Fundamental analysis: C.H. Robinson Worldwide, Inc. (CHRW)

Awarener score: 7.4

Conclusion

The higher the Awarener score, the more bang you get for the buck. It measures how much genuine funds the company generates for the stock price paid (Very good), the business stability (Lacking) and growth (Average), and the company's inclination to return cash to the stockholders (Excellent).

Note: All scores range from 1 (worst) to 10 (best). Conclusions are updated daily with closing stock prices and new reported quarterly financial statements.

Revenue score: 5.0

Business has been growing at a low pace. It's been below average when measured against peer companies.
C.H. Robinson Worldwide, Inc. business shows some variation, there's some risk. It looks mediocre against rivals.

Margins score: 5.0

CHRW profit margins -on goods and services sold- are usually destitute. They stand bottom tier against rival companies.
Business profit on sales tends to be sufficient. It's below average when measured against competitors.
Profits on sales made -available to repay debt and purchase properties- are usually hardly sufficient. They remain in a weak position compared to peers.
Earnings -before income taxes and interests on loans taken- tend to be sufficient in relation to total revenues. They're still slightly worse than similar companies.
Profits -before income taxes- are usually sufficient considering total sales, and remain almost average when measured against rivals.
Total net profit tends to be sufficient when confronted to sales. Company stands almost average when measured against comparable firms.

Growth score: 4.0

C.H. Robinson Worldwide, Inc. profit -on goods and services sold- has been growing at a very low pace. It's been in a weak position compared to competitors.
In recent years, earnings -on operations- have been growing at a very low step, which has been somewhat worse than comparable firms.
Profits -available to repay debt and purchase properties- have been growing at a very low pace, which compares weak when measured against peer enterprises.
Earnings -before income taxes and interests on loans taken- have been growing at a very low tempo. It turns to be lacking compared to similar stocks.
In past years, profits -before income taxes- grew at a very low speed. It was mediocre against rivals.
In the previous years, growth on total net profit has been very low, and weak when measured against peer companies.
Earnings per share have grown at a very low rhythm in past years. It's been in a weak position compared to industry peers.

Miscellaneous score: 6.0

CHRW had to pay sparse income taxes in relation to profits made in the past years. It's been slightly better than peers.
The company does not report R&D expenses. It's meaningless to measure in relation to competitors.
We have insufficient data to estimate how effective is research and development effort. It stands unknown against rival companies.

Profitability score: 10.0

C.H. Robinson Worldwide, Inc. usually gets huge returns on the resources it controls. It proves more than average in relation to peer firms.
The company normally gets huge proceeds -on the resources directly invested in the business-. They remain a slight improvement compared to similar companies.
Profitability -in relation to owned resources- is usually paramount. It ranks great when measured against competitors.
In the past, got huge returns -on the tangible resources it controls-. This metric is usually related to the industry in which operates and combines profitability versus reinvestment needs. It's more than average in relation to comparable enterprises.

Usage of Funds score: 6.1

CHRW usually uses a sparse portion of genuine funds generated to buy or replace property, plant, or equipment. The need for reinvestments is modest. It stands more than average in relation to rival firms.
The company is usually replacing most of the property, plant, and equipment that gets old, and saving a little funds for something else, which is weak when measured against industry peers.
In the past twelve months it paid some dividends, considering the current stock price. It came well ranked against competitors.
Dividend payments have been more or less stable in recent years. The company has behaved in a weak position compared to similar firms.
The company usually uses some portion of genuine funds generated to pay dividends. Dividend payments should be safe, unless business prospects take a nosedive. Sustainability looks slightly worse than comparable companies.
The company usually reduces the pool of investors, resulting in fewer mouths feeding on the pie of profits. It remains excellent in relation to peer enterprises.
Repurchase effectiveness metric is very complex. Run again in analytical mode if you're interested in a technical explanation. It stands excellent in relation to rivals.
The company uses somewhat more funds to reward investors than it can genuinely generate, so some part of them is paid out of existing cash or by borrowing money, both of which will eventually reach a limit. Either business somewhat improves, or rewards will probably not be sustained at this pace. It still looks weak when measured against competitors.

