Ryder System Sees 22% Drop in Short Interest Amid Analyst Upgrades

Ryder System, Inc. (NYSE:R) experienced a notable decrease in short interest during January 2024, with a reported decline of 22.0%. As of January 15, short interest stood at 699,783 shares, down from 896,696 shares on December 31, 2023. Currently, 1.8% of Ryder’s shares are short sold, indicating a shift in market sentiment as the company continues to attract investor interest.

This decline in short interest corresponds with an average daily trading volume of 336,513 shares, resulting in a short-interest ratio of approximately 2.1 days. Such figures suggest a growing confidence among investors regarding the company’s performance.

Institutional Investments Surge

Several institutional investors have adjusted their positions in Ryder System recently. Hantz Financial Services Inc. significantly increased its stake by 770.0% in the second quarter, acquiring an additional 154 shares and now holding a total of 174 shares valued at $28,000. Similarly, Root Financial Partners LLC entered the market with a new stake valued at approximately $28,000.

Mitsubishi UFJ Asset Management Co. Ltd. raised its position by 237.0% during the same quarter, now owning 182 shares worth $29,000. MAI Capital Management also expanded its holdings by 57.6%, acquiring an additional 68 shares to bring its total to 186 shares valued at $30,000. Assetmark Inc. further increased its stake by an impressive 421.9% in the third quarter, now owning 167 shares worth $32,000.

In total, institutional investors now hold approximately 87.47% of Ryder’s stock, reflecting strong support from the investment community.

Analysts Forecast Positive Growth

Ryder System has garnered attention from multiple analysts, with recent reports indicating an optimistic outlook. Citigroup raised its price target from $196.00 to $218.00, maintaining a “buy” rating in a research note dated December 19, 2023. Weiss Ratings reaffirmed a “buy (b)” rating for the company’s shares on January 22, 2024.

Morgan Stanley also increased its price target from $190.00 to $250.00, assigning an “overweight” rating in a report released on December 8, 2023. Additionally, JPMorgan Chase & Co. adjusted its price objective from $194.00 to $197.00 with a “neutral” rating. Wells Fargo & Company initiated coverage with an “overweight” rating and a target price of $210.00.

Overall, seven analysts have rated the stock with a Buy recommendation, while three have issued a Hold rating. According to data from MarketBeat, Ryder System currently holds an average rating of “Moderate Buy” with an average target price of $205.67.

Stock Performance Overview

On January 19, 2024, Ryder’s stock saw a slight decline, trading down 0.7% or $1.33 to reach $191.09. The trading volume for the day reached 357,488 shares, surpassing the average volume of 290,697 shares. The stock’s 50-day moving average is $188.55, while the 200-day moving average stands at $182.42.

Ryder System has a market capitalization of $7.72 billion, a price-to-earnings ratio of 16.14, and a beta of 0.96. The company maintains a debt-to-equity ratio of 2.35 and both a quick ratio and current ratio of 1.02. Over the past year, Ryder shares have fluctuated between a low of $125.54 and a high of $200.53.

About Ryder System

Founded in 1933 and headquartered in Miami, Florida, Ryder System, Inc. is a leading provider of transportation and supply chain management solutions. The company serves a diverse range of commercial customers across various industries. Its Fleet Management Solutions segment offers full-service leasing and rental options for medium- and heavy-duty trucks, tractors, and trailers, alongside maintenance and repair services at its expansive network of service locations. The Supply Chain Solutions segment delivers integrated, technology-driven services that encompass managed transportation, dedicated contract carriage, warehousing, distribution, and e-commerce fulfillment.

As Ryder System continues to expand its global logistics capabilities, the recent institutional interest and analyst upgrades point to a positive trajectory for the company in the coming months.