Werner Enterprises (WERN) AI Stock Analysis

• Market Cap: $1.78B
• Dividend Yield: 1.91%
• Average Volume (3M): 791.54K
• Price to Earnings (P/E): 101.5
• Beta (1Y): 0.80
• Revenue Growth: -7.66%
• EPS Growth: -78.26%
• Country: US
• Employees: 13,000
• Sector: Industrials
• Sector Strength: 93
• Industry: Trucking
• EPS (TTM): -0.12
• Shares Outstanding: 61,751,915
• 10 Day Avg. Volume: 743,475
• 30 Day Avg. Volume: 791,542
• PEG Ratio: -2.11
• Price to Book (P/B): 1.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -16.34
• Enterprise Value/Market Cap: 1.32
• Enterprise Value/Revenue: 0.19
• Enterprise Value/Gross Profit: 9.00
• Enterprise Value/Ebitda: 1.60
• 1Y Price Target: $27.17
• Price Target Upside: -7.36% Downside
• Rating Consensus: Hold
• Number of Analyst Covering: 12

• Rating: 61 Neutral
• Price Target: $30.00 ▲(2.28%Upside)

Werner Enterprises receives an overall score of 61, primarily influenced by its stable financial structure and conservative leverage. However, the company faces profitability and cash flow challenges, reflected in a lower financial performance score. Technical analysis shows moderate positive momentum, but high valuation raises concerns about future growth expectations. Earnings call insights suggest strategic initiatives are underway to counter current financial pressures.

Positive Factors

Legal Victory

The Texas Supreme Court ruling in Werner's favor allows the company to reverse a $45.7 million liability in its financial statements.

Logistics Performance

WERN noted 2Q25 Logistics volumes are trending positive, with 90% of segment volumes trending higher year-over-year.

New Contracts

WERN won important new contracts for its Dedicated business, which should be accretive over the medium term.

Negative Factors

Financial Performance

Werner Enterprises posted an adjusted loss per share, which was significantly below expectations, pressured by weather, insurance costs, IT spend, and tariff-related inefficiencies.

Margin Pressure

Demand weakness at One-Way Truckload, due to tariff uncertainty, has led to continued pressure on margins.

Market Challenges

The underlying fundamentals of the Truckload and Logistics businesses remain soft, and WERN’s defensive operating strategy has not shielded it from market challenges.

Werner Enterprises Business Overview & Revenue Model

Company Description

Werner Enterprises, Inc., a transportation and logistics company, engages in transporting truckload shipments of general commodities in interstate and intrastate commerce in the United States, Mexico, and internationally. It operates through Truckload Transportation Services and Werner Logistics segments. The Truckload Transportation Services segment operates medium-to-long-haul van fleet that transports various consumer nondurable products and other commodities in truckload quantities using dry van trailers; the expedited fleet, which offers time-sensitive truckload services using driver teams; regional short-haul fleet that provides comparable truckload van service in the United States; and temperature controlled fleet, which offers truckload services for temperature sensitive products using temperature-controlled trailers. It transports retail store merchandise, consumer products, food and beverage products, and manufactured products. The Werner Logistics segment provides non-asset-based transportation and logistics services, including truck brokerage; logistics management services and solutions; rail transportation through alliances with rail and drayage providers; and residential and commercial deliveries of large or heavy items using liftgate straight truck. As of December 31, 2021, the company had a fleet of 8,340 trucks, which included 8,050 company-operated, as well as 290 owned and operated by independent contractors;27,225 company-owned trailers that comprised dry vans, flatbeds, temperature-controlled, and other trailers; and 55 intermodal drayage trucks. Werner Enterprises, Inc. was founded in 1956 and is headquartered in Omaha, Nebraska.

How the Company Makes Money

Werner Enterprises primarily generates revenue through its truckload transportation services, which involve transporting full trailer loads of freight for customers across North America. The company's Dedicated segment provides customized transportation solutions for specific customer needs. In addition, Werner's Logistics division contributes to its revenue by offering freight management, brokerage, and supply chain services. The Intermodal segment leverages the company's expertise in integrating different modes of transportation, such as rail and truck, to provide efficient and cost-effective shipping solutions. Key revenue streams include long-term contracts with large shippers, spot market services, and partnerships with major retailers and manufacturers. Werner's investment in technology and fleet optimization also plays a significant role in enhancing operational efficiency and profitability.

Werner Enterprises Financial Statement Overview

Summary

Werner Enterprises shows stability in its capital structure with a conservative leverage profile but faces challenges in profitability and cash flow management. Declining profit margins and negative free cash flow highlight areas needing improvement.

Income Statement

Werner Enterprises shows moderate performance with consistent revenue generation, but recent periods indicate challenges in maintaining profit margins. The TTM shows a Gross Profit Margin of 11.04% and a Net Profit Margin of 0.60%, reflecting pressure on profitability. Revenue growth has been inconsistent, with a decline from 2023 to 2024. The EBIT and EBITDA margins have also been under strain, suggesting cost management issues.

