Landstar System, Inc. (LSTR) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

MarketsMojo — Loved in India, Now Global

The power of Mojo is now in 29 countries. Explore global equities with the same cutting-edge features you love.Unlock 29 Markets

Comparison

Company

Score

Quality

Valuation

Financial

Technical

J.B. Hunt Transport Services, Inc.

Knight-Swift Transportation Holdings, Inc.

Landstar System, Inc.

Old Dominion Freight Line, Inc.

Saia, Inc.

ArcBest Corp.

XPO, Inc.

Werner Enterprises, Inc.

Schneider National, Inc.

Marten Transport Ltd.

Forward Air Corp.

Why is Landstar System, Inc. ?

High Management Efficiency with a high ROE of 33.02%

Company has a low Debt to Equity ratio (avg) at times

Poor long term growth as Operating profit has grown by an annual rate -1.92% of over the last 5 years

Flat results in Jun 25

INTEREST(9M) At USD 2.95 MM has Grown at inf%
OPERATING CASH FLOW(Y) Lowest at USD 207.06 MM
NET PROFIT(HY) At USD 71.7 MM has Grown at -28.1%

With ROE of 19.19%, it has a fair valuation with a 9.79 Price to Book Value

The stock is trading at a premium compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of -29.38%, its profits have fallen by -23.4%

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Consistent Underperformance against the benchmark over the last 3 years

Along with generating -29.38% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Landstar System, Inc. should be less than 10%
Overall Portfolio exposure to Transport Services should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Transport Services)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Landstar System, Inc. for you?

Medium Risk, Low Return

Absolute

Risk Adjusted

Volatility

Landstar System, Inc.

-23.64%

-0.96

30.20%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

4.96%

EBIT Growth (5y)

-1.92%

EBIT to Interest (avg)

100.00

Debt to EBITDA (avg)

Net Debt is too low

Net Debt to Equity (avg)

-0.41

Sales to Capital Employed (avg)

5.00

Tax Ratio

23.10%

Dividend Payout Ratio

25.03%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

56.86%

ROE (avg)

33.02%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

9.79

EV to EBIT

40.93

EV to EBITDA

32.57

EV to Capital Employed

15.90

EV to Sales

1.82

PEG Ratio

Dividend Yield

137.23%

ROCE (Latest)

38.85%

ROE (Latest)

19.19%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Mildly Bullish

Bearish

Dow Theory

Mildly Bearish

No Trend

OBV

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

DIVIDEND PER SHARE(HY)

Highest at USD 6.25

DIVIDEND PAYOUT RATIO(Y)

Highest at 33.29%

RAW MATERIAL COST(Y)

Fallen by 0.33% (YoY

-13What is not working for the Company

INTEREST(9M)

At USD 2.95 MM has Grown at inf%

OPERATING CASH FLOW(Y)

Lowest at USD 207.06 MM

NET PROFIT(HY)

At USD 71.7 MM has Grown at -28.1%

ROCE(HY)

Lowest at 17.47%

Here's what is working for Landstar System, Inc.

Dividend per share

Highest at USD 6.25 and Grown

In each year in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Dividend Payout Ratio

Highest at 33.29%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Raw Material Cost

Fallen by 0.33% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Landstar System, Inc.

Interest

At USD 2.95 MM has Grown at inf%

over previous Semi-Annual period

MOJO Watch

Rising interest cost signifies increased borrowings

Interest Paid (USD MM)

Operating Cash Flow

Lowest at USD 207.06 MM and Fallen

In each year in the last three years

MOJO Watch

The company's cash revenues from business operations are falling

Operating Cash Flows (USD MM)

Net Profit

At USD 71.7 MM has Grown at -28.1%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)