Landstar System Inc reports results on Tuesday 27 October, after the market closes. Growth is speeding up, with revenue over the twelve months to Q2 2026 at $5.0 billion, a 4.1% rise on the year before.
Source: reported quarterly EPS and aggregated third-party estimates. Historical surprises are context, not a forecast.
View chart data
| Period | Reported EPS | Analysts' estimate |
|---|---|---|
| Sep '25 | $1.22 | $1.23 |
| Dec '25 | $0.75 | $1.09 |
| Mar '26 | $1.16 | $1.12 |
| Jun '26 | $1.44 | $1.48 |
What analysts expect
Analysts have been raising their forecasts going into the report. For the quarter, the average EPS estimate stands at $1.66, in a range from $1.58 to $1.80, while the average revenue estimate is $1.5 billion. The full-year picture shows an average EPS estimate of $5.93 (based on 16 analysts), which would be up 47.5% on last year and has risen 1.8% over the past 90 days. Of the analysts’ recommendations, 4 are positive, 12 neutral and 2 negative.
Earnings surprise model
The model estimates EPS could land below the analysts’ average estimate by 0.9%. Its estimated chance of an EPS beat is 37.5%, based on the last 4 quarters. The model shrinks the median recent surprise toward zero and uses a neutral prior for beat frequency; this small sample is a reference estimate, not company guidance.
Track record against estimates
The company reported EPS above the analysts’ average estimate in 1 of the last 4 quarters. Last quarter, EPS of $1.44 compared with an estimate of $1.48, below it by 3.0%.
The trends going in
That growth rate was up 4.9 percentage points on the rate a quarter earlier. The trailing operating margin was 3.5%, down 1.0 percentage points from a year earlier, while the trailing net margin was 2.6%. Net income over the twelve months was $131.7 million, which fell 21.6% on the year before.
Where the cash went
Operating cash flow over the twelve months was $189.9 million, down 8.3% on the year before, and capital spending was $14.2 million, or 0.3% of revenue. Free cash flow, operating cash flow less capital spending, was $175.6 million, down 6.8% on the year before. This represented a free-cash-flow margin of 3.5%, down 0.4 percentage points from a year earlier, as the average diluted share count fell 2.9% over the year.
How today compares
In the context of past results: today’s free-cash-flow margin of 3.5% is higher than 13% of the company’s own past quarterly readings, which have ranged from 2.4% to 9.2%. Today’s operating margin of 3.5% is higher than 3% of past readings (3.2% to 7.8%). Today’s twelve-month revenue growth rate of 4.1% is higher than 50% of past readings (−28.7% to 60.7%).
Questions this report will answer
Whether the pick-up in revenue growth continues. Whether results land above or below the analysts’ expectations set out above. At the same time, whether margins hold at the trailing levels above. The next filing will show whether the trends above continue, slow or reverse.
What it means for our valuation
These trends feed directly into what the shares are worth in our model. In our model, growth 5 percentage points lower would lower the value by 22.7%, and 5 percentage points higher would raise it by 29.8%. A free-cash-flow margin 1 percentage point lower would lower it by 25.1%.
