Management is superb. Since 1988, this air and freight carrier has been led by its dynamic founder, Peter Rose. And its balance sheet is clean; They have $1 billion on the books in cash with zero in debt.
And here's the best part; management is smarter than the competition. Unlike United ParcelService or FedEx, Expeditors isn't burdened by a whole slew of expensive hard assets, like aging plans and trucks. They effectively outsource that expense by renting out other fleets to transport its goods. This allows the company to better focus on servicing clients.
Even more interestingly, Expeditors doesn't kowtow to The Street and offer quarterly guidance. Management lets its monthly 8-K filings do the talking. They don't need the big banks of Wall Street to write research to bolster their stock price. They do that through results.
And the future looks even better. China, where the company has just begun to establish a foothold, could turbo-charge earnings in the years to come.
In times of uncertainty, the likelihood of finding "one-decision stocks" is rare, but consider Expeditors International of Washington one of them. You may find the biggest problem with owning it may be deciding when to sell.
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Gary Kaminsky does not hold any equity positions.
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