GURUFOCUS.COM » STOCK LIST » Industrials » Transportation » Hub Group Inc (NAS:HUBG) » Definitions » Degree of Operating Leverage

HUBG (Hub Group) Degree of Operating Leverage : 4.03 (As of Mar. 2025)


View and export this data going back to 1996. Start your Free Trial

What is Hub Group Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Hub Group's Degree of Operating Leverage for the quarter that ended in Mar. 2025 was 4.03. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Hub Group's Degree of Operating Leverage or its related term are showing as below:

HUBG's Degree of Operating Leverage is ranked worse than
81.06% of 977 companies
in the Transportation industry
Industry Median: 0.89 vs HUBG: 4.03

Hub Group Degree of Operating Leverage Historical Data

The historical data trend for Hub Group's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Hub Group Degree of Operating Leverage Chart

Hub Group Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
Degree of Operating Leverage
Get a 7-Day Free Trial Premium Member Only Premium Member Only 6.79 5.97 3.80 2.50 5.57

Hub Group Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.67 3.28 4.12 5.57 4.03

Competitive Comparison of Hub Group's Degree of Operating Leverage

For the Integrated Freight & Logistics subindustry, Hub Group's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Hub Group's Degree of Operating Leverage Distribution in the Transportation Industry

For the Transportation industry and Industrials sector, Hub Group's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Hub Group's Degree of Operating Leverage falls into.


;
;

Hub Group Degree of Operating Leverage Calculation

Hub Group's Degree of Operating Leverage for the quarter that ended in Mar. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( 147.535 (Mar. 2025) / 181.382 (Mar. 2024) - 1 )/( 3862.113 (Mar. 2025) / 4049.813 (Mar. 2024) - 1 )
=-0.1866/-0.0463
=4.03***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Hub Group  (NAS:HUBG) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Hub Group Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Hub Group's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Hub Group Business Description

Industry
Traded in Other Exchanges
Address
2001 Hub Group Way, Oak Brook, IL, USA, 60523
Hub Group ranks among the largest providers of rail intermodal service. Roughly 60% of consolidated revenue comes from Hub's intermodal and transportation solutions division. ITS includes its flagship intermodal operations, which use the Class I rail carriers for the underlying line-haul movement of containers, as well as its dedicated truckload shipping unit. Hub's logistics segment includes its asset light truck brokerage operations, along with its outsourced transportation management, warehousing and fulfillment, and heavy-goods final mile delivery offerings. Hub is somewhat acquisitive in that it often makes tuck-in acquisitions which expand its brokerage, last-mile, and dedicated offerings.
Executives
Dhruv Bansal officer: Chief Information Officer 2001 HUB GROUP WAY, OAK BROOK IL 60523
Lisa Dykstra director 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Kevin Beth officer: Chief Accounting Officer 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Thomas P. Lafrance officer: General Counsel C/O TRANSPORTATION SYSTEMS HOLDINGS INC., 901 MAIN AVENUE, NORWALK CT 06851
Michael E Flannery director
Gary Yablon director 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Phillip D Yeager officer: EVP Acct Mgmt & IML Op 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
David P Yeager director, officer: Vice Chairman and CEO 3050 HIGHLAND PARKWAY, STE 100, DOWNERS GROVA IL 60515
Vava Dimond officer: Chief Information Officer 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Charles R Reaves director 3050 HIGHLAND PARKWAY, STE 100, DOWNERS GROVA IL 60515
Geoffrey Demartino officer: Chief Financial Officer 100 THERMON DRIVE, SAN MARCOS TX 78666
Jenell Ross director 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Michele Mcdermott officer: Chief Human Resource Officer 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Nicholas Hannigan officer: EVP, Truck Brokerage 2000 CLEARWATER DRIVE, OAK BROOK IL 60523
Mary H Boosalis director 2000 CLEARWATER DRIVE, OAK BROOK IL 60523