A Look Back at Ground Transportation Stocks' Q4 Earnings: Covenant Logistics (NYSE:CVLG) Vs The Rest Of The Pack

As the craze of earnings season draws to a close, here’s a look back at some of the most exciting (and some less so) results from Q4. Today, we are looking at ground transportation stocks, starting with Covenant Logistics (NYSE:CVLG).

The growth of e-commerce and global trade continues to drive demand for shipping services, especially last-mile delivery, presenting opportunities for ground transportation companies. The industry continues to invest in data, analytics, and autonomous fleets to optimize efficiency and find the most cost-effective routes. Despite the essential services this industry provides, ground transportation companies are still at the whim of economic cycles. Consumer spending, for example, can greatly impact the demand for these companies’ offerings while fuel costs can influence profit margins.

The 15 ground transportation stocks we track reported a softer Q4. As a group, revenues missed analysts’ consensus estimates by 1.1%.

In light of this news, share prices of the companies have held steady. On average, they are relatively unchanged since the latest earnings results.

Covenant Logistics (NYSE:CVLG)

Started with 25 trucks and 50 trailers, Covenant Logistics (NASDAQ:CVLG) is a provider of expedited long haul freight services, offering a range of logistics solutions.

Covenant Logistics reported revenues of $295.4 million, up 6.5% year on year. This print fell short of analysts’ expectations by 1.3%. Overall, it was a disappointing quarter for the company with a significant miss of analysts’ adjusted operating income estimates and a significant miss of analysts’ EBITDA estimates.

Chairman and Chief Executive Officer, David R. Parker, commented: “Our fourth quarter resulted in a loss of $0.73 per diluted share, driven by impairment charges to goodwill and equipment and elevated insurance expense, each discussed below. Excluding these charges our non-GAAP adjusted results reflect income of $0.31 per diluted share."

Covenant Logistics pulled off the fastest revenue growth of the whole group. Unsurprisingly, the stock is up 11.5% since reporting and currently trades at $28.82.

Read our full report on Covenant Logistics here, it’s free.

Best Q4: XPO (NYSE:XPO)

Owning a mobile game simulating freight operations for the Tour de France, XPO (NYSE:XPO) is a transportation company specializing in expedited shipping services.

XPO reported revenues of $2.01 billion, up 4.7% year on year, outperforming analysts’ expectations by 2.9%. The business had an exceptional quarter with an impressive beat of analysts’ adjusted operating income estimates and a solid beat of analysts’ revenue estimates.

XPO achieved the biggest analyst estimates beat among its peers. The market seems happy with the results as the stock is up 13.1% since reporting. It currently trades at $203.13.

Is now the time to buy XPO? Access our full analysis of the earnings results here, it’s free.

Weakest Q4: Werner (NASDAQ:WERN)

Conducting business in over a 100 countries, Werner (NASDAQ:WERN) offers full-truckload, less-than-truckload, and intermodal delivery services.

Werner reported revenues of $737.6 million, down 2.3% year on year, falling short of analysts’ expectations by 2.8%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates.

As expected, the stock is down 12.4% since the results and currently trades at $33.19.

Read our full analysis of Werner’s results here.

Avis Budget Group (NASDAQ:CAR)

The parent company of brands such as Zipcar and Budget Truck Rental, Avis (NASDAQ:CAR) is a provider of car rental and mobility solutions.

Avis Budget Group reported revenues of $2.66 billion, down 1.7% year on year. This number came in 2.9% below analysts' expectations. Overall, it was a disappointing quarter as it also produced a significant miss of analysts’ revenue estimates and a significant miss of analysts’ adjusted operating income estimates.

The stock is down 21.3% since reporting and currently trades at $97.10.

Read our full, actionable report on Avis Budget Group here, it’s free.

Old Dominion Freight Line (NASDAQ:ODFL)

With its name deriving from the Commonwealth of Virginia’s nickname, Old Dominion (NASDAQ:ODFL) delivers less-than-truckload (LTL) and full-container load freight.

Old Dominion Freight Line reported revenues of $1.31 billion, down 5.7% year on year. This result was in line with analysts’ expectations. Overall, it was a strong quarter as it also recorded a decent beat of analysts’ adjusted operating income estimates and a decent beat of analysts’ EBITDA estimates.

The stock is up 10.7% since reporting and currently trades at $210.00.

Read our full, actionable report on Old Dominion Freight Line here, it’s free.

Want to invest in winners with rock-solid fundamentals? Check out our Top 5 Quality Compounder Stocks and add them to your watchlist. These companies are poised for growth regardless of the political or macroeconomic climate.