Ground transportation stocks Q3 teardown: Landstar vs the rest
Looking back on ground transportation stocks’ Q3 earnings, we examine this quarter’s best and worst performers, including Landstar NASDAQ:LSTR and its peers.
The growth of e-commerce and global trade continues to drive demand for shipping services, especially last-mile delivery, presenting opportunities for ground transportation companies. The industry continues to invest in data, analytics, and autonomous fleets to optimize efficiency and find the most cost-effective routes. Despite the essential services this industry provides, ground transportation companies are still at the whim of economic cycles. Consumer spending, for example, can greatly impact the demand for these companies’ offerings while fuel costs can influence profit margins.
The 15 ground transportation stocks we track reported a mixed Q3. As a group, revenues beat analysts’ consensus estimates by 0.9%.
In light of this news, share prices of the companies have held steady as they are up 4.1% on average since the latest earnings results.
Landstar NASDAQ:LSTR
Covering billions of miles throughout North America, Landstar (NASDAQ:LSTR) is a transportation company specializing in freight and last-mile delivery services.
Landstar reported revenues of $1.51 billion, up 25.3% year on year. This print exceeded analysts’ expectations by 0.7%. Despite the top-line beat, it was still a sluggish quarter for the company with a significant miss of analysts’ EPS estimates.
“The Landstar team of independent business owners and employees excelled in a freight transportation backdrop that continues to improve. Our network generated truck revenue of $1.407 billion, an increase of 29% compared to the 2025 third quarter, with revenue generated via van and unsided/platform equipment each increasing over 30% compared to the 2025 third quarter,” said Landstar President and Chief Executive Officer Frank Lonegro. “In addition, I was highly encouraged to see our net 165 Business Capacity Owner (BCO) truck additions during the third quarter, the strongest quarterly improvement since the third quarter of 2021. We are continuing to deliver safety, security and service for our customers, and our BCOs achieved a 5% year-over-year improvement in DOT accident frequency. Even so, we are not immune to the challenges of the insurance and claims inflation prevalent in our industry.”
The market seems disappointed with the results as the stock is down 12.2% since reporting and currently trades at $148.21.
Read our full report on Landstar here, it’s free.
Best Q3: RXO (NYSE:RXO)
With access to millions of trucks, RXO (NYSE:RXO) offers full-truckload, less-than-truckload, and last-mile deliveries.
RXO reported revenues of $1.87 billion, up 31.7% year on year, outperforming analysts’ expectations by 2.6%. The business had an impressive quarter with a solid beat of analysts’ EBITDA estimates and a beat of analysts’ EPS estimates.
RXO achieved the fastest revenue growth among its peers. The market seems content with the results as the stock is up 2.6% since reporting. It currently trades at $28.33.
Is now the time to buy RXO? Access our full analysis of the earnings results here, it’s free.
Weakest Q3: Heartland Express (NASDAQ:HTLD)
Founded by the son of a trucker, Heartland Express (NASDAQ:HTLD) offers full-truckload deliveries across the United States and Mexico.
Heartland Express reported revenues of $179.5 million, down 8.7% year on year, falling short of analysts’ expectations by 2.4%. It was an underwhelming quarter as it posted EPS in line with analysts’ estimates.
Heartland Express delivered the weakest performance against analyst estimates and slowest revenue growth in the group. The stock is flat since the results and currently trades at $10.37.
Read our full analysis of Heartland Express’s results here.
Knight-Swift Transportation (NYSE:KNX)
Covering 1.6 billion loaded miles in 2023 alone, Knight-Swift Transportation (NYSE:KNX) offers less-than-truckload and full truckload delivery services.
Knight-Swift Transportation reported revenues of $2.20 billion, up 14.2% year on year. This number topped analysts’ expectations by 1.4%. It was a solid quarter as it also produced a beat of analysts’ EPS estimates.
The stock is down 2.4% since reporting and currently trades at $61.71.
Read our full, actionable report on Knight-Swift Transportation here, it’s free.
Ryder (NYSE:R)
As one of the first companies to introduce the idea of leasing trucks, Ryder (NYSE:R) provides rental vehicles to businesses and delivers packages directly to homes or businesses.
Ryder reported revenues of $3.43 billion, up 8.3% year on year. This print surpassed analysts’ expectations by 1.2%. Overall, it was a solid quarter as it also logged full-year EPS guidance beating analysts’ expectations and EPS guidance for next quarter topping analysts’ expectations.
The stock is up 16.1% since reporting and currently trades at $279.
Read our full, actionable report on Ryder here, it’s free.
Market update
Over the past year, investors have been forced to repeatedly answer the same question: What is the market’s biggest risk? The answer has changed several times, and each shift has reshaped market leadership.
Late in 2025 and early 2026, artificial intelligence became the market’s primary uncertainty. Investors questioned whether AI would erode software pricing power and weaken competitive moats as AI made it easier to replicate once-differentiated products.
By the spring, technology took a back seat to geopolitics. The U.S. conflict with Iran briefly became the market’s dominant narrative, raising concerns about oil prices, inflation, and global growth. But as energy markets remained orderly and fears of a prolonged supply disruption faded, investors quickly turned their focus back to fundamentals.
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