Landstar System, Inc. (LSTR) Stock Analysis
Verdict: AVOID
Surging insurance claims and persistent freight softness erode earnings, leaving a 31x P/E valuation vulnerable despite a net-cash balance sheet.
Investment score: 38/100
Analysis as of
Is Landstar System, Inc. stock worth reviewing? The TradeMates thesis
The TradeMates model rates Landstar System as AVOID due to deteriorating margins, repeated earnings misses from insurance inflation, and an unsupportive 31.6x P/E valuation.
7-factor investment score
- Valuation: 40/100 (weight 20%)
- Financial Health: 55/100 (weight 15%)
- Technical Momentum: 25/100 (weight 15%)
- Earnings Quality: 20/100 (weight 15%)
- Insider Sentiment: 35/100 (weight 10%)
- Analyst Consensus: 50/100 (weight 10%)
- Risk-Adjusted Return: 40/100 (weight 15%)
Landstar System, Inc. opportunities and risks
What speaks for LSTR
- Freight rate recovery in late 2026/2027 could boost revenue past $6.37B estimate
What speaks against LSTR
- Insurance and claims inflation compressing operating margins
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| LSTR | 31.6x | 1.0x | 19.3x | 15.3% | 3.0% | 3.1% |
| R | 22.1x | 0.8x | 5.3x | 18.7% | 4.0% | 8.6% |
| UHAL | 311.1x | 1.7x | 10.3x | 49.7% | 0.8% | 0.1% |
| KNX | 66.1x | 1.3x | 11.1x | 25.3% | 1.9% | 10.7% |
| SAIA | 33.9x | 2.7x | 15.1x | 16.0% | 8.0% | 2.9% |
| SNDR | 36.5x | 0.9x | 8.1x | 13.0% | 2.4% | 3.9% |
| Peer median | 36.5x | 1.3x | 10.3x | 18.7% | 2.4% | 3.9% |
Frequently asked questions about Landstar System, Inc. (LSTR)
Is LSTR stock a good investment?
The TradeMates model rates Landstar System, Inc. as AVOID with an investment score of 38/100. The TradeMates model rates Landstar System as AVOID due to deteriorating margins, repeated earnings misses from insurance inflation, and an unsupportive 31.6x P/E valuation. This is algorithmic model output, not personal investment advice.
Is LSTR stock a buy?
The TradeMates model verdict for LSTR is AVOID with an investment score of 38/100. Treat this as a model signal to review, not a personal buy recommendation.