Landstar System (NASDAQ:LSTR) Trading Up 7.9% - Time to Buy?

Key Points

• Shares jumped 7.9% to about $161 on Tuesday, but the move occurred on very thin volume (~14,830 shares, roughly 97% below the stock's average), which may indicate limited participation behind the rally.
• The consensus analyst rating is Hold with a $153 target, though JPMorgan and Susquehanna recently raised targets to $162 and $160 respectively; analyst coverage is mostly neutral (1 Strong Buy, 1 Buy, 13 Hold).
• Fundamentals show a $5.44B market cap, low leverage (debt/equity 0.06), solid liquidity (quick ratio 2.01), and a quarterly dividend of $0.40 (1.0% yield, ex-dividend Feb 18), while the stock trades above its 50- and 200-day moving averages.

Landstar System, Inc. (NASDAQ:LSTR - Get Free Report) rose 7.9% during trading on Tuesday . The stock traded as high as $162.01 and last traded at $161.1670. Approximately 14,830 shares traded hands during mid-day trading, a decline of 97% from the average daily volume of 514,914 shares. The stock had previously closed at $149.36.

Analyst Ratings Changes

Several equities analysts have recently commented on the stock. Zacks Research upgraded shares of Landstar System from a "strong sell" rating to a "hold" rating in a research report on Monday, December 8th. JPMorgan Chase & Co. raised their target price on Landstar System from $134.00 to $162.00 and gave the company a "neutral" rating in a research report on Monday, January 12th. Susquehanna boosted their price target on Landstar System from $110.00 to $160.00 and gave the stock a "neutral" rating in a research report on Thursday, January 8th. UBS Group lowered their price target on Landstar System from $149.00 to $147.00 and set a "neutral" rating on the stock in a report on Wednesday, October 29th. Finally, Truist Financial reduced their price objective on shares of Landstar System from $150.00 to $145.00 and set a "hold" rating for the company in a report on Thursday, January 29th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating and thirteen have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus target price of $153.00.

Landstar System Trading Down 0.2%

The stock has a market cap of $5.44 billion, a price-to-earnings ratio of 47.86 and a beta of 0.85. The company has a quick ratio of 2.01, a current ratio of 1.75 and a debt-to-equity ratio of 0.06. The business has a 50-day moving average of $145.46 and a 200-day moving average of $134.98.

Landstar System Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, March 11th. Stockholders of record on Wednesday, February 18th will be issued a dividend of $0.40 per share. The ex-dividend date is Wednesday, February 18th. This represents a $1.60 annualized dividend and a dividend yield of 1.0%. Landstar System's payout ratio is presently 48.34%.

Hedge Funds Weigh In On Landstar System

Hedge funds and other institutional investors have recently made changes to their positions in the business. M&T Bank Corp increased its position in shares of Landstar System by 151,424.4% during the 4th quarter. M&T Bank Corp now owns 6,294,325 shares of the transportation company's stock worth $904,495,000 after purchasing an additional 6,290,171 shares in the last quarter. Boston Partners grew its holdings in shares of Landstar System by 24.1% during the third quarter. Boston Partners now owns 1,761,526 shares of the transportation company's stock worth $216,242,000 after purchasing an additional 341,808 shares during the last quarter. Rivulet Capital LLC acquired a new position in Landstar System during the 3rd quarter worth about $36,645,000. Norges Bank bought a new stake in shares of Landstar System during the second quarter valued at approximately $40,190,000. Finally, Fenimore Asset Management Inc raised its position in Landstar System by 231.3% in the 3rd quarter. Fenimore Asset Management Inc now owns 341,130 shares of the transportation company's stock worth $41,809,000 after purchasing an additional 238,173 shares during the last quarter. 97.95% of the stock is owned by institutional investors.

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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