Financial Comparison: Ryder System (NYSE:R) & U-Haul (NASDAQ:UHALB)

Ryder System (NYSE:R) and U-Haul (NASDAQ:UHALB) are both industrials companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, dividends, institutional ownership, profitability, risk, valuation and earnings.

Institutional & Insider Ownership

87.5% of Ryder System shares are owned by institutional investors. Comparatively, 35.7% of U-Haul shares are owned by institutional investors. 4.9% of Ryder System shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Ryder System and U-Haul’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ryder System	3.88%	18.28%	3.33%
U-Haul	1.05%	0.81%	0.30%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Ryder System and U-Haul, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ryder System	0	5	6	1	2.67
U-Haul	0	0	0	0	0.00

Ryder System currently has a consensus target price of $294.14, indicating a potential upside of 19.55%. Given Ryder System’s stronger consensus rating and higher probable upside, research analysts clearly believe Ryder System is more favorable than U-Haul.

Earnings & Valuation

This table compares Ryder System and U-Haul”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ryder System	$12.85 billion	0.73	$499.00 million	$12.29	20.02
U-Haul	$6.04 billion	1.75	$83.13 million	$0.14	431.64

Ryder System has higher revenue and earnings than U-Haul. Ryder System is trading at a lower price-to-earnings ratio than U-Haul, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Ryder System has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500. Comparatively, U-Haul has a beta of 0.88, suggesting that its stock price is 12% less volatile than the S&P 500.

Dividends

Ryder System pays an annual dividend of $4.04 per share and has a dividend yield of 1.6%. U-Haul pays an annual dividend of $0.20 per share and has a dividend yield of 0.3%. Ryder System pays out 32.9% of its earnings in the form of a dividend. U-Haul pays out 142.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Ryder System has increased its dividend for 20 consecutive years. Ryder System is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Ryder System beats U-Haul on 16 of the 18 factors compared between the two stocks.

About Ryder System

Ryder System, Inc. operates as a logistics and transportation company worldwide. It operates through three segments: Fleet Management Solutions (FMS), Supply Chain Solutions (SCS), and Dedicated Transportation Solutions (DTS). The FMS segment offers full-service leasing and leasing with flexible maintenance options; commercial vehicle rental services; and contract or transactional maintenance services of trucks, tractors, and trailers; access to diesel fuel; and fuel planning and tax reporting, cards, and monitoring services, and centralized billing, as well as sells used vehicles through its retail sales centers and www.ryder.com/used-trucks website, as well as digital and technology support services. The DTS segment offers equipment, maintenance, drivers, administrative, and additional services, as well as routing and scheduling, fleet sizing, safety, regulatory compliance, risk management, and technology and communication systems support services. The SCS segment comprises distribution management services, such as designing and managing customer's distribution network and facilities; coordinating warehousing and transportation for inbound and outbound material flows; handling import and export for international shipments; coordinating just-in-time replenishment of component parts to manufacturing and final assembly; and offering shipments to customer distribution centers or end customer delivery points, as well as other value added services, such as light assembly of components. This segment also offers transportation management and brokerage services, such as shipment optimization, load scheduling, and delivery confirmation services; knowledge-based professional services; and e-commerce and last mile services. The company was founded in 1933 and is headquartered in Coral Gables, Florida.

About U-Haul

AMERCO operates as a do-it-yourself moving and storage operator for household and commercial goods in the United States and Canada. The company's Moving and Storage segment rents trucks, trailers, portable moving and storage units, specialty rental items, and self-storage spaces primarily to the household movers; and sells moving supplies, towing accessories, and propane. It also provides uhaul.com, an online marketplace that connects consumers to independent Moving Help service providers and independent self-storage affiliates; auto transport and tow dolly options to transport vehicles; and specialty boxes for dishes, computers, flat screen television, and sensitive electronic equipment, as well as tapes, security locks, and packing supplies. This segment rents its products and services through a network of approximately 2,100 company operated retail moving stores and 21,100 independent U-Haul dealers. As of March 31, 2022, it had a rental fleet of approximately 186,000 trucks, 128,000 trailers, and 46,000 towing devices; and 1,844 self-storage locations with approximately 876,000 rentable storage units. The company's Property and Casualty Insurance segment offers loss adjusting and claims handling services. It also provides moving and storage protection packages, such as Safemove and Safetow packages, which offer moving and towing customers with a damage waiver, cargo protection, and medical and life insurance coverage; Safestor that protects storage customers from loss on their goods in storage; Safestor Mobile, which protects customers stored belongings; and Safemove Plus, which provides rental customers with a layer of primary liability protection. The company's Life Insurance segment provides life and health insurance products primarily to the senior market through the direct writing and reinsuring of life insurance, medicare supplement, and annuity policies. AMERCO was founded in 1945 and is based in Reno, Nevada.