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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Sisyphus who wrote (72184)	1/29/2023 7:52:11 AM
From: Spekulatius	Read Replies (1) \| Respond to of 78748

I've been accumulating ODFL over the past 12 months. ODFL is a well run business, but you are paying ~26x earning for a business that is projected to have a down year for earnings for 2023. What’s your thesis and why now?

To: Sisyphus who wrote (72184)	1/29/2023 1:28:30 PM
From: bruwin	Respond to of 78748

I would say that ODFL has got quite a lot going for it as a business .... It's price, in terms of its "Equity Bond" parameter, is slightly below the value of $359 that would get it into the "expensive range". If one looks at its chart it hit about $360 at "A" before it then fell back ..... And with regard to its current P/E of around 28, I wouldn't get too hung up about it. As one can see over the last 5 years ODFL traded between about PE 20 and PE 30 as at "C" and showed a Price Gain of around (300 - 100)/100 = ~200%, equivalent to a compounded rate of about 30% PA over the 4 year period, It got to be overly expensive for the Buyers when ODFL hit a PE of around 40. Quality companies generally trade at higher PE's than the more "average" companies. Here we have UNP, another Quality company in the "Road & Rail" sector, which has traded with PE's in the 20 to 30 range ..... If ODFL should, for some reason, fall back to its recent Support level of $250 - 260 at "B", that would, IMO, be a good time to buy its shares on the basis of its future critical Financial ratios remaining much the same as now .....

To: Sisyphus who wrote (72184)	1/29/2023 1:43:50 PM
From: Paul Senior	Read Replies (3) \| Respond to of 78748

Trucking. For ltl (less than truck load), I have FCX. Passed on the other big ones (ODFL, YELL, XPO). Nice move past six months on XPO, ODFL. Looking at Paccar, truck manufacturers apparently are doing well now. Couple days ago Paccar up to new 12-mo high. finance.yahoo.com If I try to put this together - good demand for trucks and truckers, then maybe my position in TA might be a recipient. I'll up my few tracking shares a bit. TravelCenters of America Inc. operates travel centers, truck service facilities, and restaurants in the United States and Canada. The company's travel centers offer various products and services, including diesel fuel and gasoline, as well as nonfuel products and services, such as a range of truck repair and maintenance services, diesel exhaust fluids, full service restaurants, quick service restaurants, and various customer amenities...As of May 5, 2022, the company operated 276 travel centers under the TravelCenters of America, TA, TA Express, Petro Stopping Centers, and Petro brand names in 44 states in the United States, as well as in the province of Ontario, Canada; three truck service facilities operated under the TA Truck Service brand name; and one restaurant. It serves trucking fleets and its drivers, independent truck drivers, highway and local motorists, and casual diners. finance.yahoo.com