Are Hub Group Inc. (NASDAQ:HUBG) Prospects Worsening?

Hub Group Inc. (NASDAQ:HUBG) Relative Strength Index (RSI) is 45.04, with weekly volatility at 3.68% and ATR at 1.95. The HUBG stock’s 52-week price range has touched low of $36.51 and a $60.42 high. Intraday shares traded counted 0.55 million, which was -67.77% lower than its 30-day average trading volume of 325.50K. Its shares traded higher over the last trading session, gaining 2.31% on 06/26/20. The shares fell to a low of $44.49 before closing at $46.03. HUBG’s previous close was $44.99 while the outstanding shares total 33.16M. The firm has a beta of 1.10, a 12-month trailing P/E ratio of 15.95.

Investors have identified the Integrated Freight & Logistics company Hub Group Inc. as an interesting stock but before investments are made there, an in-depth look at its trading activities will have to be conducted. The share is trading with a market value of around $1.54 billion, the company now has both obstacles and catalysts that affect them and they came from their mode of operations. With the company affected by events currently, it is a perfect time to analyze the numbers behind the firm in order to come up with a rather realistic picture of what this stock is.

Hub Group Inc. (HUBG) Fundamentals that are to be considered.

When analyzing a stock, the first fundamental thing to take into account is the balance sheet. How healthy the balance sheet of a company is will determine if the company will be able to carry out all its financial and non-financial obligations and also keep the faith of its investors. For HUBG, the company has in raw cash 276.88 million on their books with 94.62 million currently as liabilities. How the trend is over time is what investors should be concerned about. The company has a healthy balance sheet as their debt profile has been on a decline. In terms of their assets, the company currently has 748861000 million total, with 502808000 million as their total liabilities.

HUBG were able to record 15.19 million as free cash flow during the third quarter of the year, this saw their quarterly net cash flow reduce by 108.15 million. In cash movements, the company had a total of 40.65 million as operating cash flow.

Potential earnings growth for Hub Group Inc. (HUBG)

In order to determine the future investment potential for this stock, we will have to analyze key trends that affect it. During the third quarter of the year, Hub Group Inc. recorded a total of 838.86 million in revenue. This figure implies that they witnessed a quarterly year/year change in their earnings with -11.22% coming in sequential stages and their sales for the third quarter reducing by -7.37%.

What matters though is how it ends. When the core data for the company is broken down, then the stock sounds interesting. The company spent 734.26 million trying to sell their products during the last quarter, with the result yielding a gross income of 104.59 million. This allows shareholders to hold on to 33.16M with the revenue now reading 0.40 cents per share. This is a figure that is close to analyst’s prediction for their fourth quarter (0.62 cents a share).

Having a look at the company’s valuation, the company is expected to record 3.39 total earnings per share during the next fiscal year. It is very important though to remember that the importance of trend far outweighs that of outlook. This analysis has been great and getting further updates on HUBG sounds very interesting.

Is the stock of HUBG attractive?

In related news, Director, REAVES CHARLES R sold 5,000 shares of the company’s stock in a transaction that recorded on Aug 21. The sale was performed at an average price of 42.21, for a total value of 211,050. In the last 6 months, insiders have changed their ownership in shares of company stock by 3.20%.

7 out of 15 analysts covering the stock have rated it a Buy, while 5 have maintained a Hold recommendation on Hub Group Inc.. 1 analysts has assigned a Sell rating on the HUBG stock. The 12-month mean consensus price target for the company’s shares has been set at $49.58.