Research · Sep 3, 2026
[R] Ryder System Thesis 2026: Supply Chain Solutions Drives Asset-Light Logistics Capital Return
Ryder System, Inc. (NYSE: R) FY2025 revenue ~$12.6-13.2B (+5-7%) with adj. EPS ~$13.50-14.50 reflecting continued post-2024 ~$12.6-13.2B aggregate Fleet Management + Supply Chain + Dedicated Transportation revenue (~$5.8-6.1B Fleet Management + ~$5.4-5.7B Supply Chain + ~$1.4-1.6B Dedicated Transportation) under continued Chair + CEO Robert Sanchez since June 2013 (~12-year tenure as Ryder CEO; selected post-June 2013 succeeded Greg Swienton retirement). One of the largest US specialty Fleet Management + Supply Chain + Dedicated Transportation solutions companies. Founded 1933 as Ryder Truck Rental by James Ryder in Miami Florida (~92-year heritage; selected pioneer Truck Rental + Fleet Management); selected post-1933 founding + selected post-1955 NYSE listing; selected post-2013 Robert Sanchez CEO appointment; selected post-2020-2023 ~$1.5B+ cumulative Whiplash + Midwest Warehouse + IFS + Cardinal Logistics + Northeast Cooler + Baton + Dotcom Distribution acquisitions; selected post-2023 Cardinal Logistics ~$300M+ Last Mile acquisition. Headquartered in Miami Florida; ~48,000-50,000 employees globally with ~165,000+ ChoiceLease vehicles in service across North America + Mexico + UK + Germany + Singapore footprint. Three primary segments: FMS ~47%+ ($5.8-6.1B), SCS ~43%+ ($5.4-5.7B), DTS ~10%+ ($1.4-1.6B). Geographic mix: US ~85%+ + Canada + Mexico + UK + Germany + Singapore ~15%. Supply Chain Solutions Asset-Light pipeline (~$5.4-5.7B): ~$5.4-5.7B aggregate Supply Chain revenue (~43%+ revenue mix); selected primary E-commerce Fulfillment + Last Mile + Multi-Client Warehousing + Automotive + Retail + Consumer Goods + Healthcare + Industrial + Technology; selected ~37M sq ft warehouse footprint; selected ~85+ Multi-Client Warehouses; selected ~$3.5-4.0B Last Mile + E-commerce Fulfillment revenue; selected ~+15-25% Last Mile growth. Fleet Management Solutions ChoiceLease + SelectCare cycle: ~$5.8-6.1B aggregate Fleet Management revenue (~47%+ revenue mix); selected primary ChoiceLease (full-service lease) + SelectCare (contract maintenance) + Commercial Rental + Used Vehicle Sales; selected ~165,000+ ChoiceLease vehicles; selected ~50,000+ SelectCare vehicles; selected ~$1.5-1.8B Used Vehicle Sales; selected ~+3-5% ChoiceLease pricing increases. Chair + CEO Robert Sanchez since June 2013 (~12-year tenure); CFO Cristina Gallo-Aquino. Capital position: ~$3.32 aggregate annual dividend (~24%+ aggregate payout ratio; ~2.0-2.5% aggregate dividend yield); ~$200-300M aggregate FY2025 buybacks; aggregate capital return ~$340-440M FY2025; net leverage ~2.5-3.0x Net Debt/EBITDA; investment-grade Baa2/BBB credit rating; ~42-44M diluted shares; weighted average debt maturity ~5-7 years. FY2026 thesis: Supply Chain Solutions Asset-Light pipeline + Fleet Management ChoiceLease + SelectCare cycle + Dedicated Transportation pipeline + selected ~$15-18B aggregate North American Outsourced Logistics TAM + selected ~165,000+ ChoiceLease vehicles + ~37M sq ft warehouse footprint. Risks: J.B. Hunt + XPO Logistics + GXO Logistics + RXO + Schneider National + C.H. Robinson + Hub Group + Werner Enterprises + Knight-Swift competitive displacement + Used Vehicle pricing cycle considerations + Class 8 truck cycle considerations + E-commerce + Last Mile cycle considerations.