Ryder System Inc

Amazon said more than 1,000 carriers gathered in Las Vegas from Sept. 9-11 for RelayCon 2026, double last year's attendance of over 600 transportation professionals and up from more than 500 Relay carriers at the 2024 edition. Amazon expects to move more than 4 million loads through the holidays, with weekly volume reaching 300,000 by December, about 11% more freight than last year. The company said Relay Assistant now resolves common over-the-road issues on the spot, including trailer availability, site closures and basic trip information, and that performance disputes are being resolved 20% faster, with Post A Truck order repeats coming by the end of this year. Amazon expanded its Deals & Discounts program, removing enrollment barriers on the Comdata fuel card program where carriers average about 10% savings, with discounts up to 66 cents a gallon at Petro and 40 cents at Love's, maintenance savings targeted at 15% with Red Classic added as a vendor, and a three-year Ryder leasing option with a 10% discount joining the existing 40% rental discount plus a $10,000 discount on used trucks. Safety rewards expanded with free dash cams for eligible carriers and 2 to 5 cents extra per collision-free mile, up to $14,000 a year, while Amazon Supply Chain Services opened the Relay network to shippers of all sizes and industries, extended contract offers beyond the previous six-month maximum, and grew intermodal, reefer, hostler and less-than-truckload options.

Plus Automation, Inc., known as PlusAI, a developer of AI-based virtual driver software for factory-built autonomous trucks, has agreed to go public through a business combination with special purpose acquisition company Texas Ventures Acquisition III Corp. The deal values PlusAI at an approximately $800 million pre-money equity value and could bring up to roughly $300 million in capital, including over $60 million in fully committed financing and about $236 million from the SPAC's trust. PlusAI has generated $25 million in revenue from its HyperFoundry software platform and targets $40 to $50 million in contracted revenue for 2026, while its SuperDrive Level 4 autonomous driving system is already hauling freight in Texas with Ryder and International. The combined company will operate as PlusAI, with the transaction expected to close in 2026 and support a targeted 2027 commercial launch of factory-built autonomous trucks with partners including TRATON, Hyundai, and IVECO.

Ryder System shares have surged 39.9% year to date following a second-quarter earnings beat and an increase in full-year guidance. The company reported comparable earnings per share of $3.73, up 12.4% year over year and 0.8% above consensus, while total revenues rose 5% to $3.35 billion. Management raised its full-year comparable EPS outlook to a range of $14.40 to $14.80, up from the prior $14.05 to $14.80. The stock trades at 0.68 times forward price-to-sales, a discount to its Zacks sub-industry average of 2.33 times but at the high end of its own five-year range. Ryder returned $406 million to shareholders through dividends and buybacks in the first half of 2026, supported by free cash flow that climbed to $684 million from $461 million a year earlier. However, the company carries $7.46 billion in total debt against $219 million in cash, and its current ratio stands at 0.65, highlighting balance-sheet constraints. The average analyst price target of $303 implies about 13.2% upside from the recent share price of $267.68, while a Zacks Rank of 3 (Hold) suggests a measured stance after the strong rally.

Ryder System's board approved a 10.9% dividend increase, lifting the quarterly payout to $1.01 per share from 91 cents. The dividend is payable September 18, 2026 to shareholders of record as of August 24, 2026. This marks Ryder's 200th consecutive quarterly cash dividend and its first increase since July 2025. The company returned $272 million to shareholders through buybacks and dividends in the first quarter of 2026. Ryder shares have gained 40.5% year to date, and the stock trades at a forward price-to-sales ratio of 0.76, well below the industry average of 2.26.

The July 2026 State of the Industry Report from FreightWaves, presented in affiliation with Ryder, shows spot rates, rejection rates, and volumes all reached new annual highs, signaling strong seasonal demand and constrained capacity. Ongoing barriers to entry and limited fleet expansion are keeping capacity tight and remain the primary driver of rising rates. Spot rates are significantly outpacing contract rates, with the widening spread creating upward pressure on contract pricing and increasing routing guide disruption. Tariff uncertainty is pulling forward ocean shipments, driving an early peak and increased freight volumes across modes. Strong volume growth and lower fuel exposure continue to make intermodal an attractive option versus truckload. Elevated CPI of about 4.2% and PPI of about 6.5% indicate continued upward pressure on transportation and supply chain costs, while manufacturing expansion and data center construction support freight demand, though housing and consumer sentiment remain weak.

Zacks Market Edge podcast host Tracey Ryniec discussed three transportation stocks for investors to consider adding to their short lists. Delta Air Lines is expected to see earnings fall 5.2% this year due to the Iran War and higher jet fuel prices, but analysts forecast a 36.8% rebound in 2027, with shares up 30.6% year-to-date and trading at a forward P/E of 15.7. Ryder System, a logistics and transportation company with a $10 billion market cap, is projected to grow earnings 14.7% in 2026 and 17.5% in 2027, with shares up 252.6% over five years and a forward P/E of 17.8. Wabtec, a 155-year-old rail equipment provider, is expected to increase earnings 18.3% in 2026 and 14.9% in 2027, with shares up 226.4% over five years and a forward P/E of 25.4.