One-glance verdict
Within fair range
$179.32 our estimate vs market $185.47
Wall Street consensus: $193.73 (8.0% higher than our fair-value estimate)
3% above our estimate
Fundamentals snapshot
Expeditors International of Washington, Inc.
EXPD · NYQ · Industrials · Integrated Freight & Logistics
Current price
$185.47
52-week range
$129.59 - $207.93
Market cap
$23.95B
Balance sheet
Healthy
219.28x Strong cushion
Net cash $516.63M. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Revenue grew 19.7% last year.
- Reward Returns 45.1% on equity, ahead of 66% of its peers.
- Risk Stock trades 14.4% above its 5-year average P/E.
- Risk Insider ownership is only 0.6% (peer median: 10.5%).
What this company does
Expeditors International of Washington, Inc.
Expeditors International helps move goods around the world for businesses, like helping a company send its products overseas by plane or ship. Their main money comes from charging fees for these shipping and customs services, which matters because efficient shipping is key to companies selling their products globally.
How the company got here
Expeditors International of Washington, Inc. was founded in 1979 by logistics industry executives. The company's early success was driven by its innovative approach of combining freight forwarding and customs brokerage services, a novel concept at the time. This allowed them to offer a comprehensive solution for companies involved in international trade. Expeditors experienced rapid growth in the 1980s and 1990s, expanding its global network and earning recognition for its financial performance and customer service. A key turning point was securing an operating license in China in 1993, which positioned the company to capitalize on the growing trade between Asia and the West. The company has maintained an "asset-light" model, meaning it doesn't own the planes, ships, or trucks it uses, relying instead on partnerships with carriers.
What it actually does
Expeditors International of Washington, Inc. is a global logistics company that helps businesses move their goods around the world. Think of them as a super-connector for international shipping. They don't own the planes, ships, or trucks themselves, but they arrange for these services and handle all the complex details. This includes managing the transportation of goods, clearing them through customs in different countries, and providing other services to ensure smooth delivery from the sender's door to the receiver's door. Their main goal is to make international trade easier and more efficient for their clients.
Airfreight Services
This is Expeditors' largest business segment, accounting for about 34% of its revenue. In this part of the business, Expeditors arranges for the transportation of goods by air. They purchase cargo space on airplanes in bulk from airlines and then resell that space to their customers. This service is crucial for businesses that need to ship goods quickly across long distances, such as high-value electronics or time-sensitive materials. Expeditors manages the entire process, from picking up the shipment to ensuring it reaches its destination, including all the necessary documentation and customs procedures.
Ocean Freight and Ocean Services
This segment represents about 30% of Expeditors' revenue and involves the movement of goods via ships. Expeditors acts as a "Non-Vessel Operating Common Carrier" (NVOCC), which means they consolidate shipments from various customers into full shipping containers and then book space on ocean liners. This is a more cost-effective way to transport large quantities of goods or less time-sensitive items. They handle everything from booking the shipping space to managing the documentation and customs clearance for these sea shipments.
Customs Brokerage and Other Services
Making up approximately 36% of Expeditors' revenue, this segment is vital for navigating the complexities of international trade regulations. Expeditors acts as a customs broker, which means they help clients clear their goods through customs in different countries. This involves managing all the required paperwork, paying duties and taxes on behalf of the client, and ensuring compliance with import and export laws. This segment also includes other services like warehousing, distribution, and consulting, which help clients manage their supply chains more effectively.
What management is betting on now
Expeditors' management is focused on diversifying its services beyond just air and ocean freight. They are investing in areas like customs brokerage, warehousing, and order management to create a more balanced business portfolio. The company is also prioritizing pricing optimization and aligning its costs with current market conditions. Furthermore, Expeditors is making strategic investments in technology, including artificial intelligence (AI), to enhance its services and identify new growth opportunities. This strategy aims to create a more resilient and adaptable business that can thrive in the evolving global logistics landscape.
Price history
How the share price has moved
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Earnings history
Last 8 quarters — what happened
Click any quarter to read the call summary and what the numbers say.
