Landstar System (NASDAQ:LSTR) Shares Gap Down – Should You Sell?

Landstar System, Inc. (NASDAQ:LSTR) gapped down prior to trading on Friday . The stock had previously closed at $207.97, but opened at $198.90. Landstar System shares last traded at $199.7920, with a volume of 29,635 shares trading hands.

Wall Street Analyst Weigh In

LSTR has been the subject of a number of research analyst reports. Robert W. Baird raised their target price on Landstar System from $195.00 to $225.00 and gave the company an “outperform” rating in a report on Wednesday, June 17th. JPMorgan Chase & Co. boosted their price target on shares of Landstar System from $161.00 to $179.00 and gave the stock a “neutral” rating in a research note on Wednesday, April 29th. UBS Group increased their price target on shares of Landstar System from $147.00 to $185.00 and gave the stock a “neutral” rating in a research report on Wednesday, April 29th. Truist Financial raised their price objective on shares of Landstar System from $190.00 to $205.00 and gave the company a “hold” rating in a research note on Wednesday, July 15th. Finally, Wall Street Zen upgraded shares of Landstar System from a “hold” rating to a “buy” rating in a report on Saturday, July 4th. One equities research analyst has rated the stock with a Strong Buy rating, two have assigned a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Landstar System has an average rating of “Hold” and a consensus target price of $192.42.

Landstar System Stock Performance

The company has a debt-to-equity ratio of 0.05, a current ratio of 1.88 and a quick ratio of 1.88. The company has a market capitalization of $6.83 billion, a price-to-earnings ratio of 55.50 and a beta of 0.89. The stock has a 50 day simple moving average of $207.69 and a two-hundred day simple moving average of $176.92.

Landstar System (NASDAQ:LSTR) last posted its earnings results on Tuesday, April 28th. The transportation company reported $1.16 earnings per share for the quarter, topping the consensus estimate of $1.11 by $0.05. The firm had revenue of $1.17 billion during the quarter, compared to analysts’ expectations of $1.16 billion. Landstar System had a return on equity of 19.49% and a net margin of 2.62%.The firm’s revenue was up 1.6% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.95 earnings per share. As a group, analysts anticipate that Landstar System, Inc. will post 5.73 earnings per share for the current year.

Landstar System Dividend Announcement

The business 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 dividend on an annualized basis and a yield of 0.8%. Landstar System’s dividend payout ratio (DPR) is presently 44.20%.

Landstar System announced that its Board of Directors has authorized a stock repurchase program on Tuesday, April 28th that authorizes the company to buyback 1,115,195,000,000 shares. This buyback authorization authorizes the transportation company to buy up to 3.3% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling at Landstar System

In other Landstar System news, CFO James P. Todd sold 1,200 shares of Landstar System stock in a transaction that occurred on Monday, June 15th. The stock was sold at an average price of $218.17, for a total transaction of $261,804.00. Following the transaction, the chief financial officer owned 15,122 shares of the company’s stock, valued at $3,299,166.74. The trade was a 7.35% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director Diana M. Murphy sold 11,246 shares of Landstar System stock in a transaction on Friday, June 5th. The shares were sold at an average price of $221.28, for a total transaction of $2,488,514.88. Following the completion of the transaction, the director directly owned 18,853 shares in the company, valued at $4,171,791.84. The trade was a 37.36% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Corporate insiders own 0.74% of the company’s stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in LSTR. Integrated Wealth Concepts LLC boosted its holdings in Landstar System by 9.8% in the 1st quarter. Integrated Wealth Concepts LLC now owns 3,767 shares of the transportation company’s stock valued at $566,000 after purchasing an additional 336 shares in the last quarter. Goldman Sachs Group Inc. boosted its stake in shares of Landstar System by 57.1% in the first quarter. Goldman Sachs Group Inc. now owns 138,009 shares of the transportation company’s stock valued at $20,729,000 after buying an additional 50,142 shares in the last quarter. Empowered Funds LLC boosted its stake in shares of Landstar System by 38.3% in the first quarter. Empowered Funds LLC now owns 4,687 shares of the transportation company’s stock valued at $704,000 after buying an additional 1,298 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC grew its holdings in Landstar System by 13.3% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 142,341 shares of the transportation company’s stock worth $21,380,000 after acquiring an additional 16,698 shares during the period. Finally, Geneos Wealth Management Inc. grew its holdings in Landstar System by 132.7% during the first quarter. Geneos Wealth Management Inc. now owns 249 shares of the transportation company’s stock worth $37,000 after acquiring an additional 142 shares during the period. 97.95% of the stock is currently owned by institutional investors and hedge funds.

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.