C.H. Robinson's EPS Estimates Northbound: Time to Buy CHRW Stock?

Core Viewpoint - C.H. Robinson Worldwide, Inc. (CHRW) is experiencing positive momentum due to shareholder-friendly initiatives, cost-cutting measures, and efforts to enhance productivity amidst high expenses and weaker demand [1][9]. Financial Performance - The Zacks Consensus Estimate for CHRW's earnings per share (EPS) for Q3 and full-year 2024 indicates growth of 28.57% and 25.15% compared to 2023 [2]. - CHRW has maintained uninterrupted dividend payments for over 25 years, with a recent dividend increase of 1.6%, raising the quarterly cash dividend to 62 cents per share, yielding 2.47% at the current stock price [4]. - The company returned approximately $886 million to shareholders in 2021, $1.744 billion in 2022, and $291.56 million in cash dividends in 2023 [5][6]. Revenue Growth - The Zacks Consensus Estimate for CHRW's revenues in Q3 and Q4 2024 is projected at $4.52 billion and $4.54 billion, reflecting improvements of 4.1% and 4.5% from 2023 [8]. - Full-year revenue growth is expected to be 2% in 2024 and 4.3% in 2025, driven by higher pricing in ocean services and increased volumes in ocean and air services [8]. Cost Management - CHRW has successfully reduced operating expenses by 1.7% year-over-year in the first half of 2024, with personnel expenses down by 2.6% due to cost optimization efforts [9]. - The decrease in expenses is expected to positively impact the company's bottom line [9]. Stock Performance - CHRW shares have gained 35.4% in the past six months, outperforming both its industry and the S&P 500 [10]. - The company's earnings have surpassed the Zacks Consensus Estimate in three of the last four quarters, with an average surprise of 7.33% [10]. Competitive Position - CHRW's price performance this year has been favorable compared to industry peers such as Schneider National, Inc. and Expeditors International of Washington, Inc. [11].