LANDSTAR SYSTEM INC (LSTR) Stock Fundamental Analysis
USA - NASDAQ:LSTR - US5150981018 - Common Stock
123.37 USD
-1.5 (-1.2%)
Taking everything into account, LSTR scores 6 out of 10 in our fundamental rating. LSTR was compared to 43 industry peers in the Ground Transportation industry. LSTR is in great health and has no worries on liquidiy or solvency at all, but the profibility rating is only average. LSTR is not valued too expensively and it also shows a decent 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.
LSTR had positive earnings in each of the past 5 years.
In the past 5 years LSTR always reported a positive cash flow from operatings.
1.2 Ratios
LSTR has a Return On Assets of 8.26%. This is amongst the best in the industry. LSTR outperforms 88.37% of its industry peers.
LSTR's Return On Equity of 15.44% is fine compared to the rest of the industry. LSTR outperforms 74.42% of its industry peers.
With an excellent Return On Invested Capital value of 14.72%, LSTR belongs to the best of the industry, outperforming 95.35% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for LSTR is significantly above the industry average of 7.13%.
The last Return On Invested Capital (14.72%) for LSTR is well below the 3 year average (25.37%), which needs to be investigated, but indicates that LSTR had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.26% | ||
| ROE | 15.44% | ||
| ROIC | 14.72% |
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's Profit Margin of 2.86% is in line compared to the rest of the industry. LSTR outperforms 55.81% of its industry peers.
In the last couple of years the Profit Margin of LSTR has declined.
Looking at the Operating Margin, with a value of 4.38%, LSTR is in line with its industry, outperforming 53.49% of the companies in the same industry.
LSTR's Operating Margin has declined in the last couple of years.
LSTR's Gross Margin of 14.25% is on the low side compared to the rest of the industry. LSTR is outperformed by 72.09% of its industry peers.
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 | 4.38% | ||
| PM (TTM) | 2.86% | ||
| GM | 14.25% |
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.
LSTR has less shares outstanding than it did 1 year ago.
LSTR has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, LSTR has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 9.52 indicates that LSTR is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 9.52, LSTR belongs to the top of the industry, outperforming 90.70% of the companies in the same industry.
LSTR has a debt to FCF ratio of 0.63. This is a very positive value and a sign of high solvency as it would only need 0.63 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.63, LSTR belongs to the best of the industry, outperforming 97.67% of the companies in the same industry.
A Debt/Equity ratio of 0.11 indicates that LSTR is not too dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.11, LSTR is in the better half of the industry, outperforming 79.07% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.63 | ||
| Altman-Z | 9.52 |
ROIC/WACC1.23
WACC11.94%
2.3 Liquidity
LSTR has a Current Ratio of 2.01. This indicates that LSTR is financially healthy and has no problem in meeting its short term obligations.
LSTR has a Current ratio of 2.01. This is amongst the best in the industry. LSTR outperforms 90.70% of its industry peers.
LSTR has a Quick Ratio of 2.01. This indicates that LSTR is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of LSTR (2.01) is better than 93.02% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 |
3. Growth
3.1 Past
The earnings per share for LSTR have decreased strongly by -21.44% in the last year.
LSTR shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.74% yearly.
Looking at the last year, LSTR shows a decrease in Revenue. The Revenue has decreased by -0.74% in the last year.
LSTR shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 3.40% yearly.
EPS 1Y (TTM)-21.44%
EPS 3Y-17.91%
EPS 5Y-0.74%
EPS Q2Q%-13.48%
Revenue 1Y (TTM)-0.74%
Revenue growth 3Y-9.59%
Revenue growth 5Y3.4%
Sales Q2Q%-0.7%
3.2 Future
LSTR is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.89% yearly.
The Revenue is expected to grow by 5.73% on average over the next years.
EPS Next Y-16.89%
EPS Next 2Y1.62%
EPS Next 3Y8.15%
EPS Next 5Y11.89%
Revenue Next Year-0.81%
Revenue Next 2Y2.64%
Revenue Next 3Y4.46%
Revenue Next 5Y5.73%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
LSTR is valuated quite expensively with a Price/Earnings ratio of 26.94.
LSTR's Price/Earnings ratio is a bit cheaper when compared to the industry. LSTR is cheaper than 62.79% of the companies in the same industry.
The average S&P500 Price/Earnings ratio is at 25.47. LSTR is around the same levels.
The Price/Forward Earnings ratio is 21.64, which indicates a rather expensive current valuation of LSTR.
Compared to the rest of the industry, the Price/Forward Earnings ratio of LSTR indicates a somewhat cheap valuation: LSTR is cheaper than 60.47% of the companies listed in the same industry.
LSTR's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 35.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.94 | ||
| Fwd PE | 21.64 |
4.2 Price Multiples
LSTR's Enterprise Value to EBITDA is on the same level as the industry average.
Based on the Price/Free Cash Flow ratio, LSTR is valued cheaply inside the industry as 88.37% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 21.58 | ||
| EV/EBITDA | 14.92 |
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 2Y1.62%
EPS Next 3Y8.15%
5. Dividend
5.1 Amount
LSTR has a Yearly Dividend Yield of 1.25%. Purely for dividend investing, there may be better candidates out there.
