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Saia Inc (SAIA)
NASDAQ:SAIA
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Saia
(NASDAQ:SAIA)67Neutral
Positive Factors
Earnings
Saia reported fourth quarter earnings that slightly beat estimates with better revenue.
Expansion and Growth
Saia's expansion with 21 new terminals enhances service by reducing transit times and improving freight handling.
Negative Factors
Operating Costs
Operating costs were higher given bigger salaries, wages, and benefits expense as well as higher depreciation from the expanded terminal footprint.
Saia (SAIA) vs. S&P 500 (SPY)
Market Cap
$10.58B
Dividend YieldN/A
Average Volume (3M)455.53K
Price to Earnings (P/E)29.4
Beta (1Y)1.64
Revenue Growth11.37%
EPS Growth1.82%
CountryUS
Employees14,000
SectorIndustrials
Sector Strength66
IndustryTransportation
Share Statistics
EPS (TTM)13.51
Shares Outstanding26,628,578
10 Day Avg. Volume582,311
30 Day Avg. Volume455,531
Financial Highlights & Ratios
PEG Ratio16.18
Price to Book (P/B)N/A
Price to Sales (P/S)3.24
Price to Cash Flow (P/CF)15.80
P/FCF Ratio2390.10
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$520.00Price Target Upside30.94% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering15
Saia Business Overview & Revenue Model
Company DescriptionSaia, Inc. is a prominent American transportation company specializing in less-than-truckload (LTL) services. Headquartered in Johns Creek, Georgia, Saia operates a comprehensive network across the United States to provide efficient freight transportation solutions. The company offers a variety of services, including regional and interregional LTL shipping, non-asset truckload services, and logistics solutions, catering to a wide range of industries.
How the Company Makes MoneySaia generates revenue primarily through its less-than-truckload (LTL) shipping services, which involve the transportation of freight that does not require a full truckload, allowing multiple customers' shipments to be consolidated. This model optimizes load capacity and minimizes transportation costs for customers. Saia's strategic network of terminals and hubs facilitates efficient routing and delivery, enhancing service reliability. Additional revenue streams include value-added services such as expedited shipping, warehousing, and brokerage services through partnerships with other logistics providers. Saia's focus on operational efficiency, customer service, and strategic expansion into new markets further supports its revenue growth.
Saia Financial Statement Overview
Summary
Saia's financial performance is strong, with notable revenue growth and profitability. The balance sheet reflects financial stability with low leverage, and cash flow generation is robust. However, increased capital expenditures and some deterioration in operating ratios require attention.Income Statement
Saia has demonstrated strong revenue growth and profitability. Revenue grew consistently over the years, with a notable jump in the latest year. The company maintains healthy gross and net profit margins, reflecting operational efficiency and strong cost management. The EBIT and EBITDA margins have also improved, indicating robust earnings performance.85
Very Positive
Balance Sheet
The balance sheet of Saia indicates a solid financial position with a low debt-to-equity ratio, suggesting conservative leverage. The company maintains a strong equity ratio, reflecting financial stability and a low risk profile. Return on Equity (ROE) is healthy, pointing to effective use of equity capital to generate profits.80
Positive
Cash Flow
Saia's cash flow statement shows positive trends in operating cash flow, which consistently exceeds net income, highlighting strong cash generation from operations. Free cash flow has grown over time, although there was a significant increase in capital expenditures in the latest year. The free cash flow to net income ratio reflects efficient cash management.78
Positive
| Breakdown | |||||
| TTM | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|---|
| Income Statement | Total Revenue | ||||
| 3.17B | 0.00 | 2.88B | 2.79B | 2.29B | 1.82B | Gross Profit |
| 534.10M | 0.00 | 598.93M | 590.96M | 451.69M | 283.85M | EBIT |
| 494.28M | 0.00 | 460.50M | 313.46M | 190.39M | 44.27M | EBITDA |
| 698.46M | 0.00 | 647.61M | 627.74M | 472.95M | 312.45M | Net Income Common Stockholders |
| 375.19M | 362.06M | 354.86M | 357.42M | 253.24M | 138.34M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | ||||
| 19.47M | 19.47M | 296.21M | 187.39M | 106.59M | 25.31M | Total Assets |
| 3.17B | 3.17B | 2.58B | 2.17B | 1.85B | 1.55B | Total Debt |
| 129.48M | 129.48M | 138.71M | 154.51M | 160.38M | 186.51M | Net Debt |
| 110.01M | 110.01M | -157.51M | -32.88M | 53.79M | 161.20M | Total Liabilities |
| 855.59M | 855.59M | 642.07M | 595.37M | 624.92M | 587.49M | Stockholders Equity |
| 2.31B | 2.31B | 1.94B | 1.58B | 1.22B | 961.29M |
| Cash Flow | Free Cash Flow | ||||
| -394.01M | 583.70M | 138.07M | 105.60M | 96.85M | 78.00M | Operating Cash Flow |
| 580.64M | 583.70M | 577.95M | 473.03M | 382.59M | 309.14M | Investing Cash Flow |
| -979.91M | -1.04B | -448.70M | -365.51M | -277.85M | -218.82M | Financing Cash Flow |
| 164.41M | 175.42M | -20.42M | -26.71M | -23.46M | -65.27M |
Saia Technical Analysis
Negative
397.14
Price Trends
468.61
Negative
486.61
Negative
456.36
Negative
Market Momentum
-24.54
Positive
34.83
Neutral
15.22
Positive
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For SAIA, the sentiment is Negative. The current price of 397.14 is below the 20-day moving average (MA) of 454.36, below the 50-day MA of 468.61, and below the 200-day MA of 456.36, indicating a bearish trend. The MACD of -24.54 indicates Positive momentum. The RSI at 34.83 is Neutral, neither overbought nor oversold. The STOCH value of 15.22 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SAIA.
