Landstar System, Inc.

Landstar System, Inc.

LSTRยทNASDAQ

$215.25

+0.19%
IndustrialsIntegrated Freight & Logistics

Landstar System, Inc. provides integrated transportation management solutions in the United States, Canada, Mexico, and internationally. The company 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, such as third party logistics, small package and less-than-truckload service providers. It provides truck services through dry and specialty vans of various sizes, unsided/platform trailers, temperature-controlled vans, and containers; rail intermodal services through contracts with domestic and Canadian railroads; and air and ocean services through contracts with domestic and international airlines and ocean lines. This segment serves the automotive parts and assemblies, consumer durables, building products, metals, chemicals, foodstuffs, heavy machinery, retail, electronics, and military equipment industries. The Insurance segment reinsures certain risks of the company's independent contractors. The company markets its services through independent commission sales agents and third party capacity providers. Landstar System, Inc. was founded in 1968 and is headquartered in Jacksonville, Florida.

At a Glance

Live Snapshot
Market Cap$7.30B
EPS3.3100
P/E Ratio65.03
Earnings Date07/28/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is elevated (P/E 65.0).

Valuation inputs: P/E 65.0, earnings yield +1.5%, momentum +0.2%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is acceptable (ROE +14.4%, ROIC +12.7%).

Profitability stack: net margin +2.4%, ROE +14.4%, ROIC +12.7%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Risk profile is balanced but has notable pressure points to monitor.

Risk factors: liabilities/assets +51.4%, momentum +0.2%, net margin +2.4%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Landstar System, Inc. Market vs Earnings Trajectory

LSTR ยท NASDAQ

Loading price and EPS data...

Landstar System, Inc.

Landstar System, Inc. Fair Value Envelope

LSTR ยท NASDAQ

Our analysis suggests that LSTR has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $215.25, this represents a potential HIDDEN relative to our calculated worth for Landstar System, Inc..

Intrinsic Value
Current Price: $215.25
3Y-55.0%
5Y-67.0%
10Y-47.0%
3Y-11.0%
5Y-27.0%
10Y+3.0%
3Y-57.0%
5Y-70.0%
10Y-55.0%
3Y-43.0%
5Y-19.0%
10Y-25.0%
3Y-42.0%
5Y-15.0%
10Y-25.0%
3Y-9.0%
5Y-20.0%
10Y+18.0%
Landstar System, Inc.

Landstar System, Inc. Profit Bridge

LSTR ยท NASDAQ
Revenue4.74B
Cost of Goods Sold (4.12B)
Gross Profit621.63M
Operating Expenses (451.57M)
Operating Income170.06M
Interest Expense (996.00K)
Other Income/Expense-19.48M
Pretax Income150.58M
Income Tax (35.57M)
Net Income115.01M
Net Income
115.01M

Profitability Analysis

Gross Margin

13.1%

Thin margins leave little room for error. Cost management and pricing strategy are critical.

Operating Margin

3.6%

Minimal operating profit suggests high operating costs or pricing challenges. Scalability is concerning.

Net Profit Margin

2.4%

Minimal profitability after all expenses. Limited financial flexibility for reinvestment or shareholder returns.

Effective Tax Rate

23.6%

Moderate tax rate typical for most corporations. Represents standard tax burden on profits.

Profitability Insight

Efficient profit conversion: Minimal margin compression from gross to net indicates lean operations and favorable tax/interest environment.

13.10%
Gross Profit Margin
3Y-38.0%
5Y-35.0%
10Y-39.0%
3.58%
Operating Profit Margin
3Y-45.0%
5Y-53.0%
10Y-51.0%
2.42%
Net Profit Margin
3Y-51.0%
5Y-58.0%
10Y-56.0%
14.45%
Return on Equity
3Y-46.0%
5Y-70.0%
10Y-54.0%
7.03%
Return on Assets
3Y-52.0%
5Y-68.0%
10Y-56.0%
12.67%
Return on Invested Capital
3Y-41.0%
5Y-64.0%
10Y-49.0%
LSTR

Landstar System, Inc. Cash Conversion Engine

LSTR ยท NASDAQ
Net Income115.01M
Depreciation & Amortization46.39M
Stock-Based Compensation6.00M
Change in Working Capital7.64M
Others47.20M
Capital Expenditures-9.88M
Free Cash Flow215.00M

Cash Flow Quality Analysis

FCF Conversion Rate

186.9%

Excellent cash generation. The company converts earnings to cash at or above 100%, indicating high-quality earnings.

CapEx Intensity

4.4%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

-15.9%

Significant FCF decline raises concerns. Urgent review needed of operational performance and capital allocation.

Working Capital Impact

+$7.64M

Working capital inflow boosted cash flow. Efficient management of receivables, inventory, and payables contributing positively.

Cash Flow Quality Insight

Asset-light with strong cash conversion: Low capital requirements combined with efficient cash generation creates significant shareholder value through dividends, buybacks, or strategic investments.

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Landstar System, Inc. Funding & Solvency Profile

LSTR ยท NASDAQ
Cash & Cash Equivalents353.25M
Net Receivables692.02M
Inventory0.00
Other Current Assets80.63M
Total Current Assets1 B
Property, Plant & Equipment255.74M
Goodwill & Intangible Assets34.01M
Long-Term Investments0.00
Other Non-Current Assets128.85M
Total Non-Current Assets385 M
Total Assets
1.60B

Financial Health Analysis

Current Ratio

1.88x

Strong liquidity. The company has adequate resources to meet short-term liabilities.

Debt-to-Equity Ratio

1.01x

Elevated leverage. Debt exceeds equity, which amplifies both gains and risks. Monitor debt servicing ability.

Working Capital

553 M

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

74% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

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Landstar System, Inc. Street Expectations Map

LSTR ยท NASDAQ

Wall Street analysts project that LSTR stock may decline over the coming 12 months. The consensus 1-year price target stands at 170.75, with estimates ranging from a low of 135.00 to a high of 195.00.

Lowest Target
135.00
-37.28%
Consensus Target
170.75
-20.67%
Highest Target
195.00
-9.41%

The consensus 1-year price target stands at 170.75, with estimates ranging from a low of 135.00 to a high of 195.00.

Analyst Consensus Analysis

Upside Potential

-20.7%

Significant downside risk. Stock trading well above analyst consensus suggests elevated valuation concerns and potential correction.

Analyst Agreement

35.1% spread

Good consensus alignment. Moderate target spread reflects general agreement on value drivers with some variance in assumptions.

Risk-Reward Profile

0.25x

Unfavorable risk-reward. Downside risk exceeds upside potential. Consider defensive positioning or alternative opportunities.

Analyst Conviction

Low

Bearish or uncertain outlook. Limited upside or poor consensus suggests challenges ahead or fundamental concerns.

Market Sentiment Insight

Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.

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Landstar System, Inc. Insider Positioning

LSTR ยท NASDAQ

During the last 12 months, there has been no insider trading activity reported for LSTR.

3 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

No selling activity

Insider Activity Analysis

Net Insider Sentiment

Neutral

No insider trading activity reported. This could indicate blackout periods, lack of conviction, or regulatory restrictions.

Insider Participation

No Activity

No insider trading activity reported from any insiders in the past year.

1.53%
Dividend Yield
461%
3Y+885.0%
5Y+1070.0%
10Y+1032.0%
ย 

lstr Dividend History

LSTR
10Y CAGR +10%
Latest $0.4
Annual $4
5 year growth trend
Last Period: +0%