NasdaqGS:ODFL

Stock Analysis Report

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Executive Summary

Old Dominion Freight Line, Inc. operates as a less-than-truckload (LTL) motor carrier in the United States and North America. More Details

Rewards

Earnings are forecast to grow 15.71% per year

Risk Analysis

No risks detected for ODFL from our risk checks.


Snowflake Analysis

Flawless balance sheet with limited growth.


Similar Companies

Share Price & News

How has Old Dominion Freight Line's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: ODFL has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

-3.8%

ODFL

-2.2%

US Transportation

-1.4%

US Market


1 Year Return

60.2%

ODFL

12.0%

US Transportation

17.8%

US Market

Return vs Industry: ODFL exceeded the US Transportation industry which returned 14.1% over the past year.

Return vs Market: ODFL exceeded the US Market which returned 18.5% over the past year.


Shareholder returns

ODFLIndustryMarket
7 Day-3.8%-2.2%-1.4%
30 Day8.6%1.6%4.7%
90 Day7.7%10.4%8.2%
1 Year60.7%60.2%13.5%12.0%20.5%17.8%
3 Year154.1%151.1%65.4%57.4%42.2%32.7%
5 Year374.1%367.1%147.9%126.3%83.4%62.7%

Price Volatility Vs. Market

How volatile is Old Dominion Freight Line's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Old Dominion Freight Line undervalued compared to its fair value and its price relative to the market?

39.65x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: ODFL ($196.28) is trading above our estimate of fair value ($101.94)

Significantly Below Fair Value: ODFL is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: ODFL is poor value based on its PE Ratio (39.6x) compared to the US Transportation industry average (26.3x).

PE vs Market: ODFL is poor value based on its PE Ratio (39.6x) compared to the US market (19x).


Price to Earnings Growth Ratio

PEG Ratio: ODFL is poor value based on its PEG Ratio (2.5x)


Price to Book Ratio

PB vs Industry: ODFL is overvalued based on its PB Ratio (7.7x) compared to the US Transportation industry average (2.6x).


Next Steps

Future Growth

How is Old Dominion Freight Line forecast to perform in the next 1 to 3 years based on estimates from 13 analysts?

15.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ODFL's forecast earnings growth (15.7% per year) is above the savings rate (2.2%).

Earnings vs Market: ODFL's earnings (15.7% per year) are forecast to grow slower than the US market (22.2% per year).

High Growth Earnings: ODFL's earnings are forecast to grow, but not significantly.

Revenue vs Market: ODFL's revenue (10% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: ODFL's revenue (10% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ODFL's Return on Equity is forecast to be high in 3 years time (24.2%)


Next Steps

Past Performance

How has Old Dominion Freight Line performed over the past 5 years?

19.6%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ODFL has high quality earnings.

Growing Profit Margin: ODFL's current net profit margins (14.9%) are lower than last year (15.5%).


Past Earnings Growth Analysis

Earnings Trend: ODFL's earnings have grown by 19.6% per year over the past 5 years.

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

Earnings vs Industry: ODFL had negative earnings growth (-8%) over the past year, making it difficult to compare to the Transportation industry average (-17.5%).


Return on Equity

High ROE: ODFL's Return on Equity (19.8%) is considered low.


Next Steps

Financial Health

How is Old Dominion Freight Line's financial position?


Financial Position Analysis

Short Term Liabilities: ODFL's short term assets ($968.6M) exceed its short term liabilities ($494.2M).

Long Term Liabilities: ODFL's short term assets ($968.6M) exceed its long term liabilities ($603.4M).


Debt to Equity History and Analysis

Debt Level: ODFL's debt to equity ratio (2.6%) is considered satisfactory.

Reducing Debt: ODFL's debt to equity ratio has reduced from 9.2% to 2.6% over the past 5 years.

Debt Coverage: ODFL's debt is well covered by operating cash flow (1323.9%).

Interest Coverage: ODFL earns more interest than it pays, so coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Old Dominion Freight Line current dividend yield, its reliability and sustainability?

0.31%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: ODFL's dividend (0.31%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.64%).

High Dividend: ODFL's dividend (0.31%) is low compared to the top 25% of dividend payers in the US market (4.68%).


Stability and Growth of Payments

Stable Dividend: ODFL is not paying a notable dividend for the US market, therefore no need to check if payments are stable.

