Marten Transport (MRTN) has wrapped up FY 2025 with Q4 revenue of US$210.1 million and basic EPS of US$0.05, alongside net income of US$3.7 million. Over the past few quarters, the company has seen revenue move from US$237.4 million in Q3 2024 to US$230.4 million in Q4 2024, then to US$223.2 million in Q1 2025, US$229.9 million in Q2 2025, US$220.5 million in Q3 2025 and US$210.1 million in Q4 2025, with EPS ranging between US$0.03 and US$0.09 over that stretch. For investors, a key consideration is how these headline numbers relate to margin pressure and what that may imply for the quality of profitability.

See our full analysis for Marten Transport.

With the latest figures on the table, the next step is to see how these results compare with the widely discussed growth and risk narratives around Marten, and where the updated numbers may start to challenge those views.

Margins Pinched At 2% On Trailing Basis

• Over the last 12 months, Marten’s net income was US$17.4 million on US$883.7 million of revenue, which works out to a 2% net margin compared with 2.8% a year earlier on US$963.7 million of revenue and US$26.9 million of net income.
• Critics highlight that thinner margins weaken the bearish focus on earnings quality when you also factor in the US$12.1 million one off gain in the trailing period, because:
  • The trailing basic EPS of US$0.21 is below the prior year’s US$0.33, even with that one off gain included.
  • Quarterly net income has ranged from US$2.2 million to US$7.2 million since Q3 2024, which shows reported profit has been relatively low versus the full year revenue base.

Premium P/E Of 58.2x Versus Peers

• Marten’s trailing P/E of 58.2x sits above the US Transportation industry at 32.8x and a peer average of 42.3x, while the current share price of US$12.46 is also above the DCF fair value of about US$6.60.
• What stands out for the bearish view is how the high multiple interacts with modest trailing profitability and the DCF fair value, because:
  • Trailing basic EPS over the last 12 months is US$0.21, which is well below the US$0.33 level a year earlier, yet the stock still trades at a premium multiple.
  • The DCF fair value of about US$6.60 is materially below the current US$12.46 share price, so valuation is leaning on future earnings growth rather than what the recent income line shows.

On these numbers, skeptics might ask how long the stock can justify a 58.2x P/E with 2% trailing margins and a DCF fair value around half the current price. 🐻 Marten Transport Bear Case

Forecast 35.7% Earnings Growth Versus 4.2% Revenue

• Available forecasts point to earnings growing about 35.7% per year over the next three years, while revenue is expected to grow around 4.2% per year, compared with trailing 12 month revenue of US$883.7 million and net income of US$17.4 million.
• Supporters argue this bullish growth profile can reframe the current numbers, but the recent data adds some tension to that view, because:
  • In the latest four reported quarters, basic EPS moved between US$0.03 and US$0.09, with Q4 2025 at roughly US$0.05, which is still below the prior year’s Q4 EPS of about US$0.07.
  • Trailing net margin at 2% is starting from a relatively low base, so the optimistic earnings growth forecast implies a substantial uplift from what the last 12 months actually delivered.

Bulls point to the gap between modest recent margins and the 35.7% forecast earnings growth rate as the key question for where Marten goes next. 📊 Read the full Marten Transport Consensus Narrative.

Next Steps

Don't just look at this quarter; the real story is in the long-term trend. We've done an in-depth analysis on Marten Transport's growth and its valuation to see if today's price is a bargain. Add the company to your watchlist or portfolio now so you don't miss the next big move.

See What Else Is Out There

Marten’s 2% trailing net margin, softer EPS and a 58.2x P/E against a lower DCF fair value all point to stretched valuation support.

If that mix of thin profitability and a rich price tag makes you cautious, shift your focus toward these 877 undervalued stocks based on cash flows to hunt for companies where valuations look better aligned with current earnings power.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.