Yahoo Finance Landstar (LSTR) Up 1% Since Last Earnings Report: Can It Continue?
A month has gone by since the last earnings report for Landstar System (LSTR). Shares have added about 1% in that time frame, underperforming the S&P 500.
Will the recent positive trend continue leading up to its next earnings release, or is Landstar due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.
Landstar Q1 Earnings Top
Landstar first-quarter 2024 earnings per share (EPS) of $1.32 beat the Zacks Consensus Estimate of $1.28 but fell 39.2% year over year. Revenues of $1,171 million outpaced the Zacks Consensus Estimate of $1,119.5 million but declined 18.4% year over year.
Operating income fell 40.8% from the prior-year quarter’s figure to $59.96 million. Total costs and expenses (on a reported basis) decreased 16.6% to $1,114.49 million.
Total revenues in the truck transportation segment — contributing to 91.2% of the top line — amounted to $1,068.93 million, down 19.2% from the year-ago quarter’s figure.
Rail intermodal revenues of $22.69 million decreased 11.5% from the figure recorded in first-quarter 2023.
Revenues in the ocean and air-cargo carrier segments declined 11.5% year over year to $54.07 million.
Other revenues increased 0.4% to $25.34 million.
Liquidity, Dividends & Buyback
At the end of first-quarter 2024, Landstar had cash and cash equivalents of $467.67 million compared with $481.04million recorded at the prior-quarter end. Additionally, long-term debt (excluding current maturities) totaled $38.49 million at the end of the first quarter compared with $43.26 million at the fourth-quarter end.
LSTR’s board of directors has declared a quarterly dividend of 33 cents per share, payable on May 24, 2024, to stockholders of record as of the close of business on May 8.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a downward trend in estimates review.
The consensus estimate has shifted -9.64% due to these changes.
VGM Scores
Currently, Landstar has a great Growth Score of A, though it is lagging a lot on the Momentum Score front with an F. Charting a somewhat similar path, the stock was allocated a grade of D on the value side, putting it in the bottom 40% for this investment strategy.
Overall, the stock has an aggregate VGM Score of C. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending downward for the stock, and the magnitude of these revisions indicates a downward shift. It's no surprise Landstar has a Zacks Rank #4 (Sell). We expect a below average return from the stock in the next few months.
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Landstar System, Inc. (LSTR) : Free Stock Analysis Report
