| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 1/6 |
| Past Performance | 6/6 |
| Financial Health | 4/6 |
| Dividends | 0/6 |
PTSI Stock Overview
P.A.M. Transportation Services, Inc., through its subsidiaries, operates as a truckload transportation and logistics company in the United States, Mexico, and Canada.
P.A.M. Transportation Services Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$33.53 |
| 52 Week High | US$40.89 |
| 52 Week Low | US$21.31 |
| Beta | 1.6 |
| 1 Month Change | 11.73% |
| 3 Month Change | 20.70% |
| 1 Year Change | 49.35% |
| 3 Year Change | 118.12% |
| 5 Year Change | 377.98% |
| Change since IPO | 11,821.78% |
Recent News & Updates
P.A.M. Transportation Services (NASDAQ:PTSI) Seems To Use Debt Quite Sensibly
Some say volatility, rather than debt, is the best way to think about risk as an investor, but Warren Buffett famously...
P.A.M. Transportation Services: Expanding And Delivering Fundamental Stability
Summary P.A.M. Transportation Services, Inc. sustains a robust rebound amidst market headwinds. Its liquidity is impressive with its stable cash and receivables, covering its financial leverage. Its adequate production capacity is its cornerstone as the market demand and e-commerce emerge. The stock price has been in an uptrend from its sharp dip. P.A.M. Transportation Services, Inc. (PTSI) is an Arkansas-based truckload transportation and logistics company. It operates through its subsidiaries across the US, Mexico, and Canada. It transports general commodities in dry van carriers. These include consumer goods, general retail goods, manufactured goods, and automotive parts. Since its foundation, it has expanded to over 2,000 trucks. Today, it already rebounded and even exceeded pre-pandemic levels. Headwinds intensify amidst sustained inflation and slow improvement in port congestion. Yet, its market positioning allows it to cushion the impact and sustain its rebound. It has the adequate financial capacity to expand and cover its financial leverage. Likewise, the stock price stays reasonable and adheres to its fundamentals as the uptrend continues. Company Performance The lifting of restrictions eases the domestic movement of goods. For P.A.M. Transportation Services, Inc., it is an opportunity to rebound and expand. It may still be tough since it also operates in some neighboring countries like Canada and Mexico. Disruptions are still evident in the changes in the trucking market. Customer downtime and labor shortages pose more challenges. Even so, it appears to be bouncing back to pre-pandemic levels. Its fundamentals are more stable amidst these market headwinds. Its operating revenue amounts to $237.17 million, a 44% year-over-year growth. Note that it has already been recovering since 2021. So, we can see that the company sustained its rebound amidst market challenges. Also, it is even higher than pre-pandemic levels. The rising price of goods and energy does not stop its growth and expansion. Despite the overwhelming inflation, the company knows how to balance the trade-offs. Its fuel surcharges are more than twice as much as the value in 2Q 2021. It is a nice move to offset the impact of fuel price increases. Even better, the demand for its transport services continues to increase thanks to the increased domestic movement. There are market opportunities as the pent-up demand and the rise in e-commerce continues. Its growth is also above the market average of 36%. Also, its market share increased from 1.3% to 1.5%. Operating Revenue (MarketWatch) Market Share (MarketWatch) It continues to do a solid job to navigate its overall operations with ease and prudence. The thing is, it remains unperturbed while speeding up its organic growth. It was recently able to complete its M&A deal with Metropolitan Trucking, Inc, which is a timely move amidst the increased demand for door-to-door freight transport. It now has more carriers, matching its increased drivers. Meanwhile, it uses more capital, labor, and fuel. Also, it has to keep up with the rising prices which also raises costs and expenses. Even so, it maintains solid and prudent asset management. Its operating margin is 15% vs 12.4% in 2Q 2021. It is also higher than in 1Q at 14.2%. Note that the operating margin from 3Q 2021 to 1Q 2022 is in a downtrend. It