Balance Sheet

The company maintains a stable balance sheet with a Debt-to-Equity Ratio of 0.45 in TTM, indicating a conservative approach to leverage. The Return on Equity is relatively low at 1.24% in TTM, reflecting limited efficiency in generating returns. However, the Equity Ratio of 48.10% suggests a solid capital structure with a significant equity base supporting its assets.

Cash Flow

Cash flow management presents challenges, as indicated by negative Free Cash Flow in TTM, at -$114.42 million. The Operating Cash Flow to Net Income Ratio of 13.53 in TTM shows robust cash generation relative to net income, yet Free Cash Flow growth and net income alignment are areas for improvement. The company must address capital expenditure levels to enhance cash flow stability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.97B	3.03B	3.28B	3.29B	2.73B	2.37B
Gross Profit	262.54M	338.63M	423.65M	521.59M	477.93M	460.89M
EBITDA	343.73M	372.10M	480.82M	616.54M	517.92M	479.45M
Net Income	17.82M	34.23M	112.38M	241.26M	259.05M	169.08M
Balance Sheet
Total Assets	2.99B	3.05B	3.16B	3.10B	2.59B	2.16B
Cash, Cash Equivalents and Short-Term Investments	51.95M	40.75M	61.72M	107.24M	54.20M	29.33M
Total Debt	640.00M	650.00M	648.75M	693.75M	427.50M	200.00M
Total Liabilities	1.51B	1.56B	1.59B	1.61B	1.23B	961.64M
Stockholders Equity	1.44B	1.46B	1.53B	1.44B	1.33B	1.20B
Cash Flow
Free Cash Flow	-108.56M	-84.06M	-124.42M	-58.54M	-38.03M	32.84M
Operating Cash Flow	270.52M	329.73M	474.37M	448.71M	332.82M	445.91M
Investing Cash Flow	-219.67M	-241.45M	-434.94M	-514.33M	-397.30M	-263.27M
Financing Cash Flow	-55.48M	-105.72M	-87.07M	118.03M	89.67M	-185.96M

Werner Enterprises Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 29.33
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For WERN, the sentiment is Positive. The current price of 29.33 is above the 20-day moving average (MA) of 28.53, above the 50-day MA of 27.62, and below the 200-day MA of 32.34, indicating a neutral trend. The MACD of 0.29 indicates Negative momentum. The RSI at 59.64 is Neutral, neither overbought nor oversold. The STOCH value of 73.88 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WERN.

Werner Enterprises Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ARCB	79 Outperform	$1.93B	11.12	14.25%	0.56%	-5.69%	51.78%
KNX	68 Neutral	$7.38B	44.91	2.33%	1.52%	-2.54%	144.49%
SNDR	66 Neutral	$4.55B	36.70	4.20%	1.46%	-0.30%	-20.76%
WERN	61 Neutral	$1.78B	101.47	1.21%	1.91%	-7.66%	-78.26%
Sector *	59 Neutral	AU$1.65B	10.17	11.24%	3.41%	6.92%	3.55%
HTLD	53 Neutral	$651.21M	―	-4.42%	0.96%	-16.42%	-49.44%
RXO	53 Neutral	$2.86B	―	-27.75%	―	32.38%	-2221.75%

Werner Enterprises Corporate Events

Texas Supreme Court Favors Werner Enterprises in Verdict

On June 27, 2025, the Texas Supreme Court ruled in favor of Werner Enterprises by reversing and dismissing a $90 million jury verdict from 2018 related to a 2014 truck accident in Texas. The court determined that Werner and its driver were not at fault, attributing the accident solely to the other vehicle’s unexpected entry into oncoming traffic. This decision allows Werner to reverse significant financial liabilities in its 2025 financial statements, alleviating potential implications for the company’s operations and industry standing.

The most recent analyst rating on (WERN) stock is a Buy with a $41.00 price target. To see the full list of analyst forecasts on Werner Enterprises stock, see the WERN Stock Forecast page.

Werner Enterprises Appoints New Board Member

On May 13, 2025, Werner Enterprises appointed M. Gayle Packer to its Board of Directors to fill a Class III directorship vacancy. Packer, who is the President and CEO of Terracon Consultants Inc., brings extensive leadership experience and will serve on the Board’s Audit and ESG Committees. Additionally, at the company’s Annual Meeting on the same day, stockholders elected three Class I directors, approved an advisory resolution on executive compensation, and ratified KPMG LLP as the independent registered public accounting firm for 2025.

The most recent analyst rating on (WERN) stock is a Buy with a $41.00 price target. To see the full list of analyst forecasts on Werner Enterprises stock, see the WERN Stock Forecast page.