This is a step-by-step stock review to answer the question, is Expeditors (EXPD) stock a good buy?
This article will teach you how to use the 4Ms of investing. This will be a detailed walkthrough to show you how the 4Ms work and why they are important. If you are interested, you can log into Tykr to use the 4M Confidence Booster (Powered by OpenAI) which will allow you to complete a 4M Analysis in less than 60 seconds.
What are the 4Ms?
- MOS (Margin of Safety) – The MOS is the math part of investing which includes the Summary, Score, and MOS (Margin of Safety).
- Meaning – The meaning is the business model and how scalable the revenue streams are.
- Moat – The moat is how the business compares to other companies in the same Sector and Industry.
- Management – The management is the track record of the CEO.
What 4M score are we going for?
- 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
- 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
- 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.
Table of Contents
The following links will direct you to key topics to help answer the question, is Expeditors (EXPD) stock a good buy?
- Expeditors company history
- MOS
- Meaning
- Moat
- Management
- 4M Score
- Is Expeditors (EXPD) stock a good buy?
1. Expeditors Company History
When investing in stocks, it’s important to know the company’s history. This helps us understand the various revenue streams, if they acquired other companies, how they grew through difficult times, and how they separated themselves from the competition.
- Founded in 1979: Expeditors was established in Seattle, Washington.
- Global Expansion: Quickly grew from a regional player to a global leader in logistics.
- Public Company: Went public in 1984, listed on NASDAQ under the ticker symbol EXPD.
- Service Diversification: Expanded services to include air and ocean freight, customs brokerage, warehousing, and distribution.
- Technology Focus: Invested heavily in technology to improve supply chain management and customer service.
- Consistent Growth: Achieved consistent financial growth and stability, becoming a Fortune 500 company.
- Sustainability Commitment: Implemented eco-friendly practices and initiatives to reduce carbon footprint.
- Global Network: Operates a comprehensive network of offices and agents worldwide, providing seamless logistics solutions.
- Award-Winning Service: Recognized for excellence in customer service and operational efficiency.
- Industry Leadership: Maintains a strong position as a leader in the logistics and transportation industry.
Expeditors’ journey from a local startup to a global logistics powerhouse showcases its dedication to innovation, customer service, and sustainable growth. With a focus on integrating advanced technology and expanding its service offerings, Expeditors continues to set industry standards and deliver exceptional value to its clients worldwide.
2. MOS (Margin of Safety)
When investing in a company, the first step is to look at the financials. Fortunately, Tykr does this for us automatically. The higher the score, the stronger the financials and the safer the investment. The higher the MOS, the higher the potential returns you can make.
- Summary: Overpriced
- Score: 33
- MOS: 1%
To see the most up-to-date Summary, Score, and MOS, please log into Tykr.
3. Meaning
When investing in a company, it’s important to know how a company makes money. A mature business model has multiple streams of revenue which allow the company to weather downturns in the economy.
Here is how Expeditors makes money:
- Air Freight: Charges for transporting goods by air.
- Ocean Freight: Fees for shipping goods by sea.
- Customs Brokerage: Charges for handling customs clearance and documentation.
- Warehousing: Fees for storing goods in warehouses.
- Distribution: Charges for distributing goods to final destinations.
- Ground Transportation: Fees for trucking and delivery services.
- Supply Chain Management: Charges for managing and optimizing supply chains.
- Consulting: Fees for logistics and supply chain consulting services.
- Cargo Insurance: Charges for providing insurance coverage for shipments.
- Specialized Services: Fees for handling special cargo, such as hazardous materials or oversized shipments.
4. Moat
When investing in a company, it’s important to understand how a company ranks against other companies in the same sector and industry. Based on the Score, here is how Expeditors stacks up against other companies.
- ZTO Express (Cayman) Inc. (ZTO) – 83
- FedEx Corporation (FDX) – 50
- XPO Logistics Inc. (XPO) – 44
- GXO Logistics, Inc. (GXO) – 44
- UPS Inc. (UPS) – 39
- Expeditors (EXPD) – 33
To see the most up-to-date Summary, Score, and MOS and each stock, please log into Tykr.
5. Management
When investing in a company, it’s important to understand who the CEO is, what they have accomplished in the past, and how they have helped this company grow. Good leaders typically have stronger cultures, less turnover, and better returns in the stock market.
- Under Jeffrey S. Musser’s leadership, Expeditors expanded its global reach and strengthened its position as a key player in the logistics industry.
- He oversaw the implementation of strategic initiatives that enhanced operational efficiency and streamlined processes, leading to improved customer satisfaction.
- Musser focused on fostering a culture of innovation within the company, driving the development of technology solutions to meet the evolving needs of clients.
- During his tenure, Expeditors experienced consistent revenue growth and achieved significant financial milestones.
- Musser prioritized sustainability efforts, implementing eco-friendly practices throughout the supply chain to reduce environmental impact.
- He emphasized talent development and employee engagement, resulting in a motivated workforce dedicated to delivering excellence.
- Under his guidance, Expeditors maintained a strong commitment to corporate social responsibility, supporting various charitable initiatives and giving back to the communities it serves.
- Overall, Jeffrey S. Musser’s leadership at Expeditors has been marked by strategic vision, operational excellence, and a steadfast dedication to driving the company’s success in a competitive global market.
6. 4M Score
All of our homework on this company leads up to the 4M Score. A lot of investors only look at the numbers. Yes, it’s important to look at the first M (MOS) which is the math part of investing but it’s also important to look past the numbers and also look at the Meaning, Moat, and Management. If all 4Ms pass, we should have high confidence in buying this stock.
What 4M score are we going for?
- 80-100 = High confidence – Yay! You should have high confidence buying this stock. It passes all 4M!
- 60-79 = Moderate confidence – Alert! There may be better stocks in the market. Only buy this stock if you truly believe the company will improve!
- 0-59 = Low confidence – Warning! There are better stocks in the market. Due to the low score, you should consider looking at other stocks.
👉 The 4M Score of Expeditors (EXPD) is 74/100.
To see the most up-to-date 4M Score, please log into Tykr.
7. Is Expeditors (EXPD) stock a good buy?
Some of the top questions investors can have is Expeditors (EXPD) stock a good buy or should I buy Expeditors (EXPD) stock?
Investing in Expeditors could be a wise choice because they’re a big player in logistics. They help businesses move goods around efficiently. Expeditors is known for their reliable service and global reach. People trust them to handle their shipments. With the world relying more on global trade, Expeditors is in a good spot to keep growing. They’ve been doing well financially and expanding steadily. So, for investors interested in the logistics industry, Expeditors is a solid option to consider.
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To truly know if Expeditors (EXPD)is a good stock to buy or sell, we recommend you log into Tykr. Within seconds you can see the Summary, Score, MOS, and 4M Score.
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