LANDSTAR SYSTEM INC (LSTR) Stock Fundamental Analysis
USA - NASDAQ:LSTR - US5150981018 - Common Stock
130.075 USD
+0.19 (+0.14%)
We assign a fundamental rating of 6 out of 10 to LSTR. LSTR was compared to 42 industry peers in the Ground Transportation industry. Both the health and profitability get an excellent rating, making LSTR a very profitable company, without any liquidiy or solvency issues. LSTR has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year LSTR was profitable.
LSTR had a positive operating cash flow in the past year.
In the past 5 years LSTR has always been profitable.
Each year in the past 5 years LSTR had a positive operating cash flow.
1.2 Ratios
With an excellent Return On Assets value of 9.88%, LSTR belongs to the best of the industry, outperforming 90.48% of the companies in the same industry.
LSTR has a better Return On Equity (18.22%) than 80.95% of its industry peers.
With an excellent Return On Invested Capital value of 14.55%, LSTR belongs to the best of the industry, outperforming 95.24% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for LSTR is significantly above the industry average of 7.76%.
The 3 year average ROIC (25.37%) for LSTR is well above the current ROIC(14.55%). The reason for the recent decline needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.88% | ||
| ROE | 18.22% | ||
| ROIC | 14.55% |
ROA(3y)15.93%
ROA(5y)15.61%
ROE(3y)31.86%
ROE(5y)33.52%
ROIC(3y)25.37%
ROIC(5y)26.64%
1.3 Margins
LSTR has a Profit Margin (3.50%) which is in line with its industry peers.
In the last couple of years the Profit Margin of LSTR has declined.
LSTR has a Operating Margin of 4.51%. This is comparable to the rest of the industry: LSTR outperforms 57.14% of its industry peers.
In the last couple of years the Operating Margin of LSTR has declined.
With a Gross Margin value of 14.26%, LSTR is not doing good in the industry: 73.81% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of LSTR has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.51% | ||
| PM (TTM) | 3.5% | ||
| GM | 14.26% |
OM growth 3Y-12.67%
OM growth 5Y-6.77%
PM growth 3Y-11.42%
PM growth 5Y-6.15%
GM growth 3Y0.84%
GM growth 5Y-1.02%
2. Health
2.1 Basic Checks
LSTR has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for LSTR has been reduced compared to 1 year ago.
LSTR has less shares outstanding than it did 5 years ago.
The debt/assets ratio for LSTR is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 9.55 indicates that LSTR is not in any danger for bankruptcy at the moment.
LSTR's Altman-Z score of 9.55 is amongst the best of the industry. LSTR outperforms 92.86% of its industry peers.
The Debt to FCF ratio of LSTR is 0.76, which is an excellent value as it means it would take LSTR, only 0.76 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of LSTR (0.76) is better than 95.24% of its industry peers.
A Debt/Equity ratio of 0.12 indicates that LSTR is not too dependend on debt financing.
With an excellent Debt to Equity ratio value of 0.12, LSTR belongs to the best of the industry, outperforming 80.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.76 | ||
| Altman-Z | 9.55 |
ROIC/WACC1.48
WACC9.84%
2.3 Liquidity
A Current Ratio of 2.00 indicates that LSTR should not have too much problems paying its short term obligations.
The Current ratio of LSTR (2.00) is better than 92.86% of its industry peers.
A Quick Ratio of 2.00 indicates that LSTR should not have too much problems paying its short term obligations.
The Quick ratio of LSTR (2.00) is better than 92.86% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2 | ||
| Quick Ratio | 2 |
3. Growth
3.1 Past
The earnings per share for LSTR have decreased strongly by -22.19% in the last year.
The Earnings Per Share has been decreasing by -0.74% on average over the past years.
LSTR shows a decrease in Revenue. In the last year, the revenue decreased by -2.06%.
The Revenue has been growing slightly by 3.40% on average over the past years.
EPS 1Y (TTM)-22.19%
EPS 3Y-17.91%
EPS 5Y-0.74%
EPS Q2Q%-18.92%
Revenue 1Y (TTM)-2.06%
Revenue growth 3Y-9.59%
Revenue growth 5Y3.4%
Sales Q2Q%-1.11%
3.2 Future
Based on estimates for the next years, LSTR will show a quite strong growth in Earnings Per Share. The EPS will grow by 11.89% on average per year.
