Ryder System Slashes Forecast on Lower Rental Services Revenue; Shares Tumble (R)

Logistics company Ryder System, Inc. (R) late Thursday lowered its second quarter earnings outlook, citing lower rental revenue, sending its shares plunging in premarket trading.

The Miami-based company said it now expects second quarter earnings to range from 90 to 95 cents per share, down significantly from its prior outlook of $1.07 to $1.12.

On average, Wall Street analysts expected $1.10 per share for the period.

A Ryder spokesperson commented, “Although commercial rental revenue has improved both year-over-year and seasonally, May results reflected lower rental growth than previously discussed.”

Ryder System shares were down $3.80, or -9.3%, in premarket trading Friday.

The Bottom Line
Shares of Ryder System (R) have a 2.85% dividend yield, based on last night’s closing stock price of $40.75. The stock has technical support in the $33-$35 price area. If the shares can firm up, we see overhead resistance around the $42-$45 price levels.

Ryder System, Inc. (R) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.2 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.

Related Stocks:
Stock Market XML and JSON Data API provided by FinancialContent Services, Inc.
Nasdaq quotes delayed at least 15 minutes, all others at least 20 minutes.
Markets are closed on certain holidays. Stock Market Holiday List
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
Press Release Service provided by PRConnect.
Stock quotes supplied by Six Financial
Postage Rates Bots go here