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ArcBest (ARCB) Gains As Market Dips: What You Should Know

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ArcBest (ARCB - Free Report) closed at $74.01 in the latest trading session, marking a +0.78% move from the prior day. This move outpaced the S&P 500's daily loss of 0.06%. Elsewhere, the Dow gained 0.72%, while the tech-heavy Nasdaq added 0.47%.

Prior to today's trading, shares of the freight transportation and logistics company had lost 20.84% over the past month. This has lagged the Transportation sector's loss of 5.97% and the S&P 500's gain of 0.17% in that time.

Wall Street will be looking for positivity from ArcBest as it approaches its next earnings report date. This is expected to be April 29, 2022. In that report, analysts expect ArcBest to post earnings of $2.08 per share. This would mark year-over-year growth of 105.94%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.23 billion, up 48.04% from the year-ago period.

ARCB's full-year Zacks Consensus Estimates are calling for earnings of $10.66 per share and revenue of $5.13 billion. These results would represent year-over-year changes of +25.12% and +28.77%, respectively.

It is also important to note the recent changes to analyst estimates for ArcBest. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.35% higher. ArcBest is currently sporting a Zacks Rank of #3 (Hold).

Investors should also note ArcBest's current valuation metrics, including its Forward P/E ratio of 6.89. This valuation marks a discount compared to its industry's average Forward P/E of 13.79.

We can also see that ARCB currently has a PEG ratio of 0.54. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Transportation - Truck stocks are, on average, holding a PEG ratio of 1.15 based on yesterday's closing prices.

The Transportation - Truck industry is part of the Transportation sector. This group has a Zacks Industry Rank of 108, putting it in the top 43% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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