FY2024 Q4
$239.66M
FY2025 Q1
$329.47M
FY2025 Q2
$163.34M
FY2025 Q3
$190.27M
FY2025 Q4
$270.32M
FY2026 Q1
$296.62M
FY2026 Q2
$166.65M
FY2026 Q3
$194.28M
Revenue
$4.11B
Net income
$344.51M
Diluted EPS
2.65
Operating cash flow
$212.56M
Free cash flow
$194.28M
Fetching…
Sources
Revenue
$3.50B
Net income
$266.23M
Diluted EPS
2.03
Operating cash flow
$178.64M
Free cash flow
$166.65M
Fetching…
Sources
Revenue
$2.78B
Net income
$229.61M
Diluted EPS
1.71
Operating cash flow
$309.23M
Free cash flow
$296.62M
Fetching…
Sources
Revenue
$2.86B
Net income
$200.71M
Diluted EPS
1.50
Operating cash flow
$283.30M
Free cash flow
$270.32M
Fetching…
Sources
Revenue
$2.89B
Net income
$222.26M
Diluted EPS
1.64
Operating cash flow
$201.37M
Free cash flow
$190.27M
Fetching…
Sources
Revenue
$2.65B
Net income
$183.57M
Diluted EPS
1.34
Operating cash flow
$179.21M
Free cash flow
$163.34M
Fetching…
Sources
Revenue
$2.67B
Net income
$203.79M
Diluted EPS
1.47
Operating cash flow
$342.62M
Free cash flow
$329.47M
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Sources
Revenue
$2.95B
Net income
$235.88M
Diluted EPS
1.68
Operating cash flow
$249.72M
Free cash flow
$239.66M
Fetching…
Sources
Is it cheap or expensive?
Fair value $179.32 vs current price $185.47
Wall Street consensus is the average analyst price target: $193.73 (8.0% higher than our fair-value estimate).
Our most-likely fair value is $179.32 a share — about 3.3% away from today's price of $185.47, so the stock currently looks fairly priced.
Is it drowning in debt?
Healthy
Net cash $516.6M - more cash than debt. Interest coverage 219.3x.
Net debt
$-516.63M
Interest coverage
219.28x
Expeditors International of Washington, Inc.'s profit covers its interest bill about 219.3 times over. which is stronger than every peer shown here.
Healthy
Worse cushion
Baseline
Better cushion
EXPD
BASELINE
Expeditors International of Washington, Inc.
Total debt $575.84M Interest coverage 219.28x This is the baseline the peer rows are being compared against.
Total debt $2.15B Interest coverage 10.96x -95% vs EXPD Carries about 20.0x less debt cushion than EXPD.
Total debt $1.45B Interest coverage 11.50x -95% vs EXPD Carries about 19.1x less debt cushion than EXPD.
What you should know
The case for and against EXPD
3 Rewards
2 Risks
Rewards
-
Revenue grew 19.7% last year.
-
Returns 45.1% on equity, ahead of 66% of its peers.
-
Free cash flow was positive in 10/10 years.
Risks
-
Stock trades 14.4% above its 5-year average P/E.
-
Insider ownership is only 0.6% (peer median: 10.5%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
23.57x
Forward P/E
21.26x
P/B
10.26x
P/S
1.81x
EV/EBITDA
16.41x
PEG ratio
2.51x
Profitability
How much profit each dollar creates
Gross margin
13.5%
Operating margin
10.8%
Net margin
7.9%
ROE
45.1%
ROA
16.2%
Health
Liquidity and balance-sheet strength
Debt / equity
0.25x
Current ratio
1.56x
Quick ratio
1.40x
Total debt
$575.84M
Total cash
$1.09B
Growth
How the business has been compounding
Revenue TTM
$13.25B
Revenue 5Y CAGR
-9.5%
EPS TTM
7.87
EPS 5Y CAGR
-10.4%
Cash flow
How much cash the business throws off
Operating CF TTM
$983.74M
Free CF TTM
$953.40M
FCF margin
7.2%
Dividend
Shareholder payout
Yield
0.9%
Payout ratio
20.1%
Last ex-div date
2026-12-01