Arcbest Story

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ARCB -- USA Stock  

USD 59.89  1.00  1.70%

ArcBest is scheduled to announce its earnings tomorrow. The upcoming quarterly report is expected on the 2nd of February 2021. While many traders are getting carried away by overanalyzing industrials space, it is reasonable to go over ArcBest under the current economic conditions. I will address why investors ignored this entity since the beginning of the current economic outlook.
Published over three weeks ago
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Will analysts have more confidence in ArcBest (NASDAQ:ARCB) March?
The company currently holds 410.9 M in liabilities with Debt to Equity (D/E) ratio of 0.51, which is about average as compared to similar companies.
What is the right price you would pay to acquire a share of Arcbest Corp? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated.
Please read more on our stock advisor page.

What is happening with Arcbest Corp this year

Annual and quarterly reports issued by Arcbest Corp are formal financial statements that are published yearly and quarterly and sent to Arcbest stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Arcbest Corp often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

How Arcbest utilizes its cash?

To perform a cash flow analysis of Arcbest Corp, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Arcbest Corp is receiving and how much cash it distributes out in a given period. The Arcbest Corp cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Arcbest Corp Net Cash Flow from Operations is projected to increase significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 195.92 Million

Bona fide gift to David Cobb of 800 shares of ArcBest subject to Section 16

Legal trades by Arcbest Corp insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
ArcBest insider trading alert for gift of common stock par value $0.01 per share by David Cobb, Vice President - CFO, on 18th of December 2020. This event was filed by Arcbest Corp with SEC on 2020-12-18. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Arcbest Corp Investor Appetite?

Earning per share calculations of ArcBest is based on official Zacks consensus of 6 analysts regarding ArcBest's future annual earnings. Given the historical accuracy of 81.82%, the future earnings per share of the company is estimated to be 3.16 with the lowest and highest values of 3.07 and 3.3, respectively. Please note that this consensus of annual earnings estimates for the firm is an estimate of EPS before non-recurring items and including employee stock options expenses.

Is ArcBest a risky opportunity?

Let's check the volatility. ArcBest is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind ArcBest (NASDAQ:ARCB) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. taking in a share of an ArcBest stock makes you a part-owner of that company.

ArcBest Current Consensus

Here is the current trade recommendation based on an ongoing consensus estimate among financial analysis covering ArcBest. The ArcBest consensus assessment is calculated by taking the average estimates from all of the analysts covering ArcBest

Strong Buy
7
Buy
1
Hold
1
Strong Buy777.78
Buy111.11
Hold111.11
Sell00.0
Strong Sell00.0

Our perspective of the current ArcBest rise

The standard deviation is down to 3.19 as of today. ArcBest currently demonstrates below-verage downside deviation. It has Information Ratio of 0.13 and Jensen Alpha of 0.57. However, we do advice investors to further question ArcBest expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

The Current Takeaway on ArcBest Investment

Whereas many other companies under the trucking industry are still a bit expensive, ArcBest may offer a potential longer-term growth to investors. While some investors may not share our view we believe that the current risk-reward utility is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to ArcBest.

About Contributor

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Achuva Shats do not own shares of Arcbest Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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