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Rush Enterprises A (RUSHA)
NASDAQ:RUSHA
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Rush Enterprises A
(NASDAQ:RUSHA)
Rating:68Neutral
Price Target:
$54.00
▲( 10.38% Upside)
Rush Enterprises A (RUSHA) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$3.86B
Dividend Yield1.45%
Average Volume (3M)528.05K
Price to Earnings (P/E)13.7
Beta (1Y)1.02
Revenue Growth-1.29%
EPS Growth-9.44%
CountryUS
Employees7,827
SectorConsumer Cyclical
Sector Strength74
IndustryAuto - Dealerships
Share Statistics
EPS (TTM)0.73
Shares Outstanding61,195,717
10 Day Avg. Volume493,057
30 Day Avg. Volume528,051
Financial Highlights & Ratios
PEG Ratio-13.63
Price to Book (P/B)1.99
Price to Sales (P/S)0.00
P/FCF Ratio24.33
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
$61.00Price Target Upside24.69% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering2
Rush Enterprises A Business Overview & Revenue Model
Company DescriptionRush Enterprises, Inc. (RUSHA) is a leading commercial vehicle dealership network in North America. The company primarily operates in the transportation and logistics sectors, offering a comprehensive range of products and services related to commercial vehicles. These include new and used truck sales, aftermarket parts sales, service and repair, financing, leasing, and insurance services. Rush Enterprises is renowned for its extensive dealership network, which provides customers with access to a wide array of brands and support services tailored to meet the needs of commercial vehicle operators.
How the Company Makes MoneyRush Enterprises generates revenue through multiple streams centered around its dealership operations. The primary revenue source is the sale of new and used commercial vehicles, which forms a significant portion of its earnings. The company also earns substantial income from its aftermarket parts and service division, which provides necessary maintenance and repair services for commercial vehicles. Additionally, Rush Enterprises offers financial services, including truck leasing and financing, which contribute to its revenue mix. The company also benefits from insurance services tailored to commercial vehicles. Strategic partnerships with leading truck manufacturers and financial institutions enhance its ability to offer comprehensive solutions to its customers, thereby strengthening its revenue model.
Rush Enterprises A Financial Statement Overview
Summary
Rush Enterprises demonstrates solid financial health with strong cash flow management and stable profitability metrics. The company maintains a balanced approach to leverage, providing a cushion against potential market fluctuations. Despite a slight revenue dip in the last year, its efficiency and cash generation capacity underscore a positive outlook.Income Statement
Rush Enterprises shows strong profitability with a consistent gross profit margin around 20% and a net profit margin of approximately 4% over recent years. Revenue growth has been positive, with a significant increase of nearly 55% from 2020 to 2021, though there was a slight decline of around 1.5% from 2023 to 2024. EBIT and EBITDA margins are stable, reflecting healthy operational efficiency.82
Very Positive
Balance Sheet
The company's balance sheet is relatively strong with a stable debt-to-equity ratio around 0.8, indicating moderate leverage. Return on equity has shown variations but remains healthy, exceeding 16% in recent years. Equity ratio is robust, hovering above 45%, which signifies a solid equity base in its capital structure.75
Positive
Cash Flow
Cash flow analysis reveals a substantial improvement in free cash flow, growing significantly in the latest period. The operating cash flow to net income ratio is strong, indicating effective conversion of income into cash flows. Recent free cash flow figures demonstrate a remarkable turnaround from negative values in 2023 to positive in 2024, boosting financial resilience.88
Very Positive
| Breakdown | ||||
| Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 | Dec 2020 |
|---|---|---|---|---|
| Income Statement | Total Revenue | |||
| 7.80B | 7.93B | 7.10B | 5.13B | 4.74B | Gross Profit |
| 1.53B | 1.59B | 1.49B | 1.09B | 875.47M | EBIT |
| 468.09M | 512.38M | 506.11M | 309.04M | 154.60M | EBITDA |
| 705.94M | 736.90M | 702.81M | 477.10M | 330.10M | Net Income Common Stockholders |
| 304.15M | 347.06M | 391.38M | 241.41M | 114.89M |
| Balance Sheet | Cash, Cash Equivalents and Short-Term Investments | |||
| 228.13M | 183.72M | 201.04M | 148.15M | 312.05M | Total Assets |
| 4.62B | 4.36B | 3.82B | 3.12B | 2.99B | Total Debt |
| 1.73B | 1.81B | 1.44B | 1.15B | 1.22B | Net Debt |
| 1.51B | 1.63B | 1.23B | 1.00B | 907.86M | Total Liabilities |
| 2.46B | 2.47B | 2.06B | 1.65B | 1.72B | Stockholders Equity |
| 2.14B | 1.87B | 1.74B | 1.47B | 1.27B |
| Cash Flow | Free Cash Flow | |||
| 619.55M | -73.17M | 51.34M | 255.17M | 626.78M | Operating Cash Flow |
| 619.55M | 295.71M | 294.40M | 422.35M | 762.98M | Investing Cash Flow |
| -445.58M | -387.03M | -240.93M | -432.90M | -127.46M | Financing Cash Flow |
| -129.32M | 73.96M | -690.00K | -153.34M | -505.10M |
Rush Enterprises A Technical Analysis
Negative
48.92
Price Trends
51.67
Negative
54.64
Negative
54.56
Negative
Market Momentum
-0.37
Negative
41.67
Neutral
21.96
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For RUSHA, the sentiment is Negative. The current price of 48.92 is below the 20-day moving average (MA) of 50.13, below the 50-day MA of 51.67, and below the 200-day MA of 54.56, indicating a bearish trend. The MACD of -0.37 indicates Negative momentum. The RSI at 41.67 is Neutral, neither overbought nor oversold. The STOCH value of 21.96 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for RUSHA.