Saia Risk Analysis
Saia disclosed 45 risk factors in its most recent earnings report. Saia reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Saia Peers Comparison
Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
68 Neutral | $37.19B | 31.94 | 27.94% | 0.60% | -0.88% | -2.79% | |
67 Neutral | $10.58B | 29.39 | 15.67% | ― | 11.37% | 1.82% | |
66 Neutral | C$9.99B | 17.29 | 15.80% | 1.93% | 13.32% | -13.75% | |
66 Neutral | $13.69B | 36.12 | 24.17% | ― | 4.22% | 105.29% | |
63 Neutral | $1.72B | 10.19 | 13.24% | 0.64% | -5.61% | 40.21% | |
62 Neutral | $8.11B | 13.34 | 1.17% | 3.02% | 4.16% | -15.14% |
* Industrials Sector Average
Performance Comparison
SAIA
Saia
397.14
-207.63
-34.33%
XPO
XPO
116.80
-6.52
-5.29%
ODFL
Old Dominion Freight
175.00
-39.17
-18.29%
ARCB
ArcBest
74.17
-65.82
-47.02%
TSE:TFII
TFI International Inc
118.37
-80.32
-40.43%
Saia Earnings Call Summary
Earnings Call Date: Feb 3, 2025 | % Change Since: -17.28% | Next Earnings Date: Apr 25, 2025
Earnings Call Sentiment Neutral
Saia reported record-breaking revenue and significant investments in expansion and workforce, indicating strong growth potential. However, the increased expenses and deterioration in operating ratio due to these investments, along with decreased yield, present challenges. Overall, while there are positive signs of growth and strategic investments, the financial metrics indicate a need for careful management of costs and investment returns.Highlights
Record-Breaking Revenue and Growth
Saia crossed $3 billion in revenue in 2024, marking a record for the company and delivering nearly 9 million shipments. Fourth quarter revenue was $789 million, a record for any fourth quarter in the company's history, with a year-over-year increase of 5%.
Expansion and Investment
Saia opened 21 terminals in 2024, a record for the company, and relocated an additional nine terminals, ending the year with 214 terminals. They also onboarded over 1,300 new team members and serviced over 6,000 trailers.
Contractual Renewals and Pricing
Contractual renewals remained strong, averaging 7.9% in the quarter, indicating successful pricing and mix optimization efforts.
Lowlights
Operating Ratio Deterioration
The fourth quarter operating ratio deteriorated to 87.1%, compared to 85% a year ago, impacted by investments in new terminals and seasonal factors.
Decreased Yield
Yield, or revenue per hundredweight excluding fuel surcharge, decreased by 2.3% year-over-year, impacted by increased weight per shipment.
Increased Expenses
Total expenses increased by 7.7% in the quarter, driven by salaries, wages, benefits, and costs related to new terminal openings.
Claims and Insurance Expense Increase
Claims and insurance expenses increased by 16.6% year-over-year due to increased claims activity and unfavorable development of open cases.
Company Guidance
During the call, Saia Incorporated provided guidance on several key metrics for the fourth quarter of 2024 and the full fiscal year. The company reported a fourth-quarter revenue increase of 5% year-over-year to $789 million, marking a record for any fourth quarter in its history. Shipments per workday increased by 4.5%, while revenue per shipment excluding fuel surcharge rose by 1.3%. However, yield, or revenue per hundredweight excluding fuel surcharge, decreased by 2.3%, impacted by a 3.7% increase in weight per shipment. The operating ratio for the quarter was 87.1%, a deterioration of 210 basis points from the previous year, attributed to seasonal factors and ongoing investments. Saia highlighted a strong focus on pricing and mix optimization, with contractual renewals averaging 7.9% during the quarter. For the full year, Saia achieved record revenue of $3.2 billion, though the operating ratio deteriorated by 100 basis points to 85%, due in part to inflation and costs associated with new terminal openings. Looking ahead, Saia anticipates capital expenditures for 2025 to exceed $700 million, with plans for additional relocations and openings of five to six facilities. The company remains committed to long-term investments that support customer success and drive value creation.Saia Corporate Events
Business Operations and StrategyFinancial Disclosures
Saia Achieves Record Revenues in Centennial Year
Positive
Feb 7, 2025
In 2024, Saia marked its 100th year with significant achievements, including record revenues exceeding $3 billion and the opening of 21 new terminals, expanding its national footprint. The company’s fourth quarter revenue of $789 million set a new record, despite a slight decline in yield due to increased shipment weights. Saia’s investment strategy focused on long-term growth, with substantial capital directed towards real estate, equipment, and workforce expansion. Despite macroeconomic uncertainties, Saia’s strategic initiatives in pricing and mix optimization have positively impacted their operations, although these efforts contributed to a higher operating ratio of 87.1% for the quarter. The results underscore the company’s commitment to enhancing customer service and operational efficiency, with over 1,300 new employees onboarded to support its growth initiatives.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.