ODFL

Old Dominion Freight Line, Inc.

Industrial/Transportation


Presented:04/04/2024
Price:$218.06
Cap:$47.47B
Current Price:$201.46
Cap:$43.17B

Presented

Date04/04/2024
Price$218.06
Market Cap$47.47B
Ent Value$44.22B
P/E Ratio38.73x
Book Value$19.54
Div Yield0.39%
Shares O/S217.67M
Ave Daily Vol1,351,691
Short Int2.15%

Current

Price$201.46
Market Cap$43.17B
Old Dominion Freight Line, Inc. engages in the provision of regional, inter-regional, and national less-than-truckload services through a single integrated, union-free organization. Its services include container drayage, truckload brokerage, and supply chain consulting. The company was founded by Earl Congdon Sr. and Lillian Congdon in 1934 and is headquartered in Thomasville, NC.

Publicly traded companies mentioned herein: Old Dominion Freight Line Inc (ODFL), XPO Inc (XPO) 

Highlights

The presenter is short shares of Old Dominion Freight Line Inc (ODFL), a $47.5B market cap provider of less-than-truckload (LTL) trucking services across the United States. Old Dominion has been the industry’s top operator due to its strategic investments in intellectual property over the years, which enabled better pricing and services. While this has historically led to share gains, continued gains will likely be challenging for several reasons, including Yellow Corp’s market share having already been divided up, competitors emulating its operating model and LTL ceding share to the truckload (TL) market. The presenter is 10% lower than consensus on 2025 earnings and expects the multiple to compress back to low 20s from the mid 30s, creating a path to 40% downside for the stock.

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Idea Discussion

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