could be attributed to the substantial increase in operating costs and expenses. We can say that it has a better grasp of the market changes this quarter. Operating Margin (MarketWatch) Potential Risks and Opportunities P.A.M. Transportation Services, Inc. continues to show enticing growth prospects. It is geared towards expansion and efficiency with a larger network capacity. It is paying off with stable returns amidst market headwinds. But of course, it has to be more careful. It is still a challenge for businesses to improve supply chains and inventory levels. Port congestion is improving but remains slow-moving. It has to watch the price and demand changes closer to optimize its production capacity. Retail giants also pose challenges in the industry. They influence the number of bookings, orders, and shipments through their responsive supply chains. They are quick to retract their orders, affecting the efficiency of trailers and logistics. Because of their supply chain networks, they are more flexible in managing inventory levels but at the expense of carriers. They also compete with air and water freight carriers. As such, they are more susceptible to risks associated with port congestion and lower orders. Fortunately, PTSI is well-positioned against these market challenges. Its excellent liquidity position allows it to cover its operating capacity and borrowings. Its larger operating capacity allows it to cater to more demand while remaining efficient. Cash and borrowings are stable even after completing its acquisition of Metropolitan Trucking, Inc. Its receivables are higher, given its increased capacity and customers. As such, the percentage of cash and receivables to borrowings is 87% vs 57% previously. Even better, cash and receivables comprise 32% of the total assets. If we use cash alone, the percentage is stable at 21-22%. So, despite the massive changes in operations, liquidity remains almost the same. Also, its Net Debt/EBITDA is 3.72x, which is still within the maximum value of 3.5-4x. It is earning enough to cover its borrowings. It is safe to say that the company sustains its rebound from my previous article. Its fundamentals are also more solid and intact. Cash and Receivables and Borrowings (MarketWatch) We can even confirm its liquidity using the Cash Flow Statement. The cash inflows from its operations amount to $32.78 million. Meanwhile, its CapEx is way higher than the comparative time series. It reflects the impact of the recent acquisition. Its FCF amounts to $20.45 million. So, it proves the stability of its cash levels amidst its expansion. Now, PTSI has over 2,000 trailers with 2,400 drivers. It remains sound despite driver shortages in the US. Operating Cash Flow and CapEx (MarketWatch) Number of Trucks and Drivers (P.A.M. Transport ) Another opportunity in the market may come from the boom in e-commerce. The e-commerce industry continues to evolve as it reaches its peak. It provides more market demand. Indeed, it is a good thing that PTSI expands its operations to increase its domestic presence. Note that many SMEs are in the market. In contrast to many giant retailers, their supply chains are less responsive. They have fewer distribution networks to retract their orders. Also, they don’t have a transportation service provider. So, they still depend on third-party transportation service providers. Their presence is favorable for trailers and logistics. It is evident in the US and Canada since they are two of the largest e-commerce markets. With the evolving market, e-commerce comprises 20% of the total retail sales and may increase to 26%.
Is Now An Opportune Moment To Examine P.A.M. Transportation Services, Inc. (NASDAQ:PTSI)?
P.A.M. Transportation Services, Inc. ( NASDAQ:PTSI ), is not the largest company out there, but it received a lot of...
Returns On Capital Are A Standout For P.A.M. Transportation Services (NASDAQ:PTSI)
If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...
Shareholder Returns
| PTSI | US Transportation | US Market | |
|---|---|---|---|
| 7D | 11.2% | 5.0% | 4.4% |
| 1Y | 49.4% | -24.9% | -18.2% |
Return vs Industry: PTSI exceeded the US Transportation industry which returned -26.5% over the past year.
Return vs Market: PTSI exceeded the US Market which returned -20% over the past year.