Based on estimates for the next years, LSTR will show a small growth in Revenue. The Revenue will grow by 5.74% on average per year.
EPS Next Y-13.42%
EPS Next 2Y6.04%
EPS Next 3Y11.03%
EPS Next 5Y11.89%
Revenue Next Year-0.04%
Revenue Next 2Y4.09%
Revenue Next 3Y4.6%
Revenue Next 5Y5.74%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 27.27 indicates a quite expensive valuation of LSTR.
Based on the Price/Earnings ratio, LSTR is valued a bit cheaper than 61.90% of the companies in the same industry.
LSTR is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.83, which is the current average of the S&P500 Index.
LSTR is valuated rather expensively with a Price/Forward Earnings ratio of 20.96.
61.90% of the companies in the same industry are more expensive than LSTR, based on the Price/Forward Earnings ratio.
The average S&P500 Price/Forward Earnings ratio is at 22.82. LSTR is around the same levels.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.27 | ||
| Fwd PE | 20.96 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as LSTR.
Based on the Price/Free Cash Flow ratio, LSTR is valued cheaper than 88.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.92 | ||
| EV/EBITDA | 15.21 |
4.3 Compensation for Growth
LSTR has a very decent profitability rating, which may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y6.04%
EPS Next 3Y11.03%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.22%, LSTR has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.60, LSTR pays a bit more dividend than its industry peers.
With a Dividend Yield of 1.22, LSTR pays less dividend than the S&P500 average, which is at 2.34.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
5.2 History
The dividend of LSTR is nicely growing with an annual growth rate of 37.07%!
LSTR has paid a dividend for at least 10 years, which is a reliable track record.
LSTR has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)37.07%
Div Incr Years10
Div Non Decr Years10
5.3 Sustainability
73.07% of the earnings are spent on dividend by LSTR. This is not a sustainable payout ratio.
The dividend of LSTR is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP73.07%
EPS Next 2Y6.04%
EPS Next 3Y11.03%
NASDAQ:LSTR (10/24/2025, 3:09:30 PM)
130.075
+0.19 (+0.14%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners107.29%
Inst Owner Change0%
Ins Owners0.73%
Ins Owner Change1.27%
Market Cap4.51B
Revenue(TTM)4.80B
Net Income(TTM)167.93M
Analysts56.36
Price Target142.56 (9.6%)
Short Float %4.97%
Short Ratio4.31
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.22% |
Yearly Dividend3.39
Dividend Growth(5Y)37.07%
DP73.07%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-8.35%
Min EPS beat(2)-15.14%
Max EPS beat(2)-1.56%
EPS beat(4)0
Avg EPS beat(4)-6.46%
Min EPS beat(4)-15.14%
Max EPS beat(4)-1.56%
EPS beat(8)2
Avg EPS beat(8)-3.5%
EPS beat(12)3
Avg EPS beat(12)-2.57%
EPS beat(16)6
Avg EPS beat(16)-1.64%
Revenue beat(2)0
Avg Revenue beat(2)-0.87%
Min Revenue beat(2)-1.43%
Max Revenue beat(2)-0.3%
Revenue beat(4)0
Avg Revenue beat(4)-1.36%
Min Revenue beat(4)-2.74%
Max Revenue beat(4)-0.3%
Revenue beat(8)1
Avg Revenue beat(8)-1.88%
