Is EXPD a high-quality business?

AlphaMadera's AlphaQuality grade scores Expeditors International of Washington, Inc. on six pillars — profitability, capital efficiency, balance-sheet strength, growth durability, cash generation, and shareholder yield. The composite letter grade reflects how EXPD compares to a Buffett-style quality bar.

What is Expeditors International of Washington, Inc.'s AlphaQuality grade?

AlphaQuality assigns a letter grade (A through F) to EXPD based on a six-pillar quantitative model. The live page shows the composite grade plus each pillar's individual score with the underlying metrics.

What makes EXPD a quality stock?

AlphaQuality looks at return on capital, free-cash-flow margins, debt-to-equity, revenue stability, dividend and buyback policy, and operating-margin trend. Stocks scoring well across all six pillars earn higher grades — the methodology favors compounders over cyclicals.

EXPD - Expeditors International of Washington, Inc.

Price: -- -- | CONSENSUS: Hold DETAILS | PRICE TARGET: $143.44 DETAILS

AlphaQuality

Quantitative six-pillar business-quality grade

Platform & Compounding FCF

AlphaQuality — archetype-weighted quantitative grade

B- 68.3 / 100 composite

Composite Grade

Composite of six pillars weighted for platform & compounding fcf businesses. Purely quantitative — no stock price or analyst input.

Profitability

Weight: 25%

A- 80.0

5yr Avg ROIC 34.6% 100/100
Operating Margin Trend -0.50 pp/yr 33/100

Capital Efficiency

Weight: 15%

A+ 100.0

5yr Avg ROE 43.7% 100/100
5yr Share-Count CAGR -5.6% 100/100

Growth Quality

Weight: 25%

F 17.9

5yr Revenue CAGR -9.5% 1/100
5yr EPS CAGR -7.9% 4/100
Revenue-Growth Years (5) 4/5 80/100

Cash Generation

Weight: 20%

B+ 79.7

5yr FCF Margin 8.6% 64/100
5yr FCF/NI Conversion 1.09x 98/100

Balance Sheet

Weight: 10%

A+ 99.2

Net Debt / EBITDA -0.65x 98/100
Interest Coverage (EBIT/Int) 30.00x 100/100
Altman Z-Score 9.18 100/100

Stability

Weight: 5%

C+ 59.2

EPS Volatility (σ/μ) 0.46 35/100
Piotroski F-Score 7 78/100
Negative-Revenue Years (5) 1/5 80/100

4 of 4 gurus held; 2 new buys; 2 added.

Holders: 4 +2
Avg Δ position: +199.2%
New buys: 2
Full exits: 0

Dalio new
Wood new
Cooperman increased +363%

How this is calculated

AlphaQuality grades six pillars from 0-100 and weights each by archetype:

Profitability (25%) — 5yr Avg ROIC, Operating Margin Trend
Capital Efficiency (15%) — 5yr Avg ROE, 5yr Share-Count CAGR
Growth Quality (25%) — 5yr Revenue CAGR, 5yr EPS CAGR, Revenue-Growth Years (5)
Cash Generation (20%) — 5yr FCF Margin, 5yr FCF/NI Conversion
Balance Sheet (10%) — Net Debt / EBITDA, Interest Coverage (EBIT/Int), Altman Z-Score
Stability (5%) — EPS Volatility (σ/μ), Piotroski F-Score, Negative-Revenue Years (5)

We deliberately ignore stock price, analyst targets, and consensus ratings so the grade is suitable for backtesting forward returns. A minimum of 5 fiscal years of audited statements is required; distressed and highly leveraged infrastructure businesses are declared ungradable rather than forced into a numeric score.