LSTR's Dividend Yield is a higher than the industry average which is at 1.74.
Compared to an average S&P500 Dividend Yield of 2.44, LSTR's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
5.2 History
On average, the dividend of LSTR grows each year by 37.07%, which is quite nice.
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
90.21% 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.
DP90.21%
EPS Next 2Y1.62%
EPS Next 3Y8.15%
NASDAQ:LSTR (11/19/2025, 2:58:17 PM)
123.37
-1.5 (-1.2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners107.29%
Inst Owner Change-1.32%
Ins Owners0.73%
Ins Owner Change2.3%
Market Cap4.27B
Revenue(TTM)4.79B
Net Income(TTM)137.26M
Analysts56.52
Price Target136.86 (10.93%)
Short Float %4.45%
Short Ratio3.34
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.25% |
Yearly Dividend3.39
Dividend Growth(5Y)37.07%
DP90.21%
Div Incr Years10
Div Non Decr Years10
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.02%
Min EPS beat(2)-1.56%
Max EPS beat(2)-0.48%
EPS beat(4)0
Avg EPS beat(4)-5.42%
Min EPS beat(4)-15.14%
Max EPS beat(4)-0.48%
EPS beat(8)2
Avg EPS beat(8)-3.34%
EPS beat(12)3
Avg EPS beat(12)-2.44%
EPS beat(16)5
Avg EPS beat(16)-1.77%
Revenue beat(2)0
Avg Revenue beat(2)-1.68%
Min Revenue beat(2)-1.92%
Max Revenue beat(2)-1.43%
Revenue beat(4)0
Avg Revenue beat(4)-1.15%
Min Revenue beat(4)-1.92%
Max Revenue beat(4)-0.3%
Revenue beat(8)1
Avg Revenue beat(8)-1.72%
Revenue beat(12)1
Avg Revenue beat(12)-2.13%
Revenue beat(16)3
Avg Revenue beat(16)-1.25%
PT rev (1m)-4%
PT rev (3m)-4.06%
EPS NQ rev (1m)-7.62%
EPS NQ rev (3m)-10.68%
EPS NY rev (1m)-4.01%
EPS NY rev (3m)-6.74%
Revenue NQ rev (1m)-3.12%
Revenue NQ rev (3m)-4.27%
Revenue NY rev (1m)-0.77%
Revenue NY rev (3m)-1.38%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.94 | ||
| Fwd PE | 21.64 | ||
| P/S | 0.89 | ||
| P/FCF | 21.58 | ||
| P/OCF | 20.12 | ||
| P/B | 4.81 | ||
| P/tB | 5 | ||
| EV/EBITDA | 14.92 |
EPS(TTM)4.58
EY3.71%
EPS(NY)5.7
Fwd EY4.62%
FCF(TTM)5.72
FCFY4.63%
OCF(TTM)6.13
OCFY4.97%
SpS138.33
BVpS25.65
TBVpS24.67
PEG (NY)N/A
PEG (5Y)N/A
Graham Number51.41
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.26% | ||
| ROE | 15.44% | ||
| ROCE | 20.12% | ||
| ROIC | 14.72% | ||
| ROICexc | 24.45% | ||
| ROICexgc | 25.79% | ||
| OM | 4.38% | ||
| PM (TTM) | 2.86% | ||
| GM | 14.25% | ||
| FCFM | 4.13% |
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 Turnover2.88
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.11 | ||
| Debt/FCF | 0.63 | ||
| Debt/EBITDA | 0.37 | ||
| Cap/Depr | 29.65% | ||
| Cap/Sales | 0.3% | ||
| Interest Coverage | 4.28 | ||
| Cash Conversion | 82.2% | ||
| Profit Quality | 144.31% | ||
| Current Ratio | 2.01 | ||
| Quick Ratio | 2.01 | ||
| Altman-Z | 9.52 |
F-Score5
WACC11.94%
ROIC/WACC1.23
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)-21.44%
EPS 3Y-17.91%
EPS 5Y-0.74%
EPS Q2Q%-13.48%
EPS Next Y-16.89%
EPS Next 2Y1.62%
EPS Next 3Y8.15%
EPS Next 5Y11.89%
Revenue 1Y (TTM)-0.74%
Revenue growth 3Y-9.59%
Revenue growth 5Y3.4%
Sales Q2Q%-0.7%
Revenue Next Year-0.81%
Revenue Next 2Y2.64%
Revenue Next 3Y4.46%
Revenue Next 5Y5.73%
EBIT growth 1Y-21%
EBIT growth 3Y-21.04%
EBIT growth 5Y-3.59%
EBIT Next Year5.22%
EBIT Next 3Y14.82%
EBIT Next 5Y12.71%
FCF growth 1Y-57.84%
FCF growth 3Y0.28%
FCF growth 5Y-2.39%
OCF growth 1Y-56.64%
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 6 / 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 -16.89% 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 90.21%.