Landstar System (NASDAQ:LSTR) Shares Down 3.9% on Insider Selling

Key Points

• Landstar System shares fell 3.9% after insider selling, with trading volume far below normal during the session. The stock slipped to an intraday low of $209.14 after closing at $219.27 the previous day.
• CFO James P. Todd sold 1,200 shares at an average price of $218.17, totaling about $261,804. After the transaction, he still held 15,122 shares valued at roughly $3.3 million.
• Analysts remain cautious on the stock, with a consensus rating of “Hold” and an average price target of $185.91. Landstar recently beat earnings estimates, reported quarterly revenue of $1.17 billion, and pays a quarterly dividend of $0.40 per share.

Landstar System, Inc. (NASDAQ:LSTR - Get Free Report) shares traded down 3.9% during mid-day trading on Wednesday following insider selling activity. The company traded as low as $209.14 and last traded at $210.7150. 23,847 shares were traded during mid-day trading, a decline of 95% from the average session volume of 528,402 shares. The stock had previously closed at $219.27.

Specifically, CFO James P. Todd sold 1,200 shares of Landstar System stock in a transaction that occurred on Monday, June 15th. The shares were sold at an average price of $218.17, for a total transaction of $261,804.00. Following the sale, the chief financial officer directly owned 15,122 shares of the company's stock, valued at approximately $3,299,166.74. The trade was a 7.35% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink.

Analyst Upgrades and Downgrades

Several equities analysts have commented on LSTR shares. Wall Street Zen downgraded Landstar System from a "buy" rating to a "hold" rating in a research report on Saturday, May 30th. Stifel Nicolaus raised their price target on shares of Landstar System from $147.00 to $175.00 and gave the stock a "hold" rating in a report on Wednesday, April 29th. Truist Financial upped their price objective on shares of Landstar System from $145.00 to $190.00 and gave the company a "hold" rating in a research note on Wednesday, April 29th. Morgan Stanley increased their price objective on shares of Landstar System from $135.00 to $145.00 and gave the stock an "equal weight" rating in a research report on Monday, May 11th. Finally, UBS Group lifted their target price on shares of Landstar System from $147.00 to $185.00 and gave the stock a "neutral" rating in a research note on Wednesday, April 29th. Two analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company's stock. According to MarketBeat, Landstar System has an average rating of "Hold" and a consensus target price of $185.91.

Landstar System Stock Performance

The company has a 50-day simple moving average of $189.82 and a two-hundred day simple moving average of $163.95. The company has a quick ratio of 1.88, a current ratio of 1.88 and a debt-to-equity ratio of 0.05. The firm has a market cap of $7.14 billion, a PE ratio of 58.15 and a beta of 0.88.

Landstar System (NASDAQ:LSTR - Get Free Report) last posted its quarterly earnings data on Tuesday, April 28th. The transportation company reported $1.16 EPS for the quarter, beating the consensus estimate of $1.11 by $0.05. The business had revenue of $1.17 billion for the quarter, compared to the consensus estimate of $1.16 billion. Landstar System had a return on equity of 19.49% and a net margin of 2.62%.Landstar System's revenue for the quarter was up 1.6% on a year-over-year basis. During the same quarter in the prior year, the business earned $0.95 earnings per share. As a group, equities research analysts forecast that Landstar System, Inc. will post 5.57 earnings per share for the current year.

Landstar System Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 9th. Shareholders of record on Tuesday, May 19th were issued a dividend of $0.40 per share. The ex-dividend date of this dividend was Tuesday, May 19th. This represents a $1.60 annualized dividend and a yield of 0.8%. Landstar System's dividend payout ratio is 44.20%.

Landstar System announced that its Board of Directors has approved a share buyback plan on Tuesday, April 28th that allows the company to buyback 1,115,195,000,000 outstanding shares. This buyback authorization allows the transportation company to purchase up to 3.3% of its stock through open market purchases. Stock buyback plans are generally a sign that the company's management believes its stock is undervalued.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the stock. First Citizens Bank & Trust Co. raised its position in shares of Landstar System by 1.5% in the first quarter. First Citizens Bank & Trust Co. now owns 4,710 shares of the transportation company's stock worth $755,000 after buying an additional 68 shares in the last quarter. Petros Family Wealth LLC grew its stake in Landstar System by 4.9% in the 1st quarter. Petros Family Wealth LLC now owns 1,548 shares of the transportation company's stock worth $248,000 after buying an additional 73 shares in the last quarter. Vestmark Advisory Solutions Inc. increased its holdings in shares of Landstar System by 0.4% in the 3rd quarter. Vestmark Advisory Solutions Inc. now owns 20,585 shares of the transportation company's stock worth $2,523,000 after buying an additional 78 shares during the last quarter. CIBC Private Wealth Group LLC raised its position in shares of Landstar System by 29.5% during the 4th quarter. CIBC Private Wealth Group LLC now owns 342 shares of the transportation company's stock valued at $49,000 after buying an additional 78 shares in the last quarter. Finally, SkyView Investment Advisors LLC lifted its holdings in shares of Landstar System by 1.4% during the 4th quarter. SkyView Investment Advisors LLC now owns 6,388 shares of the transportation company's stock worth $918,000 after acquiring an additional 89 shares during the last quarter. Institutional investors own 97.95% of the company's stock.

Landstar System Company Profile

Landstar System, Inc provides integrated transportation management solutions through a network of independent agents and third-party capacity providers. The company specializes in truckload brokerage, intermodal, air and ocean freight, expedited and heavy-haul services, along with value-added offerings such as cargo insurance, customs brokerage and supply chain management. Landstar's proprietary technology platform enables real-time load matching, shipment tracking and data analytics to optimize fleet utilization and improve customer service.

Founded in 1968 and headquartered in Jacksonville, Florida, Landstar pioneered an asset-light brokerage model that has evolved into a global logistics operation.

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