Hub Group, Inc. (HUBG) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

+28.9%

$35.30

vs $27.38 price

Levered DCF

$29.52

After debt service

Piotroski score

7 / 9

Strong

Altman Z-score

3.41

Safe zone

Rating

—

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018	FY2017
P/E	25.91×	17.35×	7.4×	16.45×	25.68×	15.93×	6.14×	5.88×
P/B	1.64×	1.78×	1.65×	2.1×	1.63×	1.59×	1.26×	2.07×
P/S	0.68×	0.69×	0.49×	0.67×	0.54×	0.47×	0.34×	0.39×
EV / EBITDA	9.16×	8.1×	4.46×	8.55×	9.15×	6.84×	7.21×	13.83×
Gross margin	85.4%	12.0%	16.7%	14.2%	12.2%	14.2%	12.1%	11.3%
Operating margin	3.6%	5.1%	8.9%	5.6%	3.0%	4.2%	3.4%	2.4%
Net margin	2.6%	4.0%	6.7%	4.1%	2.1%	2.9%	5.5%	3.3%
Current ratio	1.33×	1.29×	1.53×	1.3×	1.27×	1.26×	1.12×	1.24×
Debt / equity	0.31×	0.35×	0.28×	0.25×	0.29×	0.31×	0.34×	0.39×
Interest coverage	9.7×	15.8×	63.25×	32.63×	10.86×	13.86×	13×	14.3×
Dividend yield	1.1%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%
Payout ratio	29.1%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%	0.0%

Key metrics by fiscal year

Metric	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018	FY2017
Return on equity	6.3%	10.2%	22.3%	12.8%	6.4%	10.0%	20.6%	17.6%
Return on invested capital	4.5%	7.0%	15.5%	9.5%	4.8%	7.1%	6.2%	7.9%
Return on assets	3.6%	5.7%	12.3%	7.0%	3.5%	5.4%	10.5%	8.1%
Free cash flow yield	5.3%	9.7%	9.1%	4.3%	3.2%	9.4%	0.9%	3.2%
Earnings yield	3.8%	5.8%	13.5%	6.1%	3.9%	6.3%	16.3%	8.5%
Enterprise value	$3.1B	$3.3B	$2.8B	$3B	$2.1B	$1.9B	$1.5B	$1.9B
Net debt / EBITDA	1.21×	0.95×	0.26×	0.5×	0.9×	0.61×	1.32×	2.03×
Cash conversion cycle (days)	-122	18	21	18	21	15	19	16