Price Volatility
| PTSI volatility | |
|---|---|
| PTSI Average Weekly Movement | 6.6% |
| Transportation Industry Average Movement | 6.9% |
| Market Average Movement | 6.9% |
| 10% most volatile stocks in US Market | 15.5% |
| 10% least volatile stocks in US Market | 2.8% |
Stable Share Price: PTSI is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.
Volatility Over Time: PTSI's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1980 | 2,510 | Joseph Vitiritto | https://www.pamtransport.com |
P.A.M. Transportation Services, Inc., through its subsidiaries, operates as a truckload transportation and logistics company in the United States, Mexico, and Canada. The company operates a truckload dry van carrier that transports general commodities. Its freight primarily consists of automotive parts; expedited goods; consumer goods, such as general retail store merchandise; and manufactured goods, including heating and air conditioning units.
P.A.M. Transportation Services Fundamentals Summary
| PTSI fundamental statistics | |
|---|---|
| Market Cap | US$746.68m |
| Earnings (TTM) | US$97.37m |
| Revenue (TTM) | US$853.61m |
7.7x
P/E Ratio0.9x
P/S RatioIs PTSI overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| PTSI income statement (TTM) | |
|---|---|
| Revenue | US$853.61m |
| Cost of Revenue | US$624.02m |
| Gross Profit | US$229.60m |
| Other Expenses | US$132.22m |
| Earnings | US$97.37m |
Last Reported Earnings
Jun 30, 2022
Next Earnings Date
n/a
| Earnings per share (EPS) | 4.37 |
| Gross Margin | 26.90% |
| Net Profit Margin | 11.41% |
| Debt/Equity Ratio | 95.3% |
How did PTSI perform over the long term?
See historical performance and comparisonValuation
Is PTSI undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Below Fair Value
Significantly Below Fair Value
Analyst Forecast
Key Valuation Metric
Which metric is best to use when looking at relative valuation for PTSI?
Other financial metrics that can be useful for relative valuation.
| What is PTSI's n/a Ratio? | |
|---|---|
| n/a Ratio | 0x |
| n/a | n/a |
| Market Cap | US$746.68m |
| Key Statistics | |
|---|---|
| Enterprise Value/Revenue | 1.1x |
| Enterprise Value/EBITDA | 5x |
| PEG Ratio | n/a |
Price to Earnings Ratio vs Peers
How does PTSI's PE Ratio compare to its peers?
| PTSI PE Ratio vs Peers |
|---|
| Company | PE | Estimated Growth | Market Cap |
|---|---|---|---|
| Peer Average | 7x | ||
ULH Universal Logistics Holdings | 7.8x | 4.1% | US$878.5m |
CVLG Covenant Logistics Group | 5.4x | -29.4% | US$433.5m |
HTLD Heartland Express | 8.5x | -17.6% | US$1.2b |
ARCB ArcBest | 6.4x | -7.6% | US$1.9b |
PTSI P.A.M. Transportation Services | 7.7x | n/a | US$746.7m |
Price-To-Earnings vs Peers: PTSI is expensive based on its Price-To-Earnings Ratio (7.7x) compared to the peer average (7x).
Price to Earnings Ratio vs Industry
How does PTSI's PE Ratio compare vs other companies in the US Transportation Industry?
Price-To-Earnings vs Industry: PTSI is good value based on its Price-To-Earnings Ratio (7.7x) compared to the US Transportation industry average (9x)
Price to Earnings Ratio vs Fair Ratio
What is PTSI's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
| Fair Ratio | |
|---|---|
| Current PE Ratio | 7.7x |
| Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate PTSI's Price-To-Earnings Fair Ratio for valuation analysis.
Share Price vs Fair Value
What is the Fair Price of PTSI when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: PTSI ($33.53) is trading below our estimate of fair value ($94.44)
Significantly Below Fair Value: PTSI is trading below fair value by more than 20%.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Analyst Forecast: Insufficient data to show price forecast.
Discover undervalued companies
Future Growth
How is P.A.M. Transportation Services forecast to perform in the next 1 to 3 years based on estimates from 1 analyst?
