Landstar System, Inc. (LSTR) vs ZTO Express (Cayman) Inc. (ZTO)

Landstar System, Inc. and ZTO Express (Cayman) Inc. are both Integrated Freight & Logistics companies. ZTO Express (Cayman) Inc. is the larger, with a market value of $10.7B against $5.6B — 1.9× the size. ZTO Express (Cayman) Inc. trades at the lower P/E: 10.3× against 42.4×. ZTO Express (Cayman) Inc. grew revenue faster over the last twelve months: 24.8% against 4.03%. ZTO Express (Cayman) Inc. has the higher net margin (19.0% vs 2.64%) and the lower return on invested capital (13.0% vs 19.7%). Both pay a dividend; ZTO Express (Cayman) Inc. yields more (2.77% vs 0.66%). Across the 22 metrics below, ZTO Express (Cayman) Inc. leads on 14 and Landstar System, Inc. on 8.

Valuation

Metric LSTR ZTO Integrated Freight & Logistics median
P/E 42.41 10.26 21.28
P/S 1.11 1.88 0.71
P/B 6.64 1.59 1.67
Price to free cash flow 30.91 n/m 15.27
EV/EBITDA 24.16 8.11 8.95
EV/Sales 1.06 1.70 1.06
Earnings yield 2.36% 9.75% (1.34%)
Free cash flow yield 3.24% (2.01%) 0.00%

Profitability

Metric LSTR ZTO Integrated Freight & Logistics median
Gross margin 22.34% 25.10% 26.33%
Operating margin 3.51% 20.98% 0.92%
Net margin 2.64% 19.02% (0.14%)
Free cash flow margin 3.60% (3.77%) 0.00%
Return on equity 14.98% 16.37% 0.00%
Return on assets 7.65% 10.88% 0.00%
Return on invested capital 19.72% 13.03% 0.00%

Growth

Metric LSTR ZTO Integrated Freight & Logistics median
Revenue growth (TTM) 4.03% 24.75% 6.03%
EPS growth (last fiscal year) (39.93%) 8.84% —
Revenue growth, 5-year CAGR 2.84% 12.69% 2.88%
Net income growth, 5-year CAGR (9.75%) 14.46% 0.00%

Health

Metric LSTR ZTO Integrated Freight & Logistics median
Debt to equity 0.08 0.34 0.12
Current ratio 1.82 1.67 1.57
Net debt to EBITDA (1.90) (1.05) 0.86

Dividend

Metric LSTR ZTO Integrated Freight & Logistics median
Dividend yield 0.66% 2.77% 2.25%
Payout ratio 0.13 0.00 0.13

Size

Metric LSTR ZTO Integrated Freight & Logistics median
Market cap 5.61b 10.66b 56.42m

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