Expeditors International of Washington (EXPD) versus Its Rivals Critical Contrast

Expeditors International of Washington (NASDAQ:EXPD) is one of 61 public companies in the “Air Freight & Logistics” industry, but how does it compare to its competitors? We will compare Expeditors International of Washington to similar companies based on the strength of its dividends, risk, earnings, valuation, profitability, analyst recommendations and institutional ownership.

Risk and Volatility

Expeditors International of Washington has a beta of 1.07, meaning that its stock price is 7% more volatile than the S&P 500. Comparatively, Expeditors International of Washington’s competitors have a beta of 0.70, meaning that their average stock price is 30% less volatile than the S&P 500.

Dividends

Expeditors International of Washington pays an annual dividend of $1.62 per share and has a dividend yield of 0.9%. Expeditors International of Washington pays out 23.6% of its earnings in the form of a dividend. As a group, “Air Freight & Logistics” companies pay a dividend yield of 2.5% and pay out 41.6% of their earnings in the form of a dividend. Expeditors International of Washington has raised its dividend for 31 consecutive years.

Profitability

This table compares Expeditors International of Washington and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Expeditors International of Washington	7.64%	36.16%	16.88%
Expeditors International of Washington Competitors	-1,651.27%	-22.26%	-11.48%

Earnings and Valuation

This table compares Expeditors International of Washington and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Expeditors International of Washington	$12.04 billion	$752.88 million	27.43
Expeditors International of Washington Competitors	$10.80 billion	$472.10 million	9.41

Expeditors International of Washington has higher revenue and earnings than its competitors. Expeditors International of Washington is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

94.0% of Expeditors International of Washington shares are owned by institutional investors. Comparatively, 42.7% of shares of all “Air Freight & Logistics” companies are owned by institutional investors. 0.5% of Expeditors International of Washington shares are owned by company insiders. Comparatively, 18.4% of shares of all “Air Freight & Logistics” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings for Expeditors International of Washington and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Expeditors International of Washington	3	9	2	1	2.07
Expeditors International of Washington Competitors	666	2032	2603	107	2.40

Expeditors International of Washington currently has a consensus target price of $181.27, suggesting a potential downside of 3.79%. As a group, “Air Freight & Logistics” companies have a potential upside of 22.57%. Given Expeditors International of Washington’s competitors stronger consensus rating and higher possible upside, analysts plainly believe Expeditors International of Washington has less favorable growth aspects than its competitors.

Summary

Expeditors International of Washington beats its competitors on 10 of the 15 factors compared.

Expeditors International of Washington Company Profile

Expeditors International of Washington, Inc., together with its subsidiaries, provides logistics services worldwide. The company offers airfreight services, such as air freight consolidation and forwarding; ocean freight and ocean services, including ocean freight consolidation, direct ocean forwarding, and order management; customs brokerage, import, intra-continental ground transportation and delivery, and warehousing and distribution services; and customs clearance, purchase order management, vendor consolidation, time-definite transportation services, temperature-controlled transit, cargo insurance, specialized cargo monitoring and tracking, and other supply chain solutions. It also provides optimization, trade compliance consulting, cargo security, and solutions. In addition, it acts as a freight consolidator or as an agent for the airline that carries the shipment. Further, the company provides ancillary services that include preparation of shipping and customs documentation, packing, crating, insurance services, and the preparation of documentation to comply with local import and export laws. Its customers include retailing and wholesaling, electronics, technology, and industrial and manufacturing companies. The company was incorporated in 1979 and is headquartered in Seattle, Washington.