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Truck Rental Company Could Drive 18% Higher in the Next 3 Months

Ryder System has been under heavy accumulation, breaking from a deep "V" consolidation

   
Truck Rental Company Could Drive 18% Higher in the Next 3 Months

Ryder System (NYSE:R) — This company provides transportation and supply chain management solutions, including the leasing, contract maintenance and commercial rental of trucks, tractors and trailers. Analysts expect an increase in leasing vehicles rather than rentals this year, as the economic environment becomes more stable. This provides for longer-term contracts and adds predictability to revenues and earnings.

Since the Trade of the Day first reviewed the stock on March 19, consensus earnings per share (EPS) have been increased by $0.04 to $4.85 for 2013 and by $0.03 cents to $5.49 for 2014.

And this weekend, Barron’s rated Ryder as a stock that “has outpaced expectations,” saying “its shares could rise as much as 20%.”

Technically, the stock broke a double-top in January and successfully tested its 50-day moving average as it broke into new high ground. R has been under heavy accumulation, and on Monday, broke from a deep “V” consolidation supported by a breakaway gap. Its three-month target is $75.

05 21 13 r 300x189 Truck Rental Company Could Drive 18% Higher in the Next 3 Months
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chart key 300x84 Truck Rental Company Could Drive 18% Higher in the Next 3 Months


Article printed from InvestorPlace Media, http://investorplace.com/2013/05/trade-of-the-day-ryder-system-nyse-r-2/.

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