Ryder System (R): Valuation Check After Bullish Analyst Calls Fuel Strong Share Price Momentum

Ryder System (R) has been climbing on a wave of upbeat Wall Street coverage, as several major firms express confidence in its outlook, even while recent boardroom changes remain more of a background governance story. See our latest analysis for Ryder System. Those upbeat calls appear to be landing with investors, with Ryder’s share price at $195.18 after a 16.01 percent 30 day share price return and a powerful 253.31 percent five year total shareholder return, suggesting momentum is still building despite planned leadership transitions. If Ryder’s run has you thinking about where else operational excellence might be rewarded, it could be worth exploring fast growing stocks with high insider ownership. With shares sitting just below Wall Street targets after a powerful multi year rally and double digit earnings growth, the key question now is whether Ryder is still mispriced, or if markets are already baking in the next leg of expansion. Most Popular Narrative Narrative: 6.6% Undervalued Ryder’s most followed narrative sees fair value modestly above the current $195.18 share price, framing upside as disciplined rather than speculative. A transformed business model built on high margin, multi year contracts and disciplined pricing combined with significant operating cash flow and a strong balance sheet provides Ryder with the capital flexibility to fund organic growth, strategic acquisitions, and shareholder returns, creating long term earnings growth potential. Read the complete narrative. Curious how steady mid single digit growth, firmer margins, and a lower future earnings multiple can still support upside from here? The full narrative unpacks the math behind that call, including how long term contracts and share count moves reshape Ryder’s earnings power. Result: Fair Value of $208.90 (UNDERVALUED) Have a read of the narrative in full and understand what's behind the forecasts. However, ongoing freight market softness and heavy fleet investment needs could pressure margins and cash flows and challenge the idea that steady compounding is a given. Find out about the key risks to this Ryder System narrative. Build Your Own Ryder System Narrative If you see the story differently or want to stress test the assumptions with your own inputs, you can build a tailored view in minutes: Do it your way. A great starting point for your Ryder System research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision. Ready for your next investment move? Do not stop with one strong idea. Use the Simply Wall Street Screener to uncover fresh opportunities other investors may overlook and keep your edge sharp. Capture potential mispricings by scanning these 902 undervalued stocks based on cash flows that could offer stronger upside based on their cash flow profiles. Capitalize on powerful trends by targeting these 24 AI penny stocks positioned to benefit from the rapid adoption of artificial intelligence. Lock in dependable income streams by focusing on these 10 dividend stocks with yields > 3% that aim to balance yield with underlying business quality. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.Mobile Infrastructure for Defense and DisasterThe next wave in robotics isn't humanoid. Its fully autonomous towers delivering 5G, ISR, and radar in under 30 minutes, anywhere.Get the investor briefing before the next round of contractsSponsored On Behalf of CiTech