Ryder System Inc (R) stock analysis

P/E above its 5-year median

Ryder System's P/E of 21.5 is above its own 5-year median of 12.8.

P/E above the industry

Ryder System's P/E of 21.5 is above the Consumer discretionary median of 19.6.

EV/EBITDA against its history

Needs positive EBITDA and price history.

P/B above the industry

Ryder System's price-to-book of 3.62 is above the Consumer discretionary median of 2.00.

Trading above fair value

The share price of $282.27 is above our fair value estimate of $169.42.

Margin of safety under 20%

The price is 66.6% above fair value, so there is no margin of safety.

Revenue growing under 10% a year

Revenue grew 1.8% a year over the last three fiscal years, short of the 10% we look for.

EPS growing under 10% a year

Diluted EPS grew -11.2% a year over the last three fiscal years.

Earnings acceleration

Needs positive net income now, a year ago and five years ago.

Growing faster than the industry

Revenue grew 3.2% over the last twelve months; the Consumer discretionary median is 2.8%.

Guidance raised

Ryder System raised its Full Year 2026 Outlook Total Revenue Growth outlook on Jul 23, 2026.

Gross margin trend

This company does not report gross profit.

Return on equity over 15%

Return on equity was 17.1% over the last twelve months and averaged 19.3% over five years.

Return on invested capital

Needs operating income and invested capital.

Return on equity above the industry

Ryder System's return on equity of 17.1% is above the Consumer discretionary median of 5.6%.

Earnings over 5 years

Needs positive net income five years ago and in the latest year.

Net margin below its 5-year average

Net margin was 4.0% over the last twelve months, against a 5-year average of 4.8%.

Net margin above the industry

Ryder System's net margin of 4.0% is above the Consumer discretionary median of -5.4%.

High debt

Debt is 242% of shareholders' equity, above the 40% we consider low.

Debt falling against equity

Debt to equity fell from 293% five years ago to 242%.

Debt covered by cash flow

Operating cash flow over the last twelve months equals 37.9% of total debt.

Interest coverage

Interest expense is not reported separately.

Short-term assets don't cover short-term debts

Current assets are 0.67 times current liabilities.

Elevated bankruptcy risk

The Altman Z-score is 1.42; above 3 is the safe zone and below 1.8 the distress zone.

Pays a dividend

Ryder System paid dividends worth 1.3% of the share price over the last twelve months.

Yield below Treasuries

The 1.3% yield is below the 4.4% on a 1-year Treasury.

Yield below the top quarter

The top quarter of US dividend payers yield 3.8% or more; Ryder System yields 1.3%.

Dividend not cut

The dividend per share has not fallen by more than 10% in any of the last 10 fiscal years.

Covered by earnings

Dividends take 28.8% of net income.

Covered by free cash flow

Dividends take 15.7% of free cash flow.