Future Growth Score
1/6Future Growth Score 1/6
Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE
8.6%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if PTSI's forecast earnings growth is above the savings rate (1.9%).
Earnings vs Market: Insufficient data to determine if PTSI's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if PTSI's earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: PTSI's revenue (8.6% per year) is forecast to grow faster than the US market (7.6% per year).
High Growth Revenue: PTSI's revenue (8.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: Insufficient data to determine if PTSI's Return on Equity is forecast to be high in 3 years time
Discover growth companies
Past Performance
How has P.A.M. Transportation Services performed over the past 5 years?
Past Performance Score
6/6Past Performance Score 6/6
Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE
25.4%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PTSI has high quality earnings.
Growing Profit Margin: PTSI's current net profit margins (11.4%) are higher than last year (8.2%).
Past Earnings Growth Analysis
Earnings Trend: PTSI's earnings have grown significantly by 25.4% per year over the past 5 years.
Accelerating Growth: PTSI's earnings growth over the past year (106.2%) exceeds its 5-year average (25.4% per year).
Earnings vs Industry: PTSI earnings growth over the past year (106.2%) exceeded the Transportation industry 62.5%.
Return on Equity
High ROE: PTSI's Return on Equity (37.2%) is considered high.
Discover strong past performing companies
Financial Health
How is P.A.M. Transportation Services's financial position?
Financial Health Score
4/6Financial Health Score 4/6
Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Debt Coverage
Interest Coverage
Financial Position Analysis
Short Term Liabilities: PTSI's short term assets ($229.1M) exceed its short term liabilities ($128.2M).
Long Term Liabilities: PTSI's short term assets ($229.1M) do not cover its long term liabilities ($293.3M).
Debt to Equity History and Analysis
Debt Level: PTSI's net debt to equity ratio (74.6%) is considered high.
Reducing Debt: PTSI's debt to equity ratio has reduced from 164.3% to 95.3% over the past 5 years.
Debt Coverage: PTSI's debt is well covered by operating cash flow (50.3%).
Interest Coverage: PTSI's interest payments on its debt are well covered by EBIT (22.7x coverage).
Balance Sheet
Discover healthy companies
Dividend
What is P.A.M. Transportation Services's current dividend yield, its reliability and sustainability?
Dividend Score
0/6Dividend Score 0/6
Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Cash Flow Coverage
Dividend Yield vs Market
| P.A.M. Transportation Services Dividend Yield vs Market |
|---|
| Segment | Dividend Yield |
|---|---|
| Company (P.A.M. Transportation Services) | n/a |
| Market Bottom 25% (US) | 1.6% |
| Market Top 25% (US) | 4.5% |
| Industry Average (Transportation) | 1.8% |
| Analyst forecast in 3 Years (P.A.M. Transportation Services) | n/a |
Notable Dividend: Unable to evaluate PTSI's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.
High Dividend: Unable to evaluate PTSI'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 PTSI's dividends per share have been stable in the past.
Growing Dividend: Insufficient data to determine if PTSI's dividend payments have been increasing.
Earnings Payout to Shareholders
Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.
Cash Payout to Shareholders
Cash Flow Coverage: Unable to calculate sustainability of dividends as PTSI has not reported any payouts.
Discover strong dividend paying companies
Management
How experienced are the management team and are they aligned to shareholders interests?
2.2yrs
Average management tenure
CEO
Joseph Vitiritto (51 yo)
2.17yrs
Tenure
US$1,496,114
Compensation
Mr. Joseph A. Vitiritto has been President, Chief Executive Officer and Director at P.A.M. Transportation Services, Inc. since August 18, 2020. Mr. Vitiritto has served as Senior Vice President of Pricing...
