RYDER SYSTEM INC (R) Stock Fundamental Analysis
NYSE:R - New York Stock Exchange, Inc. - US7835491082 - Common Stock
Overall R gets a fundamental rating of 3 out of 10. We evaluated R against 38 industry peers in the Ground Transportation industry. While R is still in line with the averages on profitability rating, there are concerns on its financial health. R has a valuation in line with the averages, but on the other hand it scores bad on growth. R also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
R had positive earnings in the past year.
R had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: R reported negative net income in multiple years.
Each year in the past 5 years R had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.90%, R perfoms like the industry average, outperforming 44.74% of the companies in the same industry.
Looking at the Return On Equity, with a value of 15.64%, R is in the better half of the industry, outperforming 63.16% of the companies in the same industry.
R's Return On Invested Capital of 4.84% is in line compared to the rest of the industry. R outperforms 57.89% of its industry peers.
The Average Return On Invested Capital over the past 3 years for R is below the industry average of 7.67%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 15.64% | ||
| ROIC | 4.84% |
ROA(3y)4.09%
ROA(5y)2.21%
ROE(3y)20.33%
ROE(5y)10.76%
ROIC(3y)4.99%
ROIC(5y)3.62%
1.3 Margins
R's Profit Margin of 3.83% is in line compared to the rest of the industry. R outperforms 44.74% of its industry peers.
R's Profit Margin has been stable in the last couple of years.
The Operating Margin of R (7.55%) is better than 60.53% of its industry peers.
In the last couple of years the Operating Margin of R has remained more or less at the same level.
R has a Gross Margin of 40.62%. This is comparable to the rest of the industry: R outperforms 50.00% of its industry peers.
In the last couple of years the Gross Margin of R has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.55% | ||
| PM (TTM) | 3.83% | ||
| GM | 40.62% |
OM growth 3Y38.47%
OM growth 5Y0.46%
PM growth 3YN/A
PM growth 5Y0.34%
GM growth 3Y-6.7%
GM growth 5Y-3.01%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so R is destroying value.
The number of shares outstanding for R has been reduced compared to 1 year ago.
Compared to 5 years ago, R has less shares outstanding
Compared to 1 year ago, R has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of 1.41, we must say that R is in the distress zone and has some risk of bankruptcy.
R has a worse Altman-Z score (1.41) than 71.05% of its industry peers.
A Debt/Equity ratio of 2.17 is on the high side and indicates that R has dependencies on debt financing.
R has a worse Debt to Equity ratio (2.17) than 86.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 1.41 |
ROIC/WACC0.7
WACC6.95%
2.3 Liquidity
R has a Current Ratio of 0.74. This is a bad value and indicates that R is not financially healthy enough and could expect problems in meeting its short term obligations.
R has a worse Current ratio (0.74) than 78.95% of its industry peers.
A Quick Ratio of 0.74 indicates that R may have some problems paying its short term obligations.
Looking at the Quick ratio, with a value of 0.74, R is doing worse than 76.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 |
3. Growth
3.1 Past
R shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -16.99%.
The Earnings Per Share has been growing by 17.47% on average over the past years. This is quite good.
Looking at the last year, R shows a small growth in Revenue. The Revenue has grown by 5.26% in the last year.
Measured over the past years, R shows a small growth in Revenue. The Revenue has been growing by 6.97% on average per year.
EPS 1Y (TTM)-16.99%
EPS 3YN/A
EPS 5Y17.47%
EPS Q2Q%-3.91%
Revenue 1Y (TTM)5.26%
Revenue growth 3Y11.85%
Revenue growth 5Y6.97%
Sales Q2Q%8.34%
3.2 Future
Based on estimates for the next years, R will show a small growth in Earnings Per Share. The EPS will grow by 7.97% on average per year.
Based on estimates for the next years, R will show a small growth in Revenue. The Revenue will grow by 6.57% on average per year.
EPS Next Y-5.59%
EPS Next 2Y3.5%
EPS Next 3Y7.97%
EPS Next 5YN/A
Revenue Next Year8.52%
Revenue Next 2Y7.3%
Revenue Next 3Y6.57%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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 stable.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 14.36 indicates a correct valuation of R.
R's Price/Earnings ratio is rather cheap when compared to the industry. R is cheaper than 84.21% of the companies in the same industry.
R's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.29.
A Price/Forward Earnings ratio of 11.93 indicates a reasonable valuation of R.
Based on the Price/Forward Earnings ratio, R is valued cheaper than 89.47% of the companies in the same industry.
R is valuated cheaply when we compare the Price/Forward Earnings ratio to 24.44, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.36 | ||
| Fwd PE | 11.93 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of R indicates a rather cheap valuation: R is cheaper than 86.84% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 5.44 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)0.82
EPS Next 2Y3.5%
EPS Next 3Y7.97%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 1.96%, R has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 1.27, R pays a better dividend. On top of this R pays more dividend than 92.11% of the companies listed in the same industry.
R's Dividend Yield is comparable with the S&P500 average which is at 2.28.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
5.2 History
On average, the dividend of R grows each year by 6.10%, which is quite nice.
R has been paying a dividend for at least 10 years, so it has a reliable track record.
