payouts.


Future Payout to Shareholders

No need to calculate the sustainability of Hub Group's dividends in 3 years as they are not expected to pay a notable one for United States of America.


Next Steps

Management

What is the CEO of Hub Group's salary, the management and board of directors tenure and is there insider trading?

3.5yrs

Average management tenure


CEO

David Yeager (66yo)

24.5yrs

Tenure

US$5,079,037

Compensation

Mr. David P. Yeager has been the Chief Executive Officer of Hub Group Inc. since March 1995. Mr. Yeager served as the President of Hub Chicago from October 1985 to December 1991. He served as a Vice Presid ...


CEO Compensation Analysis

David's remuneration is about average for companies of similar size in United States of America.

David's compensation has increased by more than 20% in the past year whilst earnings fell less than 20%.


Management Age and Tenure

3.5yrs

Average Tenure

52yo

Average Age

The tenure for the Hub Group management team is about average.


Board Age and Tenure

3.3yrs

Average Tenure

65yo

Average Age

The tenure for the Hub Group board of directors is about average.


Insider Trading

Hub Group individual insiders have only sold shares in the past 3 months.


Recent Insider Transactions

SellUS$211,05023 Aug 19
Charles Reaves
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares5,000
Max PriceUS$42.21

Ownership Breakdown


Management Team

  • David Yeager (66yo)

    Chairman & CEO

    • Tenure: 24.5yrs
    • Compensation: US$5.08m
  • Terri Pizzuto (60yo)

    Executive VP

    • Tenure: 12.5yrs
    • Compensation: US$2.05m
  • Brian Alexander (39yo)

    Executive Vice President of Unyson Logistics

    • Tenure: 4yrs
  • Michele McDermott

    Chief Human Resources Officer

    • Tenure: 0.08yrs
  • Geoff DeMartino

    Vice President of Corporate Development

    • Tenure: 3.6yrs
  • Matt Yeager

    Executive Vice President of Specialized Intermodal Services & Procurement

    • Tenure: 0.7yrs
  • Phil Yeager (31yo)

    President & COO

    • Tenure: 0.2yrs
    • Compensation: US$1.79m
  • Doug Beck (52yo)

    Executive VP

    • Tenure: 3.3yrs
  • Vava Dimond (52yo)

    Executive VP & Chief Information Officer

    • Tenure: 4.4yrs
    • Compensation: US$1.66m
  • Brian Meents

    Executive Vice President of Account Management

    • Tenure: 0.7yrs

Board Members

  • Martin Slark (65yo)

    Lead Director

    • Tenure: 2.8yrs
    • Compensation: US$370.60k
  • David Yeager (66yo)

    Chairman & CEO

    • Tenure: 24.5yrs
    • Compensation: US$5.08m
  • Jonathan Ward (64yo)

    Director

    • Tenure: 7.7yrs
    • Compensation: US$370.60k
  • Charles Reaves (80yo)

    Independent Director

    • Tenure: 23.6yrs
    • Compensation: US$370.60k
  • James Kenny (65yo)

    Director

    • Tenure: 3.3yrs
    • Compensation: US$370.60k
  • Peter McNitt (64yo)

    Independent Director

    • Tenure: 2.3yrs
    • Compensation: US$370.60k
  • Mary Boosalis (64yo)

    Independent Director

    • Tenure: 1.3yrs
    • Compensation: US$272.71k

Company Information

Hub Group, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Hub Group, Inc.
  • Ticker: HUBG
  • Exchange: NasdaqGS
  • Founded: 1971
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: US$1.571b
  • Shares outstanding: 34.08m
  • Website: https://www.hubgroup.com

Number of Employees


Location

  • Hub Group, Inc.
  • 2000 Clearwater Drive
  • Oak Brook
  • Illinois
  • 60523
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
HUBGNasdaqGS (Nasdaq Global Select)YesClass A Common SharesUSUSDMar 1996
HBGDB (Deutsche Boerse AG)YesClass A Common SharesDEEURMar 1996

Biography

Hub Group, Inc., an asset-light freight transportation management company, provides intermodal, trucking, truck brokerage, and other logistics services in North America. Its intermodal services include arr ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/09/14 23:40
End of Day Share Price2019/09/13 00:00
Earnings2019/06/30
Annual Earnings2018/12/31


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.