J.B. Hunt Transport Services, Inc.
J.B. Hunt Transport Services, Inc. Fundamental Analysis
J.B. Hunt Transport Services, Inc. (JBHT) shows weak financial fundamentals with a PE ratio of 35.56, profit margin of 4.99%, and ROE of 16.33%. The company generates $12.0B in annual revenue with weak year-over-year growth of -5.79%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 46.7/100 based on profitability, valuation, growth, and balance sheet metrics. The D grade reflects weak fundamentals and significant financial concerns.
Fundamental Health Score
We analyze JBHT's fundamental strength across five key dimensions:
Efficiency Score
WeakJBHT struggles to generate sufficient returns from assets.
Valuation Score
WeakJBHT trades at a premium to fair value.
Growth Score
WeakJBHT faces weak or negative growth trends.
Financial Health Score
ModerateJBHT shows balanced financial health with some risks.
Profitability Score
ModerateJBHT maintains healthy but balanced margins.
Key Financial Metrics
Is JBHT Expensive or Cheap?
P/E Ratio
JBHT trades at 35.56 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, JBHT's PEG of 5.88 indicates potential overvaluation.
Price to Book
The market values J.B. Hunt Transport Services, Inc. at 5.97 times its book value. This suggests the stock is fully valued or overvalued on an asset basis.
EV/EBITDA
Enterprise value stands at 12.51 times EBITDA. This signals the market has high growth expectations.
How Well Does JBHT Make Money?
Net Profit Margin
For every $100 in sales, J.B. Hunt Transport Services, Inc. keeps $4.99 as profit after all expenses.
Operating Margin
Core operations generate 7.21 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $16.33 in profit for every $100 of shareholder equity.
ROA
J.B. Hunt Transport Services, Inc. generates $7.55 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
J.B. Hunt Transport Services, Inc. produces operating cash flow of $1.61B, showing steady but balanced cash generation.
Free Cash Flow
J.B. Hunt Transport Services, Inc. produces free cash flow of $787.29M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $8.27 in free cash annually.
FCF Yield
JBHT converts 3.72% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
35.56
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
5.88
vs 25 benchmark
P/B Ratio
Price to book value ratio
5.97
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.77
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
0.41
vs 25 benchmark
Current Ratio
Current assets to current liabilities
0.83
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
0.16
vs 25 benchmark
ROA
Return on assets percentage
0.08
vs 25 benchmark
ROCE
Return on capital employed
0.14
vs 25 benchmark
How JBHT Stacks Against Its Sector Peers
| Metric | JBHT Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 35.56 | 26.49 | Worse (Expensive) |
| ROE | 16.33% | 1307.00% | Weak |
| Net Margin | 4.99% | -5131.00% (disorted) | Weak |
| Debt/Equity | 0.41 | 0.81 | Strong (Low Leverage) |
| Current Ratio | 0.83 | 10.48 | Weak Liquidity |
| ROA | 7.55% | -1549793.00% (disorted) | Weak |
JBHT outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews J.B. Hunt Transport Services, Inc.'s 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
38.84%
Industry Style: Cyclical, Value, Infrastructure
High GrowthEPS CAGR
16.41%
Industry Style: Cyclical, Value, Infrastructure
High GrowthFCF CAGR
42.16%
Industry Style: Cyclical, Value, Infrastructure
High Growth