Forward Air Corporation provides surface transportation and related logistics services. The company operates in three segments: Forward Air (Forward Air); Forward Air Solutions (FASI); and Total Quality (TQI). The company was founded in 1981 and is based in Greeneville, Tennessee.
FWRD Price Forecast Based on DCF Valuation
DCF Fair Value Target:
The table below illustrates the output of a discounted cash flow forecast using a variety of scenarios for Forward Air Corp. To summarize, we found that Forward Air Corp ranked in the 37th percentile in terms of potential gain offered. We should note, though, that all scenearios modelled for this stock suggest it is overvalued. As for the metrics that stood out in our discounted cash flow analysis of Forward Air Corp, consider:
FWRD's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 3%; for context, that number is higher than 34.34% of tickers in our DCF set.
Forward Air Corp's interest coverage rate -- a measure of gross earnings relative to interest payments -- comes in at 18.21. This coverage rate is greater than that of 85.1% of stocks we're observing for the purpose of forecasting via discounted cash flows.
Relative to other stocks in its sector (Industrials), Forward Air Corp has a reliance on debt greater than only 21.87% of them.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
For other companies in the Industrials that have a similar discounted cashflow valuation profile (and ensuing price forecasts) as FWRD, try XYL, BMI, NAT, NDSN, and SCTY.
Colorado-based short line rail operator and logistics provider OmniTRAX was hit by a recent ransomware attack and data theft that targeted its corporate parent, Broe Group.OmniTRAX confirmed to FreightWaves that the cyberattack had occurred after the Conti ransomware gang posted stolen data from a leak site. The company, however, provided no details about the incident and whether it impacted any operations."We are fully aware of the situation, but company policy requires we do not comment on security protocols," John Spiegleman, OmniTRAX's chief legal officer and general counsel, said in a statement. "OmniTRAX continues to operate, business as usual."OmniTRAX, headquartered in Denver, operates 21 short line railroads in the U.S. and one in Canada. While there was no indication of operat...
A group of investors is looking to shake things up at expedited trucking company Forward Air (NASDAQ: FWRD ), according to filings with the U.S. Securities and Exchange Commission. Cleveland-based Ancora Advisors has taken on an activist role alongside former Forward founder Scott Niswonger and former CFO Andy Clarke. The group seeks to "enhance shareholder value" through a variety of measures including changes to the management team and board as well as capital allocation strategy. The documents also signaled the potential divestiture of "non-core assets." The filings show that the investment group began acquiring shares in the Greeneville, Tennessee-based company at the end of October and now holds a 5.3% stake, $89.5 million, in Forward's 27.5 million outstanding shares, which repres...
Several weeks before it got hit by a ransomware attack, Forward Air (NASDAQ: FWRD ) did a "comprehensive roleplay" to prepare for a company disaster. The event they were preparing for? A ransomware attack. "Just six to eight weeks ago, we did a comprehensive roleplay that was customer facing on the assumption of if we go dark, what do we do?" Forward Air chairman and CEO Thomas Schmitt said in an interview with FreightWaves to discuss the company's recent cyberattack. "We hack ourselves all the time," Schmitt said. "When we find a hole, we plug the hole." Forward Air was first hit with the cyberattack on December 15. By December 23, operations were coming back online. In a December 21 8-K filing with the Securities and Exchange Commission , Forward Air said it planned to be back online ...
Hackers hit the transportation and logistics industry hard in 2020. Many of the cyberattacks involved ransomware — essentially a vehicle for extortion.Ransomware attacks aim to cause as much operational disruption as possible by encrypting data. Hackers then demand victims pay to restore access. Increasingly, so-called double extortion ransomware attacks are leveraging data theft and the threat of public release — or sale — of the data.Ransoms can run in the millions of dollars. The attacks often never become public, particularly when companies opt to pay. Frequently, companies that heed law enforcement advice and refuse to pay are left dealing with the fallout of extensive disclosures of data.FreightWaves reported on an array of ransomware and other cyberattacks during the year. They i...