Can R's Q1 2025 EPS forecast revive investor confidence?
4/5/2025 03:39pm
**Ryder System's (R) Q1 2025 EPS forecast may not immediately revive investor confidence**, considering the following factors:
1. **Earnings Guidance**: Ryder's EPS guidance for Q1 2025 is $2.30 to $2.55, which is slightly below the consensus estimate of $2.53. This could lead to concerns among investors about the company's performance relative to expectations.
2. **Revenue Guidance**: The company has not provided revenue guidance that suggests a lack of clarity regarding its financial performance in the quarter. This can contribute to uncertainty and potential skepticism among investors.
3. **Freight Market Headwinds**: Ryder's CEO has warned of ongoing freight market headwinds, which could impact profitability and investor confidence. These headwinds may lead investors to question the sustainability of the company's performance in the face of these challenges.
4. **FY2025 Guidance**: Ryder's full-year FY2025 EPS guidance is below estimates, with an expected operating revenue growth of approximately 2% or $10.50 billion, and an adjusted EPS of $13.00 to $14.00, compared to the consensus of $13.46. This could indicate a more cautious outlook for the company's future performance, potentially affecting investor confidence.
However, it is important to note that Ryder System has reported strong results for 2024 and has a positive outlook for 2025. The company's performance and guidance should be considered in the context of these broader positive indicators. Investors may require time to assess the Q1 2025 EPS forecast in light of the company's overall performance and market conditions.