Using the industry peer median P/E multiple (trailing + forward), J.B. Hunt Transport Services, Inc. (JBHT) has a fair value of $201.06 based on 3 comparable companies in the Integrated Freight & Logistics industry.
USD in millions except Fair Price. Subject company highlighted.
| Mkt Cap ($M) | Trailing P/E | Forward P/E | |
|---|---|---|---|
| J.B. Hunt Transport Services, Inc.JBHT | 20,237 | 33.8x | 28.8x |
| Southwest Airlines Co.LUV | 20,397 | 49.9x | 10.2x |
| C.H. Robinson Worldwide, Inc.CHRW | 20,053 | 35.0x | 27.9x |
| Expeditors International of Washington, Inc.EXPD | 19,172 | 24.0x | 26.1x |
| Industry Median | 35.0x | 26.1x | |
| (*) Profit after tax | 598 | 703 | |
| Equity Value | 20,940 | 18,342 | |
| (/) Outstanding shares | 98 | 98 | |
| Fair Price | $214 | $188 | |
This P/E relative valuation uses the industry peer median Price-to-Earnings ratio to estimate fair value. Both trailing (last 12 months) and forward (next fiscal year analyst estimates) P/E multiples are computed independently.
The industry median trailing P/E is applied to the company's TTM net income, and the forward P/E to analyst-estimated net income. Each produces an equity value divided by shares outstanding to yield a fair price per share. The selected fair value is the average of the trailing and forward legs.