Revenue beat(12)1
Avg Revenue beat(12)-2.05%
Revenue beat(16)4
Avg Revenue beat(16)-0.98%
PT rev (1m)0%
PT rev (3m)-0.89%
EPS NQ rev (1m)-4.57%
EPS NQ rev (3m)-11.08%
EPS NY rev (1m)-0.37%
EPS NY rev (3m)-2.85%
Revenue NQ rev (1m)-0.24%
Revenue NQ rev (3m)-2.45%
Revenue NY rev (1m)0.06%
Revenue NY rev (3m)-1.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 27.27 | ||
| Fwd PE | 20.96 | ||
| P/S | 0.94 | ||
| P/FCF | 23.92 | ||
| P/OCF | 21.77 | ||
| P/B | 4.89 | ||
| P/tB | 5.12 | ||
| EV/EBITDA | 15.21 |
EPS(TTM)4.77
EY3.67%
EPS(NY)6.21
Fwd EY4.77%
FCF(TTM)5.44
FCFY4.18%
OCF(TTM)5.98
OCFY4.59%
SpS138.59
BVpS26.6
TBVpS25.41
PEG (NY)N/A
PEG (5Y)N/A
Graham Number53.43
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 9.88% | ||
| ROE | 18.22% | ||
| ROCE | 20.04% | ||
| ROIC | 14.55% | ||
| ROICexc | 23.26% | ||
| ROICexgc | 24.69% | ||
| OM | 4.51% | ||
| PM (TTM) | 3.5% | ||
| GM | 14.26% | ||
| FCFM | 3.92% |
ROA(3y)15.93%
ROA(5y)15.61%
ROE(3y)31.86%
ROE(5y)33.52%
ROIC(3y)25.37%
ROIC(5y)26.64%
ROICexc(3y)42.89%
ROICexc(5y)41.2%
ROICexgc(3y)45.65%
ROICexgc(5y)43.73%
ROCE(3y)35.52%
ROCE(5y)37.78%
ROICexgc growth 3Y-10.66%
ROICexgc growth 5Y-5.48%
ROICexc growth 3Y-11.27%
ROICexc growth 5Y-5.43%
OM growth 3Y-12.67%
OM growth 5Y-6.77%
PM growth 3Y-11.42%
PM growth 5Y-6.15%
GM growth 3Y0.84%
GM growth 5Y-1.02%
F-Score5
Asset Turnover2.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.12 | ||
| Debt/FCF | 0.76 | ||
| Debt/EBITDA | 0.42 | ||
| Cap/Depr | 35.45% | ||
| Cap/Sales | 0.39% | ||
| Interest Coverage | 4.45 | ||
| Cash Conversion | 76.95% | ||
| Profit Quality | 112.22% | ||
| Current Ratio | 2 | ||
| Quick Ratio | 2 | ||
| Altman-Z | 9.55 |
F-Score5
WACC9.84%
ROIC/WACC1.48
Cap/Depr(3y)48.01%
Cap/Depr(5y)51.53%
Cap/Sales(3y)0.49%
Cap/Sales(5y)0.51%
Profit Quality(3y)136.03%
Profit Quality(5y)113.65%
High Growth Momentum
Growth
EPS 1Y (TTM)-22.19%
EPS 3Y-17.91%
EPS 5Y-0.74%
EPS Q2Q%-18.92%
EPS Next Y-13.42%
EPS Next 2Y6.04%
EPS Next 3Y11.03%
EPS Next 5Y11.89%
Revenue 1Y (TTM)-2.06%
Revenue growth 3Y-9.59%
Revenue growth 5Y3.4%
Sales Q2Q%-1.11%
Revenue Next Year-0.04%
Revenue Next 2Y4.09%
Revenue Next 3Y4.6%
Revenue Next 5Y5.74%
EBIT growth 1Y-23.44%
EBIT growth 3Y-21.04%
EBIT growth 5Y-3.59%
EBIT Next Year5.22%
EBIT Next 3Y14.82%
EBIT Next 5Y12.72%
FCF growth 1Y-67.15%
FCF growth 3Y0.28%
FCF growth 5Y-2.39%
OCF growth 1Y-65.76%
OCF growth 3Y1.17%
OCF growth 5Y-1.42%
LANDSTAR SYSTEM INC / LSTR FAQ
What is the fundamental rating for LSTR stock?
ChartMill assigns a fundamental rating of 6 / 10 to LSTR.
What is the valuation status of LANDSTAR SYSTEM INC (LSTR) stock?
ChartMill assigns a valuation rating of 4 / 10 to LANDSTAR SYSTEM INC (LSTR). This can be considered as Fairly Valued.
What is the profitability of LSTR stock?
LANDSTAR SYSTEM INC (LSTR) has a profitability rating of 7 / 10.
What is the earnings growth outlook for LANDSTAR SYSTEM INC?
The Earnings per Share (EPS) of LANDSTAR SYSTEM INC (LSTR) is expected to decline by -13.42% in the next year.
Is the dividend of LANDSTAR SYSTEM INC sustainable?
The dividend rating of LANDSTAR SYSTEM INC (LSTR) is 5 / 10 and the dividend payout ratio is 73.07%.