Oppenheimer Initiates Coverage of C.H. Robinson Worldwide

In a report published earlier today, Oppenheimer Holdings initiated coverage of C.H. Robinson Worldwide, Inc. CHRW with a Perform rating, but did not name a price target. Oppenheimer went on to say “We are initiating coverage on C.H. Robinson Worldwide, the largest competitor in the third-party-logistics (3PL) freight brokerage industry, with a Perform rating. We're drawn to CHRW's leadership in an attractive industry, its solid growth and steady margin profile, and non-asset based, high ROIC business model. We view its market leadership as a distinct advantage, given its broad existing base of customers and capacity carriers (e.g., truckers) positioning it to garner incremental growth from both constituents. However, facing tough 1H12 y/y net revenue growth comparisons, and anticipating net revenue growth remaining in the single digits and notably below gross revenue growth in 2Q12, we don't anticipate the market bolstering its trading multiple ahead of 2Q12 results.” C.H. Robinson Worldwide, Inc. closed yesterday at $60.67.