UTi Worldwide, Inc. (NASDAQ:UTIW)

CAPS Rating: 2 out of 5

An international, non-asset-based supply chain services and solutions company that provides services through a network of offices and contract logistics centers.

Results 1 - 16 of 16

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Member Avatar rossnr3 (63.46) Submitted: 4/26/2013 12:52:42 PM : Underperform Start Price: $14.46 UTIW Score: +63.57

Volume down, results from restructuring not apparent

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Member Avatar tekwatchlist (93.08) Submitted: 9/22/2010 3:21:28 PM : Outperform Start Price: $14.34 UTIW Score: -118.98

Added 10/23/09

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Member Avatar tekennedy (67.07) Submitted: 11/2/2009 1:52:06 PM : Outperform Start Price: $13.04 UTIW Score: -115.48

I like this company partially due to a number of its "negatives." The company has historically grown through acquisitions which most assuredly has led to a number of inefficiencies. Despite this the company has historically earned spectacular returns on invested capital and has had impressive free cash flow. The company most similar to it is Expiditors Intnl, which has had consistantly higher margins. Although this is partially be due to UTi's contract logistics segment I believe there is room for significant margin expansion. Add this on top of further growth and acquisitions and there is a large potential to increase earnings. The company's growth in the near term will be miniscule as the company has stopped acquisitions to help integrate previously acquired companies but long term growth should be easily above the S&P's. This is an emerging industry which has very favorable economics and I don't anticipate ever selling my shares(at least in the next 2-3 decades). There may be short-term risk caused by difficulties in integration but the current pricing represents a spectacular entry point.

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Member Avatar Alex1963 (28.34) Submitted: 4/19/2009 1:31:51 PM : Outperform Start Price: $12.92 UTIW Score: -166.02

3* Caps. Morn 5* pick "freight forwarding and logistics company. It facilitates the transport of goods--typically from Asia to end markets in Europe or the U.S.--within the supply chain from producer to seller. UTi deals with the regulations and permits needed to transport goods from one country to another. Thanks to its relationships with truckers, railroads, and shippers in multiple countries, the company can consolidate shipments for travel, allowing for bulk cost savings. As the global recession has reduced trade, the need for UTi's services has declined. Thus, anything to improve trading conditions should benefit the firm.
UTi issued $200 million of senior notes to finance acquisitions during 2007 but otherwise uses debt sparingly. We are not concerned, as the firm holds $225 million in cash and EBITDA covers interest costs almost 7 times.UTi's 32% annual growth rate during the last five years was aided by acquisitions. In fiscal 2007, acquisitions added 12% to net revenue and internal growth contributed another 15%. We project UTi to increase net revenue 20% in fiscal 2008, then taper down to just above 12% annual internal growth during the next five years.
UTi operates 603 offices and warehouses in 65 countries; in most regions, its global logistics network is largely established.The firm has a diverse list of customers; no client contributes more than 3% of net revenue. Return on invested capital is strong because of the small amount of assets needed to drive the business."
52 wk hH/L $7.91-&24.35, P/E 12.8, P/Book 1.6, P/Sales 0.3. Beta 1.42
Revenue/Employee (TTM) of 222,568.00 vs industry 200,076.00
Largest peer competitors UPS & Fedex

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Member Avatar hondo928 (99.64) Submitted: 2/26/2009 10:26:59 PM : Outperform Start Price: $11.87 UTIW Score: -156.71

Good company, for cheap right now, will 3-bag in the next bull market. People need to move goods, personally I think HUBG may be a better pick, but either will do.

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Member Avatar mowens245 (27.38) Submitted: 2/3/2009 3:40:34 PM : Outperform Start Price: $11.91 UTIW Score: -166.01

Small company with lots of potential to grow. They're not tied to too much of their capital (ships, planes, other delivery methods). Just acquired a high-performing Exec from UPS. Good investment at a low price.

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Member Avatar UTIagent (< 20) Submitted: 1/23/2009 10:16:34 AM : Underperform Start Price: $11.12 UTIW Score: +166.59

Guerrilla Marketing and law breaking from UTi agents is not being stopped. This will not help with performance in the long run.

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Member Avatar 212Degrees (76.20) Submitted: 11/8/2008 3:26:46 PM : Outperform Start Price: $13.25 UTIW Score: -147.11

With energy prices coming back under control for the near future, transportation based companies will make and early return.

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Member Avatar ROTORJOCKY (< 20) Submitted: 4/1/2008 7:09:05 PM : Outperform Start Price: $20.54 UTIW Score: -106.95

Racking up business worlwide.

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Member Avatar EtownDunk (35.93) Submitted: 2/14/2008 12:03:12 AM : Outperform Start Price: $16.78 UTIW Score: -98.03

Screened for top 40% by industry in: 13/52wk Price Perf (.7%), 5yr Div Growth (19.1%), Price Sales (0.4), TTM/5y Oper Margin (.9%), Last Q/Q (25%). They're relatively light on debt both vs Capital and Quick, and trading at 2x Book. Supply Chain is only going to get more critical to success for anyone selling product made overseas here.

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Member Avatar prostoalex (< 20) Submitted: 12/6/2007 7:15:32 PM : Outperform Start Price: $18.47 UTIW Score: -89.17

Well, it's a loser for the day, so how bad can it get?

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Member Avatar SanDieguito (< 20) Submitted: 12/6/2007 2:33:20 PM : Underperform Start Price: $18.48 UTIW Score: +90.38

down $4.40 to $19

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Member Avatar srjcrown (< 20) Submitted: 9/18/2007 11:10:15 AM : Underperform Start Price: $20.43 UTIW Score: +96.62

Expectations and assumption of UTIs capabilities to provide "state of the art" tracking and tracing are grossly overstated. Systems are sporadically efficient at best. Most of the human capital is spent maintaining these complex systems for their preferred logistic partners. Systems and people are the corner stones to logistic intermediaries. UTi lacks in a comprehensive, user friendly system that provides ease of function to the front/back office user. As well as analytical tools for each P&L station manager to adjust and manage competently.

Their human resource infrastructure is understaffed and inadequate for the size and scope of the current global operation. Thus most management slots are based not on competency but cronyism and nepotism.

The current need to acquire growth is reminiscent to Fritz Co. The UTi culture has yet to be defined; it has yet to assimilate purchases such as Standard Logistics which still operates as an autonomous entity within proximity of other UTi facilities.

These are my observations…

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Member Avatar holopoj (50.80) Submitted: 9/15/2007 1:27:03 AM : Outperform Start Price: $20.37 UTIW Score: -97.38

Recently hit 52 week low. Looks undervalued

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Member Avatar rbbarclay (< 20) Submitted: 8/9/2007 10:05:38 PM : Outperform Start Price: $23.26 UTIW Score: -106.86

Companies that provide services to importers are in a great position for the next year or so. Global trade regulations are getting more rather thaqn less complicated. The amount of imported goods continues to increase, and with fuel price adjustments kicking in on many annual contracts, smaller importers who can't negotiate favorable contracts will increase their work through intermediaries like UTIW and EXPD

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Member Avatar Invest09 (< 20) Submitted: 7/7/2007 11:21:22 AM : Outperform Start Price: $26.45 UTIW Score: -103.23

Very good 5 year business plan. Proven managment and has invested in India and China markets..both are major growth markets.

Results 1 - 16 of 16

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