Landstar System, Inc. (LSTR)
A non-asset based transportation services company, providing transportation capacity & related transportation services to shippers throughout the United States & to a lesser extent in Canada, & between the United States, Canada & Mexico & other countries.
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industry has been beaten down but as inventories are depleted, freight will begin to move move. asset light company comparable to competitors as drivers are owner-operators. good fundamentals in place and company paid down substantial debt recently while still leaving good cash flow available
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Little downside, presuming stable oil prices. Yes, that's a big presumption.
Anyway, an analyst said today he likes it along with JBHT. This has the lower PE.
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from WF Advisors Focus Portfolio from 7/28/09
5yr EPS CAGR > 10%
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Trucking and transportation are in dire straights... Yes fuel prices have come down but so has the economy.. Looking for a short term collapse next yr or so.
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transportation sector is strong
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overpriced.
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canslim screener
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Transportation companies will have pricing power.
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A recessions a coming this summer and high oil prices are not going away since the falling dollar is to blame, and continued inflation is not going to bring the value of the dollar up any time soon. Burnanke was not helping this country by bailing out the crust of American society. Also, Bush's stimulus package didn't help the upward inflationary pressure that is killing this countries middle class. Sorry about my rant but anyway my point is to sell trucking since rail is about to take over from the high price of fuel.
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no matter what fuel costs freight still needs to go places. That means the costs will get passed on to the consumer. The company that can transport with the greatest effiency should do well.
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own no equipment like most trk lines so everything goes to bottom line
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One of my favorite stocks. Can't beat the business model.
http://stockmarketbeat.com/blog1/2007/07/15/the-week-ahead-3/
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LSTR makes best use of the internet of any of the trucking companies. Makes best use of independent truckers via the internet. This holds capital costs down.
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Keep on trucking!
I just rechecked the return on equity for LSTR. It has increased to almost 50%. This company has a phenomenal long term growth rate in earnings, and they have reduced the outstanding shares somewhat. Plus, lower gas prices have to show up in the bottom line somewhere sometime. On the minus side, I do not care for the debt level. Still, it is not out of the question. Hmmm....there is a lot to like here, especially since it is currently selling at about half the intrinsic value. Truckers are out of fashion right now. But why? Don't look at me! I own several trucking stocks!
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Generally negative sentiment for truckers combined with LSTR's recent warning is likely taking them lower in the nearterm. Of all the truckers I follow, I think the one I am most interested in going long in is KNX and LSTR next but not at these prices and not with 4% YOY declines in shipments for truckers. I am also more of a fan longterm of rails which makes me more selective with the truckers.
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Top CAPS stock and a play on the book a Random Walk down Wall Street.
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Non-Asset based trucking company. They do the logistics and arrange shipping without owning the trucks. I like the business model that allows them earn higher returns on capital than most trucking companies.
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Great technology. Running circles around competition. High ROE.
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Landstar is a logistics company valued as a trucking company. Also, non-asset based model is superior.

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