Light Blue Value Investing

C.H. Robinson Worldwide: Accumulate On Dips

As undervalued securities have become increasingly difficult to find, I have turned to looking at companies that either are "special situations" or have strong managements that can compound value per share in all macro environments (à la Teledyne). One company that fits the second criteria is C.H. Robinson Worldwide (NASDAQ:CHRW). This report will explore the merits of a long-term investment thesis by examining CHRW's competitive moat and advantages, growth prospects, and valuation (absolute and relative).

Company Description

CHRW is the largest third-party logistics (3PL) company in North America and fifth largest global 3PL. It operates within two related divisions:

  1. Freight Transportation and Logistics (92% of 2012 net revenue12)
  2. Fresh Produce Sourcing (8% of 2012 net
Join Seeking Alpha PRO to read this archived article and 11,574 other archived articles
IDEA GENERATORXExclusive access to 10 PRO ideas every day
INVESTING IDEAS LIBRARYXExclusive access to PRO library of more than 15,000 ideas
SECTOR EXPERT NETWORKXExclusive access to all sector experts for direct consultation
PERFORMANCE TRACKINGXTrack performance of all PRO stock ideas
PROFESSIONAL TOOLSXProfessional Idea Filters to zero-in based on industry, market cap and more
"In just the first month of using PRO, I used it to generate two ideas which were actionable for me. As a result of these two positions, I have earned more than 20 times the annual subscription costs for PRO."Michael Yagemann, Greenbridge Capital
"I am pleasantly surprised with the scope of small and mid-cap coverage PRO offers. You can't find that any where else."Patrick Rice, Mainstay Capital Management
You may cancel at any time for any reason, and receive a prompt refund for membership on months paid and not used (max. 6 months). Details