CEO Compensation Analysis
| Joseph Vitiritto's Compensation vs P.A.M. Transportation Services Earnings |
|---|
| Date | Total Comp. | Salary | Company Earnings |
|---|---|---|---|
| Jun 30 2022 | n/a | n/a | US$97m |
| Mar 31 2022 | n/a | n/a | US$89m |
| Dec 31 2021 | US$1m | US$540k | US$77m |
| Sep 30 2021 | n/a | n/a | US$63m |
| Jun 30 2021 | n/a | n/a | US$47m |
| Mar 31 2021 | n/a | n/a | US$31m |
| Dec 31 2020 | US$2m | US$183k | US$18m |
Compensation vs Market: Joseph's total compensation ($USD1.50M) is below average for companies of similar size in the US market ($USD4.09M).
Compensation vs Earnings: Joseph's compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: PTSI's management team is considered experienced (2.2 years average tenure).
Board Members
Experienced Board: PTSI's board of directors are considered experienced (4 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.
Ownership Breakdown
| Owner Type | Number of Shares | Ownership Percentage |
|---|---|---|
| Hedge Funds | 1,242,608 | 5.6% |
| General Public | 1,334,696 | 6.0% |
| Institutions | 3,804,778 | 17.1% |
| Individual Insiders | 15,887,075 | 71.3% |
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
| Ownership | Name | Shares | Current Value | Change % | Portfolio % | |
|---|---|---|---|---|---|---|
| 15,623,648 | $523.9m | 0.01% | no data | |||
| 1,435,227 | $48.1m | -0.8% | 0.01% | |||
| 1,242,608 | $41.7m | -0.26% | 0.05% | |||
| 474,606 | $15.9m | -7.77% | no data | |||
| 334,120 | $11.2m | 12.55% | no data | |||
| 159,720 | $5.4m | -5.32% | no data | |||
| 155,220 | $5.2m | 0% | 0.11% | |||
| 133,243 | $4.5m | 2.82% | no data | |||
| 121,220 | $4.1m | 2.54% | no data | |||
| 119,478 | $4.0m | -8.9% | 0.94% | |||
| 115,576 | $3.9m | -1.52% | 1.31% | |||
| 74,281 | $2.5m | 71.53% | no data | |||
| 71,621 | $2.4m | 1136.55% | 0.02% | |||
| 70,811 | $2.4m | 19.41% | no data | |||
| 68,526 | $2.3m | 0.28% | 0.04% | |||
| 68,345 | $2.3m | -8.31% | no data | |||
| 56,196 | $1.9m | 0% | no data | |||
| 50,284 | $1.7m | 37.98% | 0.01% | |||
| 43,536 | $1.5m | 28.59% | no data | |||
| 43,386 | $1.5m | 82.71% | no data | |||
| 40,000 | $1.3m | 0% | no data | |||
| 36,676 | $1.2m | 0% | 0.01% | |||
| 28,196 | $945.4k | 187.6% | 0.02% | |||
| 25,960 | $870.4k | 39.65% | no data | |||
| 25,849 | $866.7k | 53.17% | no data |
Company Information
P.A.M. Transportation Services, Inc.'s employee growth, exchange listings and data sources
Key Information
- Name: P.A.M. Transportation Services, Inc.
- Ticker: PTSI
- Exchange: NasdaqGM
- Founded: 1980
- Industry: Trucking
- Sector: Transportation
- Implied Market Cap: US$746.685m
- Shares outstanding: 22.27m
- Website: https://www.pamtransport.com
Number of Employees
Location
- P.A.M. Transportation Services, Inc.
- 297 West Henri De Tonti Boulevard
- Tontitown
- Arkansas
- 72770
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| PTSI | NasdaqGM (Nasdaq Global Market) | Yes | Common Stock | US | USD | Sep 1986 |
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2022/10/04 00:00 |
| End of Day Share Price | 2022/10/04 00:00 |
| Earnings | 2022/06/30 |
| Annual Earnings | 2021/12/31 |
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.