📊 LSTR Key Takeaways
Is Landstar System Inc. (LSTR) a Good Investment?
Landstar System operates a stable, debt-free trucking business with fortress-like financial health and strong free cash flow generation ($72.4M), but faces concerning headwinds with zero revenue growth, sharp EPS decline (-39.9% YoY), and weak returns on capital (ROE 4.9%). The balance sheet provides downside protection, but fundamental growth stagnation and deteriorating profitability limit upside potential.
Landstar’s asset-light model produces solid cash generation and returns with a pristine, debt-free balance sheet and ample liquidity. However, growth is stalled with flat revenue and net income, and a sharp EPS decline raises questions about dilution or non-recurring factors. Near-term upside likely hinges on improving freight demand and margin stability.
Landstar System Inc. Key Strengths (LSTR)
- Zero long-term debt with conservative balance sheet ($799M equity, $353.3M cash)
- Strong free cash flow generation of $72.4M (6.2% FCF margin) despite thin operational margins
- Healthy liquidity metrics (1.88x current ratio) with no financial distress risk
- Debt-free balance sheet with substantial cash and strong liquidity
- Consistent free cash flow with low capex intensity (4.5% FCF margin)
- Healthy profitability and returns (ROE 14.5%) and strong interest coverage
LSTR Stock Risks: Landstar System Inc. Investment Risks
- Flat revenue growth (0% YoY) indicating stagnant market demand or competitive pressures in trucking sector
- Significant EPS decline of -39.9% YoY despite flat revenues, suggesting margin compression and profitability deterioration
- Weak returns on capital (ROE 4.9%, ROA 2.5%, net margin 3.4%) indicate inefficient capital deployment and limited growth reinvestment opportunities
- Stalled top- and bottom-line growth (0% YoY)
- EPS down sharply YoY, suggesting dilution or one-offs
- Cyclical freight exposure and competitive pressure on already thin margins
Key Metrics to Watch
- Revenue growth trajectory and operating margin recovery
- Return on equity trend and capital allocation discipline
- Free cash flow sustainability and share buyback/dividend policy under stagnation
- Operating margin
- Free cash flow margin
Landstar System Inc. (LSTR) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Landstar System Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.
LSTR Profit Margin, ROE & Profitability Analysis
LSTR vs Automotive Sector: How Landstar System Inc. Compares
How Landstar System Inc. compares to Automotive sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Landstar System Inc. Stock Overvalued? LSTR Valuation Analysis 2026
Based on fundamental analysis, Landstar System Inc. has mixed fundamental signals relative to the Automotive sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Landstar System Inc. Balance Sheet: LSTR Debt, Cash & Liquidity
LSTR Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Landstar System Inc.'s revenue has declined by 19% over the 5-year period, indicating business contraction. The most recent EPS of $7.36 reflects profitable operations.
LSTR Revenue Growth, EPS Growth & YoY Performance
LSTR Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.2B | $29.8M | $0.85 |
| Q3 2025 | $1.2B | $19.4M | $0.56 |
| Q2 2025 | $1.2B | $41.9M | $1.20 |
| Q1 2025 | $1.2B | $29.8M | $0.85 |
| Q3 2024 | $1.2B | $50.0M | $1.41 |
| Q2 2024 | $1.2B | $52.6M | $1.48 |
| Q1 2024 | $1.2B | $47.1M | $1.32 |
| Q3 2023 | $1.3B | $61.7M | $1.71 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Landstar System Inc. Dividends, Buybacks & Capital Allocation
LSTR SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Landstar System Inc. (CIK: 0000853816)
📋 Recent SEC Filings
❓ Frequently Asked Questions about LSTR
What is the AI rating for LSTR?
Landstar System Inc. (LSTR) has a Combined AI Grade of B from Claude (B) and ChatGPT (B) with 75% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are LSTR's key strengths?
Claude: Zero long-term debt with conservative balance sheet ($799M equity, $353.3M cash). Strong free cash flow generation of $72.4M (6.2% FCF margin) despite thin operational margins. ChatGPT: Debt-free balance sheet with substantial cash and strong liquidity. Consistent free cash flow with low capex intensity (4.5% FCF margin).
What are the risks of investing in LSTR?
Claude: Flat revenue growth (0% YoY) indicating stagnant market demand or competitive pressures in trucking sector. Significant EPS decline of -39.9% YoY despite flat revenues, suggesting margin compression and profitability deterioration. ChatGPT: Stalled top- and bottom-line growth (0% YoY). EPS down sharply YoY, suggesting dilution or one-offs.
What is LSTR's revenue and growth?
Landstar System Inc. reported revenue of $1.2B.
Does LSTR pay dividends?
Landstar System Inc. pays dividends, with $81.7M distributed to shareholders in the trailing twelve months.
Where can I find LSTR SEC filings?
Official SEC filings for Landstar System Inc. (CIK: 0000853816) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is LSTR's EPS?
Landstar System Inc. has a diluted EPS of $1.16.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is LSTR's fundamental grade?
Based on our AI fundamental analysis in May 2026, Landstar System Inc. has a B grade with 75% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is LSTR stock overvalued or undervalued?
Valuation metrics for LSTR: ROE of 4.9% (sector avg: 12%), net margin of 3.4% (sector avg: 6%). Compare these metrics with sector averages to assess valuation.
What is LSTR's AI grade for 2026?
Our dual AI analysis gives Landstar System Inc. a combined B grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is LSTR's free cash flow?
Landstar System Inc.'s operating cash flow is $78.2M, with capital expenditures of $5.8M. FCF margin is 6.2%.
How does LSTR compare to other Automotive stocks?
Vs Automotive sector averages: Net margin 3.4% (avg: 6%), ROE 4.9% (avg: 12%), current ratio 1.88 (avg: 1.2).