Heartland Express Inc (HTLD)

Short-term

Turnover ratios

Based on the provided data for Heartland Express Inc, we can analyze the company's activity ratios as follows:

1. Inventory Turnover:
- The inventory turnover ratio measures how efficiently a company manages its inventory. Heartland Express Inc's inventory turnover decreased from 62.22 in December 2020 to 53.73 in December 2021, and further decreased to 50.13 in December 2022. However, there was a significant spike in the inventory turnover to 3,199.34 in December 2023, indicating a drastic improvement in managing inventory. The data for December 2024 is not available.

2. Receivables Turnover:
- The receivables turnover ratio shows how effectively a company collects payments from its customers. The data provided suggests that Heartland Express Inc did not have available information on receivables turnover for the years 2020 to 2024. This lack of data makes it challenging to assess the company's performance in collecting payments.

3. Payables Turnover:
- The payables turnover ratio indicates how quickly a company pays its suppliers. Similarly, there is no available data on payables turnover for Heartland Express Inc for the years 2020 to 2024, making it difficult to evaluate the company's payment practices to suppliers.

4. Working Capital Turnover:
- The working capital turnover ratio measures how efficiently a company uses its working capital to generate sales. Heartland Express Inc's working capital turnover ratio increased significantly from 5.29 in December 2020 to 105.93 in December 2024, indicating a strong improvement in utilizing working capital to generate sales over the years.

In conclusion, while the data provides insights into Heartland Express Inc's ability to manage its inventory and working capital efficiently, the lack of information on receivables and payables turnovers limits a comprehensive analysis of the company's overall activity ratios. The significant increase in working capital turnover highlights positive trends in utilizing resources to drive sales growth.

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Average number of days

Based on the provided data for Heartland Express Inc, let's analyze the activity ratios:

1. Days of Inventory on Hand (DOH):
- Heartland Express Inc's inventory holding period has shown an increasing trend over the years. It was 5.87 days as of December 31, 2020, which increased to 7.28 days as of December 31, 2022.
- However, there is a significant decrease in the DOH to 0.11 days as of December 31, 2023, followed by missing data for December 31, 2024. This sharp decline could indicate efficient management of inventory, potentially through effective inventory turnover or demand forecasting.

2. Days of Sales Outstanding (DSO):
- The data shows that there are no specific values available for DSO for any of the years (indicated as "— days"). This could imply that either credit sales are not a significant portion of the company's revenue, or the information is not provided for analysis.

3. Number of Days of Payables:
- Similar to DSO, data is not available for the number of days of payables for any of the years (indicated as "— days"). This lack of information makes it challenging to assess the efficiency of managing payables and the company's relationships with suppliers.

In summary, while the data on Days of Inventory on Hand suggests potential changes in inventory management efficiency, the missing information on Days of Sales Outstanding and Number of Days of Payables limits a comprehensive analysis of Heartland Express Inc's activity ratios related to receivables and payables turnover.

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Long-term

The Fixed Asset Turnover ratio measures how efficiently a company is utilizing its fixed assets to generate revenue. A higher ratio indicates better asset utilization.

For Heartland Express Inc:
- The Fixed Asset Turnover ratio has shown a slight increase from 1.20 in 2020 to 1.24 in 2021, indicating an improvement in the company's efficiency in generating revenue from its fixed assets.
- However, in 2022, the ratio decreased to 0.99, suggesting a potential decline in the company's ability to generate revenue from its fixed assets efficiently.
- The data for 2023 and 2024 is unavailable ("—"), making it difficult to assess the trend for those years.

The Total Asset Turnover ratio reflects how effectively a company is using all its assets to generate sales. A higher ratio implies better asset utilization.

In the case of Heartland Express Inc:
- The Total Asset Turnover ratio declined from 0.68 in 2020 to 0.65 in 2021 and further to 0.58 in 2022, indicating a decrease in the company's ability to generate revenue from its total assets efficiently.
- There was a slight improvement in 2023 and 2024, with the ratio increasing to 0.80 and 0.79, respectively. This improvement suggests that the company may have enhanced its efficiency in utilizing all its assets to generate sales during those years.

Overall, based on the trend observed in the Fixed Asset Turnover and Total Asset Turnover ratios, Heartland Express Inc experienced mixed performance in terms of asset utilization efficiency over the period analyzed. Further analysis and additional data would be needed to gain a more comprehensive understanding of the company's long-term activity ratios.