Ryder Stock Valuation

R
 Stock
  

USD 96.05  3.05  3.28%   

How much is Ryder System worth today? Calculating the true value of any business is not as easy as it may seem. While the market cap of a public entity, such as Ryder System, is its stock price multiplied by the total number of shares outstanding, calculating Ryder System's enterprise value requires a different approach. It uses Ryder System's balance sheet items such as long-term debt, the book value of the preferred stock, minority interest, and other important financials.
As of 11/30/2022, Free Cash Flow is likely to grow to about 145.4 M, while Enterprise Value is likely to drop slightly above 6.8 B.
Ryder System holds a recent Real Value of $99.72 per share. The prevailing price of the company is $96.05. At this time, the company appears to be undervalued. Our model determines the value of Ryder System from analyzing the company fundamentals such as Return On Equity of 30.57 %, shares outstanding of 53.69 M, and Operating Margin of 27.24 % as well as examining its technical indicators and Probability Of Bankruptcy. In general, we support buying undervalued entities and selling overvalued entities since, at some point, asset prices and their ongoing real values will merge together.
  
Ryder System Valuation Module provides a unique way to ballpark how much the company is worth today. It is done using both, our quantitative analysis of the company fundamentals as well as its intrinsic market price estimation to project the real value. We also take into consideration other essential factors such as Ryder System's management style, its c-level domain expertise and tenure, its overall leadership history as well as current capital structure, and future earnings potential.

Ryder Most Recent Valuation Data

Price Book
1.54
EPS Estimate Next Quarter
3.2
Price Sales
0.41
Forward Annual Dividend Yield
0.0269
EBITDA
2.9 B
Dividend Share
2.36
Undervalued
Today 96.05
Please note that Ryder System's price fluctuation is very steady at this time. Calculation of the real value of Ryder System is based on 3 months time horizon. Increasing Ryder System's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Our valuation method for Ryder System is useful when determining the fair value of the Ryder stock, which is usually determined by what a typical buyer is willing to pay for full or partial control of Ryder System. Since Ryder System is currently traded on the exchange, buyers and sellers on that exchange determine the market value of Ryder Stock. However, Ryder System's intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
99.72
Real Value
102.89
Upside
Estimating the potential upside or downside of Ryder System helps investors to forecast how Ryder stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Ryder System more accurately as focusing exclusively on Ryder System's fundamentals will not take into account other important factors:
Earnings
Estimates (5)
LowProjected EPSHigh
8.478.528.60
Details
Hype
Prediction
LowEstimated ValueHigh
90.2393.4096.57
Details
Potential
Annual Dividend
LowIncome Per ShareHigh
1.962.112.26
Details
8 Analysts
Consensus
LowTarget PriceHigh
85.0091.43100.00
Details
Traditionally analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Ryder System's intrinsic value based on its ongoing forecasts of Ryder System's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Ryder System's closest peers. When choosing an evaluation method for Ryder System, ensure it is appropriate for the firm given its current financial situation and market classification. If more than one evaluation category is relevant, we suggest using both methods to arrive at a better estimate.

Ryder System Investments

563.49 Million

Ryder Valuation Drivers Correlation

Many accounts on the financial statements of Ryder System are highly interrelated and sometimes correlated. Consequently, when conducting Ryder's valuation analysis, one should examine all of the accounts reported to obtain a complete picture of its financial situation. We provide a unique feature to present a conventional correlation table purposely composed against different valuation-related drivers of Ryder
Click cells to compare fundamentals

Ryder Valuation Trend

Knowing Ryder System's actual value is paramount for traders to make sound investment determinations. Ryder System's real value is not only important for the investor to make better decisions but also for a more accurate overall view of Ryder System's financial worth over time since having this information enables investors and analysts to forecast the earnings more efficiently. Using both Ryder System's enterprise value as well as its market capitalization is the best way to gauging the value of the company and is usually enough for investors to make market timing descisions.

Ryder Market Cap

Ryder System is currently regarded as top stock in market capitalization category among related companies. Market capitalization of Rental & Leasing Services industry is at this time estimated at about 191.59 Billion. Ryder System holds roughly 5.01 Billion in market capitalization claiming about 2.61% of equities listed under Rental & Leasing Services industry.
Capitalization  Workforce  Total debt  Revenue  Valuation

