Landstar System (NASDAQ:LSTR) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued on Thursday.
According to Zacks, “Landstar System has performed impressively in the first half of the year on the back of an upbeat freight scenario causing a rise in demand for its services. With strong industry fundamentals, the company’s projections for third-quarter are promising. Landstar expects revenues in the range of $1.175-$1.225 billion, higher than $943.4 million reported in the year-ago period. Further, earnings per share of $1.58-$1.64 are predicted in the quarter, subject to some conditions. This compares favorably with earnings per share of $1.01 in third-quarter 2017. Third-quarter 2018 results will be available on Oct 24. However, the company’s high operating expenses are a cause for concern and might hamper bottom line growth going forward. Additionally, the common issue of driver shortage and low truck count in the trucking industry is worrisome for Landstar as it generates maximum revenues from trucking.”
LSTR has been the topic of a number of other research reports. Wells Fargo & Co upgraded shares of Landstar System from a “market perform” rating to an “outperform” rating and cut their target price for the company from $115.65 to $98.00 in a research report on Wednesday, August 22nd. Stifel Nicolaus upgraded shares of Landstar System from a “hold” rating to a “buy” rating and raised their target price for the company from $123.00 to $128.00 in a research report on Monday, July 30th. KeyCorp restated a “buy” rating and issued a $130.00 target price (up previously from $125.00) on shares of Landstar System in a research report on Thursday, July 26th. BidaskClub lowered shares of Landstar System from a “buy” rating to a “hold” rating in a research report on Saturday, September 22nd. Finally, Wolfe Research lowered shares of Landstar System from a “peer perform” rating to an “underperform” rating in a research report on Friday, October 5th. Three equities research analysts have rated the stock with a sell rating, seven have issued a hold rating and six have assigned a buy rating to the company’s stock. Landstar System has a consensus rating of “Hold” and an average price target of $118.42.
Shares of Landstar System stock opened at $106.88 on Thursday. Landstar System has a fifty-two week low of $94.80 and a fifty-two week high of $128.70. The company has a current ratio of 1.82, a quick ratio of 1.82 and a debt-to-equity ratio of 0.10. The company has a market capitalization of $5.01 billion, a price-to-earnings ratio of 28.50, a P/E/G ratio of 1.49 and a beta of 0.87.
Landstar System (NASDAQ:LSTR) last issued its earnings results on Wednesday, July 25th. The transportation company reported $1.51 earnings per share for the quarter, missing analysts’ consensus estimates of $1.53 by ($0.02). Landstar System had a net margin of 5.38% and a return on equity of 31.06%. The company had revenue of $1.18 billion during the quarter, compared to analyst estimates of $1.16 billion. During the same quarter in the prior year, the business earned $0.89 EPS. The business’s quarterly revenue was up 35.9% on a year-over-year basis. Equities analysts anticipate that Landstar System will post 6.07 EPS for the current fiscal year.
In other news, COO Joseph J. Beacom sold 3,000 shares of the firm’s stock in a transaction on Wednesday, September 5th. The shares were sold at an average price of $119.52, for a total transaction of $358,560.00. Following the completion of the transaction, the chief operating officer now owns 33,702 shares of the company’s stock, valued at $4,028,063.04. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.90% of the stock is currently owned by company insiders.
Several hedge funds have recently added to or reduced their stakes in LSTR. BlackRock Inc. raised its stake in shares of Landstar System by 18.0% during the second quarter. BlackRock Inc. now owns 5,021,679 shares of the transportation company’s stock valued at $548,369,000 after acquiring an additional 764,662 shares during the last quarter. Millennium Management LLC raised its stake in shares of Landstar System by 157.3% during the first quarter. Millennium Management LLC now owns 531,453 shares of the transportation company’s stock valued at $58,274,000 after acquiring an additional 324,924 shares during the last quarter. Smith Asset Management Group LP raised its stake in Landstar System by 134.9% during the second quarter. Smith Asset Management Group LP now owns 459,476 shares of the transportation company’s stock worth $50,195,000 after buying an additional 263,884 shares during the last quarter. Hennessy Advisors Inc. bought a new position in Landstar System during the third quarter worth $28,755,000. Finally, Victory Capital Management Inc. raised its stake in Landstar System by 9.4% during the second quarter. Victory Capital Management Inc. now owns 1,529,354 shares of the transportation company’s stock worth $167,005,000 after buying an additional 130,937 shares during the last quarter. 97.30% of the stock is owned by hedge funds and other institutional investors.
Landstar System Company Profile
Landstar System, Inc provides integrated transportation management solutions in the United States, Canada, Mexico, and internationally. It operates through two segments, Transportation Logistics and Insurance. The Transportation Logistics segment offers a range of transportation services, including truckload and less-than-truckload transportation, rail intermodal, air cargo, ocean cargo, expedited ground and air delivery of time-critical freight, heavy-haul/specialized, U.S.-Canada and U.S.-Mexico cross-border, intra-Mexico, intra-Canada, project cargo, and customs brokerage, as well as offers transportation services to other transportation companies, including third party logistics and less-than-truckload service providers.
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