Forward Air Earnings: Here’s Why the Stock is Rising Now

Forward Air Corp. (NASDAQ:FWRD) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are up 0.71%.

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Forward Air Corp. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share increased 2.86% to $0.36 in the quarter versus EPS of $0.35 in the year-earlier quarter.

Revenue: Rose 3.3% to $141.6 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Forward Air Corp. reported adjusted EPS income of $0.36 per share. By that measure, the company missed the mean analyst estimate of $0.39. It missed the average revenue estimate of $148.74 million.

Quoting Management: Bruce A. Campbell, Chairman, President, and CEO, commenting on the first quarter said, “The first quarter proved to be a more challenging operating environment than we originally expected. Airport-to-airport volumes, which were up slightly at the beginning of the period, did not show their typical end-of-quarter strength. Beyond a continued weakness in the overall macroeconomic environment, we were challenged by consistently harsh weather throughout the quarter as well as increased irrational pricing from our competition.”

Key Stats (on next page)…

Revenue decreased 8.96% from $155.53 million in the previous quarter. EPS decreased 33.33% from $0.54 in the previous quarter.

Looking Forward: Analysts have a more positive outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has risen from a profit of $0.5 to a profit $0.54. For the current year, the average estimate has moved up from a profit of $1.97 to a profit of $2.04 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)