Ryder System Valuation Ratios as Compared to Competition

Comparative valuation techniques use various fundamental indicators to help in determining Ryder System's current stock value. Our valuation model uses many indicators to compare Ryder System value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Ryder System competition to find correlations between indicators driving Ryder System's intrinsic value. More Info.
Ryder System is currently regarded as top stock in five year return category among related companies. It is currently regarded as top stock in price to earning category among related companies reporting about  35.73  of Price to Earning per Five Year Return. Ryder System Price to Earnings Ratio are relatively stable at the moment as compared to the past year. Ryder System reported last year Price to Earnings Ratio of 17.33. As of 11/30/2022, Earnings Before Interest Taxes and Depreciation Amortization EBITDA is likely to grow to about 1.1 B, while Earnings before Tax are likely to drop slightly above 313.1 M.. Comparative valuation analysis is a catch-all model that can be used if you cannot value Ryder System by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Ryder System's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Ryder System's earnings, one of the primary drivers of an investment's value.
Please note that valuation analysis is one of the essential comprehensive assessments in business. It evaluates Ryder System's worth, which you can determine by considering its current assets, liabilities and future cash flows. The investors' valuation analysis is an important metric that will give you a perspective on different companies. It helps you know the worth of the potential investment in Ryder System and how it compares across the competition.

About Ryder System Valuation

The stock valuation mechanism determines the current worth of Ryder System on a weekly basis. We use both absolute as well as relative valuation methodologies to arrive at the intrinsic value of Ryder System. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Ryder System based exclusively on its fundamental and basic technical indicators. By analyzing Ryder System's financials, quarterly and monthly indicators, and its related drivers such as dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Ryder System's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Ryder System. We calculate exposure to Ryder System's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Ryder System's related companies.
Fiscal Year End
December
Industry
Rental & Leasing Services
Concentration
Trucking
Full Time Employees
42.8 K
Service Category
Road & Rail
Employer Id Number
59-0739250
Last ReportedProjected for 2022
Gross Profit1.4 B1.1 B
Profit Margin 5.37  4.84 
Ryder System's stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether Ryder System's value is low or high relative to the company's performance and growth projections. Determining the market value of Ryder System can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of Ryder System represents a small ownership stake in the entity. As a stockholder of Ryder, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

Ryder System Dividends Analysis For Valuation

As of 11/30/2022, Dividends per Basic Common Share is likely to grow to 1.65, while Payment of Dividends and Other Cash Distributions is likely to drop (113 M). . Ryder System Earnings per Basic Share are relatively stable at the moment as compared to the past year. Ryder System reported last year Earnings per Basic Share of 9.87. As of 11/30/2022, Earnings per Diluted Share is likely to grow to 10.42, while Earning Before Interest and Taxes EBIT is likely to drop slightly above 442.4 M.
Last ReportedProjected for 2022
Payment of Dividends and Other Cash Distributions-104.7 M-113 M
Dividend Yield 0.0265  0.0264 
Dividends per Basic Common Share 1.53  1.65 
There are various types of dividends Ryder System can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Ryder shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Ryder System directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Ryder pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Ryder System by the value of the dividends paid out.

Ryder System Valuation Growth Rates

Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines. Note, investing in growth stocks can be very risky. If the company such as Ryder System does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Quick Ratio1.09
Earnings Quarterly Growth78.20%
Revenue Growth23.40%
Payout Ratio14.54%
Enterprise Value To Ebitda3.21
Earnings Growth87.30%
Enterprise Value To Revenue0.87

Ryder System Current Valuation Indicators

Valuation refers to the process of determining the present value of Ryder System and all of its assets. It can be calculated using a number of techniques. As many analysts who try to value Ryder we look at many different elements of the entity such as Ryder's management, its prospective future earnings, the current market value of the company's assets, as well as its capital structure formation. Ryder System's valuation analysis is also a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Ryder System's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Ryder System, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Ryder System's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Ryder System's worth.
Additionally, take a look at Your Equity Center. You can also try Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.

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When running Ryder System price analysis, check to measure Ryder System's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ryder System is operating at the current time. Most of Ryder System's value examination focuses on studying past and present price action to predict the probability of Ryder System's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Ryder System's price. Additionally, you may evaluate how the addition of Ryder System to your portfolios can decrease your overall portfolio volatility.
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Is Ryder System's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ryder System. If investors know Ryder will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ryder System listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.88
Market Capitalization
4.7 B
Quarterly Revenue Growth YOY
0.23
Return On Assets
0.0539
Return On Equity
0.31
The market value of Ryder System is measured differently than its book value, which is the value of Ryder that is recorded on the company's balance sheet. Investors also form their own opinion of Ryder System's value that differs from its market value or its book value, called intrinsic value, which is Ryder System's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ryder System's market value can be influenced by many factors that don't directly affect Ryder System's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ryder System's value and its price as these two are different measures arrived at by different means. Investors typically determine Ryder System value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ryder System's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.