Balance Sheet score: 5.9

C.H. Robinson Worldwide, Inc. intangible assets (like brands and goodwill) represent a very large portion of resources controlled, according to accounting books. There could be major difficulties in liquidating them if the company ever gets in financial distress. It happens to be substantially worse when measured against peer companies.
The company has somewhat more short-term resources than short-term obligations. Liquidity concerns might not be that important. It turns to be in a very weak position compared to similar firms.
A significant part of resources controlled were provided for with financial debt. Creditors have almost as many claims on the company as shareholders. It remains mediocre against rival firms.
Controlled resources can be made into cash within reason, which is quite good for liquidity. It looks almost average when measured against rivals.
For every dollar of short-term obligations, the company has roughly another of cash and short-term receivables. It's in a weak position compared to peer firms.
For every dollar of short-term obligations, the company has very few cents of cash and equivalents, which is worse than most similar enterprises.
Usually, sales are on a month and a half credit. It still ranks below average when measured against peers.
Normally has no inventories. It comes up as impressive in relation to competitors.
On average, it takes approximately two months from the purchase to charging customers. It happens to be somewhat worse than peers.
On average pays suppliers before a month since the purchase. It ranks weak when measured against industry peers.
The company pays its suppliers less than one month before charging its customers, so there's little money invested in working capital. It's lacking compared to similar companies.
Net interest expenses consume a non-significant portion of usual business earnings, and are therefore extremely easily to bear. It stands somewhat better than rival firms.
Business earnings have usually been very good when measured against loans taken. Cutting back reinvesting in the business, it could take less than two years to repay the obligations with current profitability. It ranks almost average when measured against comparable enterprises.
Revenues are huge in relation to property, plant, and equipment required to operate. This metric is likely dependent on the industry the company operates in. Low property, plant, and equipment requirements, allows the company to keep more money to reward stockholders in the long run. It looks impressive in relation to similar firms.
Resource exploitation is huge considering yearly sales, which is great. This metric is normally tied to the industry where the firm belongs. It's still top-notch against peer companies.

Valuation score: 6.5

C.H. Robinson Worldwide, Inc. looks reasonable in relation to profits and financial position. It happens to be almost average when measured against competitors.
Price-to-Tangible-Book-Value is a fairly complex metric. Run again in analytical mode if you're interested in a technical explanation. It remains a disappointment compared to peers.
In the past twelve months, the company generated some good free funds in relation to the stock price, which stands slightly worse than similar companies.
The company usually generates more than enough genuine funds to cover up for its business needs. Surplus cash may be used to repay loans, to eventually buy new businesses, or to reward investors. Considering the financial position and stock price, at the current price the share might be interesting. It's still similar to industry firms.
In the past twelve months, the company has rewarded investors, considering both dividends and share on the pie of earnings. It came up impressive in relation to peer ventures.
The company has barely more debt than cash. It may borrow extra money if it wishes so, or start cumulating cash for future uses. It looks somewhat worse than similar enterprises.
Considering the past twelve months, traditional Price-to-Earnings relation might be more or less reasonable, but hardly cheap. It ranks almost average when measured against peer companies.
Comparing the current stock price with the past twelve-months revenues gives a low relationship. One common cause includes profitability being poor. It looks rather normal in relation to rival firms.
The relation between the stock price and accounting book value is extremely high, which may be good or bad depending on context. Run again in analytic mode if you want to dig deeper. The company remains worse than most peer firms.
In the past twelve months, the operating business earned good money when compared to the current stock price and financial position. It happens to be encouraging in relation to industry peers.
In an alternate metric of bang for the buck, the company has usually shown a very good earnings power ability when measured against the current stock price and financial position. It's still a slight improvement compared to peer companies.

Total score: 6.1

Company at a glance: C.H. Robinson Worldwide, Inc. (CHRW)

Sector, industry: Industrials, Integrated Freight & Logistics

Market Cap: 11.37 billions

Revenues TTM: 22.49 billions

C.H. Robinson Worldwide, Inc., together with its subsidiaries, provides freight transportation services and logistics solutions to companies in various industries worldwide. The company operates in two segments, North American Surface Transportation and Global Forwarding. It offers transportation and logistics services, such as truckload; less than truckload transportation brokerage services, which include the shipment of single or multiple pallets of freight; intermodal transportation that comprise the shipment service of freight in containers or trailers by a combination of truck and rail; and non-vessel ocean common carrier and freight forwarding services, as well as organizes air shipments and provides door-to-door services. The company also offers customs broker services; and other logistics services, such as fee-based managed, warehousing, small parcel, and other services. It has contractual relationships with approximately 85,000 transportation companies, including motor carriers, railroads, and air and ocean carriers. In addition, the company is involved in buying, selling, and/or marketing of fresh produce, including fresh fruits, vegetables, and other value-added perishable items under the Robinson Fresh name. Further, it provides transportation management services or managed TMS; and other surface transportation services. The company offers its fresh produce to grocery retailers, restaurants, produce wholesalers, and foodservice distributors through a network of independent produce growers and suppliers. C.H. Robinson Worldwide, Inc. was founded in 1905 and is headquartered in Eden Prairie, Minnesota.