Business Growth For The Quarter Ended 2020-12-31
Ryder System Inc does not report a large amount of sales growth, which is not useful. With that, shareholders will appreciate R’s gross profit ratio of 15%. Last year, the company showed sales of $8420. 091 million.
R does not report huge EBITDA growth. In spite of that, the company’s EBITDA ratio is positive and equal to 28%. Taking this into account, many shareholders will most likely have a look at R. Administrative expenses increased a 1%, which reduces R’s EBITDA. I also appreciate that net income grew a 358%.
Balance Sheet As Of 2020-12-31
With an assets to liabilities ratio of more than 1x, R’s balance sheet looks stable. In Q4, the total amount of assets was equal to $12931 million, with total liabilities of $10676 million. The balance sheet shows deferred revenue of $263 million, which I appreciate. Deferred revenue represents a prepayment by R’s clients that have yet to be delivered. In short, Ryder System Inc receives cash in advance of it being earned.
Investors will perhaps carefully study R’s financial obligations. R’s short term debt is more significant than the cash in hand. As for me, I think that Ryder System Inc may have to negotiate its debt soon. Besides, the price to book value is below 1. 5x, which means that R is undervalued. Ryder System Inc has $12931 million in total assets, and $10676 million in total liabilities.
Quarterly Results For The Quarter Ended 2020-12-31
In Q4 R reported quarterly sales of $2212 million, and gross profit of $391 million. The gross profit ratio was equal to 17%. Furthermore, R is profitable, which is beneficial. Ryder System Inc released positive quarterly EBITDA of $674. 879 million. With this in mind, either you buy shares or not, R is a company to be followed carefully. R also showed positive net income of $25. 628 million. Taking this into account, many money managers will most likely have a look at R.
Valuation and Risks
Ryder System Inc has a market capitalization of $4151 million. The enterprise value is equal to $9793 million. With forward sales of $8420 million, R sells at less than 2x forward sales. I believe that market participants will most likely believe that Ryder System Inc is cheap.
Institutional investors Jackson, Grant Investment Advisers, Inc. , Virtu Financial LLC, and Strategic Wealth Partners, Ltd. are Ryder System Inc investors.
The company shows a beta of 2. 11747. It is more very significant than 1, which means that the stock price can show substantial volatility. R’s stock price volatility is larger than that of the market. In short, if you are not a volatility expert don’t trade Ryder System Inc.
The following R’s insiders acquired or sold equity recently.R’s traders will most likely study this information:
+In 2021-04-05, officer: EVP & CFO PARKER SCOTT T sold equity of R.
+In 2021-04-01, director NORD DAVID G acquired stock of R.
+In 2021-02-24, officer: President, Global FMS Diez John J. sold equity of R.
Ryder System, Inc. provides transportation and supply chain management solutions worldwide. The company operates through three segments: Fleet Management Solutions (FMS), Supply Chain Solutions (SCS), and Dedicated Transportation Solutions (DTS).
If you see an error, please contact the editor. We don’t own R’s shares, and this is our opinion. We do not offer a recommendation to buy or sell any stock.