Growing Dividend: ODFL is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.


Current Payout to Shareholders

Dividend Coverage: ODFL is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ODFL'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?

3.4yrs

Average management tenure


CEO

Greg Gantt (64 yo)

2.42yrs

Tenure

US$7,344,950

Compensation

Mr. Greg C. Gantt has been the Chief Executive Officer of Old Dominion Freight Line Inc. since May 16, 2018 and has been its President since May 2015. Mr. Gantt served as Executive Vice President of Old D ...


CEO Compensation Analysis

Compensation vs Market: Greg's total compensation ($USD7.34M) is below average for companies of similar size in the US market ($USD11.20M).

Compensation vs Earnings: Greg's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Earl Congdon
Senior Executive Chairman2.42yrsUS$4.33m2.31%
$ 531.3m
David Congdon
Executive Chairman of the Board2.42yrsUS$7.53m5.73%
$ 1.3b
Greg Gantt
President2.42yrsUS$7.34m0.027%
$ 6.2m
Adam Satterfield
Senior VP of Finance4.75yrsUS$3.34m0.021%
$ 4.8m
Kevin Freeman
Executive VP & COO2.42yrsUS$4.26m0.017%
$ 3.9m
Kimberly Maready
Principal Accounting Officer and VP of Accounting & Finance3.42yrsno data0.0073%
$ 1.7m
Ross Parr
Senior VP of Legal Affairs4.75yrsno data0.012%
$ 2.7m
Sam Faucette
Vice President of Safety & Complianceno datano datano data
Gregory Plemmons
Senior Vice President of Sales1.75yrsno data0.0094%
$ 2.2m
Christopher Brooks
Senior Vice President of Human Resources & Safety2.75yrsno data0.011%
$ 2.5m
Cecil Overbey
Senior Vice President of Strategic Development9.75yrsUS$2.15m0.015%
$ 3.4m
David Bates
Senior Vice President of Operations9yrsno data0.0091%
$ 2.1m

3.4yrs

Average Tenure

55yo

Average Age

Experienced Management: ODFL's management team is considered experienced (3.4 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Earl Congdon
Senior Executive Chairman2.42yrsUS$4.33m2.31%
$ 531.3m
David Congdon
Executive Chairman of the Board2.42yrsUS$7.53m5.73%
$ 1.3b
Greg Gantt
President2.42yrsUS$7.34m0.027%
$ 6.2m
Leo Suggs
Lead Independent Director1.83yrsUS$238.90k0.0091%
$ 2.1m
John Congdon
Director22.75yrsUS$201.13k4.46%
$ 1.0b
John Kasarda
Independent Director12.75yrsUS$209.90k0.011%
$ 2.6m
Patrick Hanley
Independent Director4.42yrsUS$201.00k0.0063%
$ 1.5m
D. Wray
Independent Director12.75yrsUS$223.90k0.0092%
$ 2.1m
Bradley Gabosch
Independent Director4.42yrsUS$198.90k0.0063%
$ 1.5m
Sherry Aaholm
Independent Director2.42yrsUS$197.40k0.0029%
$ 679.4k
Wendy Stallings
Independent Director0.42yrno data0.00085%
$ 195.8k

2.4yrs

Average Tenure

64yo

Average Age

Experienced Board: ODFL's board of directors are not considered experienced ( 2.4 years average tenure), which suggests a new board.


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

Old Dominion Freight Line, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Old Dominion Freight Line, Inc.
  • Ticker: ODFL
  • Exchange: NasdaqGS
  • Founded: 1934
  • Industry: Trucking
  • Sector: Transportation
  • Market Cap: US$23.030b
  • Shares outstanding: 117.33m
  • Website: https://www.odfl.com

Number of Employees


Location

  • Old Dominion Freight Line, Inc.
  • 500 Old Dominion Way
  • Thomasville
  • North Carolina
  • 27360
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
ODFLNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDOct 1991
ODFDB (Deutsche Boerse AG)YesCommon StockDEEUROct 1991
ODFL *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNOct 1991

Biography

Old Dominion Freight Line, Inc. operates as a less-than-truckload (LTL) motor carrier in the United States and North America. It provides regional, inter-regional, and national LTL services, including expe ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/22 00:06
End of Day Share Price2020/10/21 00:00
Earnings2020/06/30
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.