Earnings Update: Expeditors International of Washington, Inc. Beat Earnings And Now Analysts Have New Forecasts For Next Year

As you might know, Expeditors International of Washington, Inc. (NYSE:EXPD) just kicked off its latest quarterly results with some very strong numbers. Statutory earnings performance was extremely strong, with revenue of US$3.0b beating expectations by 21% and earnings per share (EPS) of US$1.63, an impressive 22%ahead of expectations. Earnings are an important time for investors, as they can track a company's performance, look at what the analysts are forecasting for next year, and see if there's been a change in sentiment towards the company. So we collected the latest post-earnings statutory consensus estimates to see what could be in store for next year.

See our latest analysis for Expeditors International of Washington

After the latest results, the 13 analysts covering Expeditors International of Washington are now predicting revenues of US$10.4b in 2025. If met, this would reflect a satisfactory 4.6% improvement in revenue compared to the last 12 months. Per-share earnings are expected to increase 4.1% to US$5.45. Yet prior to the latest earnings, the analysts had been anticipated revenues of US$9.89b and earnings per share (EPS) of US$5.34 in 2025. So there seems to have been a moderate uplift in sentiment following the latest results, given the upgrades to both revenue and earnings per share forecasts for next year.

Althoughthe analysts have upgraded their earnings estimates, there was no change to the consensus price target of US$117, suggesting that the forecast performance does not have a long term impact on the company's valuation. It could also be instructive to look at the range of analyst estimates, to evaluate how different the outlier opinions are from the mean. The most optimistic Expeditors International of Washington analyst has a price target of US$132 per share, while the most pessimistic values it at US$85.00. Analysts definitely have varying views on the business, but the spread of estimates is not wide enough in our view to suggest that extreme outcomes could await Expeditors International of Washington shareholders.

One way to get more context on these forecasts is to look at how they compare to both past performance, and how other companies in the same industry are performing. It's pretty clear that there is an expectation that Expeditors International of Washington's revenue growth will slow down substantially, with revenues to the end of 2025 expected to display 3.6% growth on an annualised basis. This is compared to a historical growth rate of 4.7% over the past five years. Compare this against other companies (with analyst forecasts) in the industry, which are in aggregate expected to see revenue growth of 4.7% annually. So it's pretty clear that, while revenue growth is expected to slow down, the wider industry is also expected to grow faster than Expeditors International of Washington.

The Bottom Line

The most important thing here is that the analysts upgraded their earnings per share estimates, suggesting that there has been a clear increase in optimism towards Expeditors International of Washington following these results. They also upgraded their revenue estimates for next year, even though it is expected to grow slower than the wider industry. There was no real change to the consensus price target, suggesting that the intrinsic value of the business has not undergone any major changes with the latest estimates.

With that said, the long-term trajectory of the company's earnings is a lot more important than next year. At Simply Wall St, we have a full range of analyst estimates for Expeditors International of Washington going out to 2026, and you can see them free on our platform here..

We also provide an overview of the Expeditors International of Washington Board and CEO remuneration and length of tenure at the company, and whether insiders have been buying the stock, here.

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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.