R has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.1%
Div Incr Years20
Div Non Decr Years34
5.3 Sustainability
R pays out 27.82% of its income as dividend. This is a sustainable payout ratio.
The dividend of R is growing, but earnings are growing more, so the dividend growth is sustainable.
DP27.82%
EPS Next 2Y3.5%
EPS Next 3Y7.97%
RYDER SYSTEM INC
NYSE:R (1/21/2025, 8:23:03 PM)
After market: 165.56 0 (0%)165.56
+0.15 (+0.09%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners90.24%
Inst Owner Change0.15%
Ins Owners2.4%
Ins Owner Change-0.55%
Market Cap7.00B
Analysts78.57
Price Target166.98 (0.86%)
Short Float %1.38%
Short Ratio2.06
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.96% |
Yearly Dividend2.84
Dividend Growth(5Y)6.1%
DP27.82%
Div Incr Years20
Div Non Decr Years34
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)0.48%
Min EPS beat(2)-1.47%
Max EPS beat(2)2.42%
EPS beat(4)3
Avg EPS beat(4)7.44%
Min EPS beat(4)-1.47%
Max EPS beat(4)22.81%
EPS beat(8)6
Avg EPS beat(8)7.78%
EPS beat(12)10
Avg EPS beat(12)14.89%
EPS beat(16)13
Avg EPS beat(16)21.42%
Revenue beat(2)0
Avg Revenue beat(2)-4.76%
Min Revenue beat(2)-5.74%
Max Revenue beat(2)-3.78%
Revenue beat(4)0
Avg Revenue beat(4)-2.7%
Min Revenue beat(4)-5.74%
Max Revenue beat(4)-0.46%
Revenue beat(8)1
Avg Revenue beat(8)-3.08%
Revenue beat(12)4
Avg Revenue beat(12)7.14%
Revenue beat(16)7
Avg Revenue beat(16)5.73%
PT rev (1m)7%
PT rev (3m)9.02%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-4.36%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.04%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-4.22%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-1.57%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 14.36 | ||
| Fwd PE | 11.93 | ||
| P/S | 0.56 | ||
| P/FCF | N/A | ||
| P/OCF | 3.16 | ||
| P/B | 2.29 | ||
| P/tB | 4.83 | ||
| EV/EBITDA | 5.44 |
EPS(TTM)11.53
EY6.96%
EPS(NY)13.87
Fwd EY8.38%
FCF(TTM)-11.37
FCFYN/A
OCF(TTM)52.45
OCFY31.68%
SpS294.89
BVpS72.26
TBVpS34.29
PEG (NY)N/A
PEG (5Y)0.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.9% | ||
| ROE | 15.64% | ||
| ROCE | 7.08% | ||
| ROIC | 4.84% | ||
| ROICexc | 4.9% | ||
| ROICexgc | 5.58% | ||
| OM | 7.55% | ||
| PM (TTM) | 3.83% | ||
| GM | 40.62% | ||
| FCFM | N/A |
ROA(3y)4.09%
ROA(5y)2.21%
ROE(3y)20.33%
ROE(5y)10.76%
ROIC(3y)4.99%
ROIC(5y)3.62%
ROICexc(3y)5.1%
ROICexc(5y)3.69%
ROICexgc(3y)5.66%
ROICexgc(5y)4.06%
ROCE(3y)7.3%
ROCE(5y)5.31%
ROICexcg growth 3Y53.01%
ROICexcg growth 5Y6.89%
ROICexc growth 3Y49.51%
ROICexc growth 5Y5.44%
OM growth 3Y38.47%
OM growth 5Y0.46%
PM growth 3YN/A
PM growth 5Y0.34%
GM growth 3Y-6.7%
GM growth 5Y-3.01%
F-Score5
Asset Turnover0.76
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.17 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.5 | ||
| Cap/Depr | 157.56% | ||
| Cap/Sales | 21.64% | ||
| Interest Coverage | 2.78 | ||
| Cash Conversion | 83.57% | ||
| Profit Quality | N/A | ||
| Current Ratio | 0.74 | ||
| Quick Ratio | 0.74 | ||
| Altman-Z | 1.41 |
F-Score5
WACC6.95%
ROIC/WACC0.7
Cap/Depr(3y)150.39%
Cap/Depr(5y)138.66%
Cap/Sales(3y)23.15%
Cap/Sales(5y)24.98%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-16.99%
EPS 3YN/A
EPS 5Y17.47%
EPS Q2Q%-3.91%
EPS Next Y-5.59%
EPS Next 2Y3.5%
EPS Next 3Y7.97%
EPS Next 5YN/A
Revenue 1Y (TTM)5.26%
Revenue growth 3Y11.85%
Revenue growth 5Y6.97%
Sales Q2Q%8.34%
Revenue Next Year8.52%
Revenue Next 2Y7.3%
Revenue Next 3Y6.57%
Revenue Next 5YN/A
EBIT growth 1Y5.53%
EBIT growth 3Y54.88%
EBIT growth 5Y7.46%
EBIT Next Year170.52%
EBIT Next 3Y49%
EBIT Next 5YN/A
FCF growth 1Y-214.03%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-2.6%
OCF growth 3Y2.57%
OCF growth 5Y6.51%