Localiza Rent a Car S.A. (BVMF:RENT3) Just Released Its Second-Quarter Earnings: Here's What Analysts Think
Aug 16
Brazilian (BOVESPA) Transportation Industry Analysis
UpdatedAug 16, 2024
DataAggregated Company Financials
Companies8
- 7D-7.8%
- 3M-2.6%
- 1Y-22.6%
- YTD-16.7%
Over the last 7 days, the Transportation industry has dropped 7.8%, driven by a pullback from Localiza Rent a Car of 20%. Overall the industry is down 23% in 12 months. As for the next few years, earnings are expected to grow by 42% per annum.
Industry Valuation and Performance
Has the Brazilian Transportation Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Fri, 16 Aug 2024 | R$118.2b | R$116.8b | R$2.0b | 9.9x | 57.6x | 1x |
| Sun, 14 Jul 2024 | R$124.7b | R$109.4b | R$4.4b | 13x | 28.3x | 1.1x |
| Tue, 11 Jun 2024 | R$111.5b | R$109.4b | R$4.4b | 11x | 25.3x | 1x |
| Thu, 09 May 2024 | R$123.0b | R$104.3b | R$3.7b | 12.2x | 33x | 1.2x |
| Sat, 06 Apr 2024 | R$130.2b | R$103.7b | R$4.2b | 12.8x | 31.1x | 1.3x |
| Mon, 04 Mar 2024 | R$129.0b | R$99.9b | R$4.9b | 14.9x | 26.5x | 1.3x |
| Wed, 31 Jan 2024 | R$136.5b | R$100.5b | R$4.7b | 13.6x | 29x | 1.4x |
| Fri, 29 Dec 2023 | R$150.7b | R$100.5b | R$4.7b | 16.9x | 32x | 1.5x |
| Sun, 26 Nov 2023 | R$142.7b | R$100.5b | R$4.7b | 16.1x | 30.3x | 1.4x |
| Tue, 24 Oct 2023 | R$130.6b | R$96.9b | R$4.6b | 20.8x | 28.2x | 1.3x |
| Thu, 21 Sep 2023 | R$147.2b | R$96.9b | R$4.6b | 26.9x | 31.7x | 1.5x |
| Sat, 19 Aug 2023 | R$145.7b | R$96.9b | R$4.6b | 29.8x | 31.4x | 1.5x |
| Mon, 17 Jul 2023 | R$147.8b | R$89.7b | R$5.2b | 14.8x | 28.5x | 1.6x |
| Wed, 14 Jun 2023 | R$149.2b | R$89.7b | R$5.2b | 16.7x | 28.7x | 1.7x |
| Fri, 12 May 2023 | R$137.6b | R$85.6b | R$5.2b | 14.6x | 26.5x | 1.6x |
| Sun, 09 Apr 2023 | R$122.6b | R$80.6b | R$5.4b | 12.4x | 22.6x | 1.5x |
| Tue, 07 Mar 2023 | R$123.8b | R$73.0b | R$5.7b | 11.9x | 21.8x | 1.7x |
| Thu, 02 Feb 2023 | R$130.3b | R$71.4b | R$4.9b | 12.2x | 26.7x | 1.8x |
| Sat, 31 Dec 2022 | R$122.8b | R$71.4b | R$4.9b | 10.6x | 25.1x | 1.7x |
| Mon, 28 Nov 2022 | R$129.8b | R$71.4b | R$4.9b | 11.7x | 26.6x | 1.8x |
| Wed, 26 Oct 2022 | R$145.4b | R$61.8b | R$5.3b | 12.3x | 27.6x | 2.4x |
| Fri, 23 Sep 2022 | R$143.1b | R$61.8b | R$5.3b | 11.6x | 27.2x | 2.3x |
| Sun, 21 Aug 2022 | R$141.2b | R$61.8b | R$5.3b | 12.3x | 26.9x | 2.3x |
| Tue, 19 Jul 2022 | R$118.1b | R$56.7b | R$5.7b | 8x | 20.7x | 2.1x |
| Thu, 16 Jun 2022 | R$110.7b | R$56.7b | R$5.7b | 9.3x | 19.4x | 2x |
| Sat, 14 May 2022 | R$114.2b | R$56.7b | R$5.7b | 9.6x | 20.1x | 2x |
| Mon, 11 Apr 2022 | R$120.1b | R$52.2b | R$5.6b | 11.8x | 21.4x | 2.3x |
| Wed, 09 Mar 2022 | R$105.6b | R$52.2b | R$5.5b | 11.1x | 19.1x | 2x |
| Fri, 04 Feb 2022 | R$115.6b | R$49.5b | R$5.7b | 12.8x | 20.5x | 2.3x |
| Sun, 02 Jan 2022 | R$114.5b | R$49.5b | R$5.7b | 12.5x | 20.3x | 2.3x |
| Tue, 30 Nov 2021 | R$112.9b | R$49.5b | R$5.7b | 12x | 20x | 2.3x |
| Thu, 28 Oct 2021 | R$105.2b | R$47.4b | R$4.8b | 14x | 22x | 2.2x |
| Sat, 25 Sep 2021 | R$125.4b | R$47.4b | R$4.8b | 17.4x | 26.2x | 2.6x |
| Mon, 23 Aug 2021 | R$126.5b | R$47.4b | R$4.8b | 17.7x | 26.5x | 2.7x |
Price to Earnings Ratio
26.5x
Current Industry PE
- Investors are optimistic on the Brazilian Transportation industry, and appear confident in long term growth rates.
- The industry is trading at a PE ratio of 57.6x which is higher than its 3-year average PE of 25.7x.
- The 3-year average PS ratio of 1.8x is higher than the industry's current PS ratio of 1.0x.
Past Earnings Growth
- The earnings for companies in the Transportation industry have declined 25% per year over the last three years.
- Meanwhile revenues for these companies have grown 35% per year.
- This means that although more sales are being generated, either the cost of doing business or the level of investment back into businesses has increased, which has decreased profits.
Industry Trends
Which industries have driven the changes within the Brazilian Industrials industry?
| BR Market | 2.83% | |
| Industrials | 0.42% | |
| Transportation | -7.84% | |
| Railroads | 0.92% | |
| Cargo Ground Transportation | -1.24% | |
| Trucking | -18.91% | |
Industry PE
- Investors are most optimistic about the Railroads industry which is trading above its 3-year average PE ratio.
- Analysts expect its future annual earnings growth (47.2%) to be largely in line with prior year's earnings growth.
- Investors are most pessimistic about the Cargo Ground Transportation industry, although it looks like investor sentiment has improved given that it's trading above its 3-year average of 20.5x.
Forecasted Growth
- Analysts are most optimistic on the Railroads industry, expecting annual earnings growth of 47% over the next 5 years.
- This is roughly in line with its past earnings growth rate.
- In contrast, the Trucking industry is expected to see its earnings grow by 37% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| RAIL3 Rumo | R$23.85 | 1.1% +R$508.9m | 7.1% | PS3.5x | |
| TGMA3 Tegma Gestão Logística | R$25.48 | 2.0% +R$33.0m | 1.9% | PE9.1x | |
| JSLG3 JSL | R$9.09 | 1.2% +R$31.3m | -5.1% | PE9.9x |