Rush Enterprises A Risk Analysis
Rush Enterprises A disclosed 24 risk factors in its most recent earnings report. Rush Enterprises A reported the most risks in the “Finance & Corporate” category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Rush Enterprises A Peers Comparison
Overall Rating
UnderperformOutperform
Sector (62)
Financial Indicators
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $10.73B | 11.43 | 18.57% | 2.74% | 3.29% | -1.29% | |
76 Outperform | $5.51B | 12.00 | 16.25% | 0.45% | 15.13% | -15.98% | |
72 Outperform | $6.87B | 10.78 | 28.45% | ― | -0.24% | -19.76% | |
69 Neutral | $3.86B | 14.64 | 14.28% | 1.35% | -1.29% | -9.44% | |
68 Neutral | $3.86B | 13.67 | 14.28% | 1.45% | -1.29% | -9.44% | |
68 Neutral | $2.28B | 9.58 | 24.52% | 1.94% | 1.59% | 43.91% | |
62 Neutral | $6.84B | 11.22 | 2.83% | 3.95% | 2.65% | -21.93% |
* Consumer Cyclical Sector Average
Performance Comparison
RUSHA
Rush Enterprises A
48.92
5.13
11.72%
AN
AutoNation
182.21
12.46
7.34%
GPI
Group 1 Automotive
425.94
117.82
38.24%
PAG
Penske Automotive Group
162.17
13.95
9.41%
SAH
Sonic Automotive
67.14
12.05
21.87%
RUSHB
Rush Enterprises B
52.39
10.28
24.41%
Rush Enterprises A Earnings Call Summary
Earnings Call Date:Apr 30, 2025
(Q1-2025)
| % Change Since: -3.70%|
Next Earnings Date:Jul 29, 2025
Earnings Call Sentiment Neutral
The earnings call presented a mix of positive and negative aspects. While the company achieved strong revenue and income, declared dividends, and outperformed in certain segments, it faced significant challenges from economic uncertainties, declining aftermarket revenues, and challenges in Class 8 truck sales due to the broader market conditions and regulatory uncertainties.Q1-2025 Updates
Positive Updates
Strong Revenue and Net Income
Achieved revenues of $1.85 billion and net income of $60.3 million or $0.73 per diluted share in Q1 2025.
Dividend Declaration
Board of Directors declared a cash dividend of $0.18 per common share for the quarter.
Outperformance in Medium Duty Truck Sales
Despite a 3.5% decline in the overall market, sold 3,329 new Class 4 through 7 trucks, increasing market share to 5.6% in the U.S.
Aftermarket Expansion
Expanded aftermarket sales force and added service technicians to improve service levels and decrease customer dwell time.
Leasing and Rental Revenue Increase
Leasing and rental revenue increased by 2.3% compared to Q1 2024, totaling $90 million for the quarter.
Negative Updates
Freight Recession and Economic Uncertainty
The business environment was difficult due to the freight recession, economic uncertainty, U.S. trade policies, tariffs, and emissions regulations.
Decline in Aftermarket Revenues
Parts, service, and body shop revenues were $619 million, down 4.6% compared to the previous year.
Class 8 Truck Sales Challenges
U.S. and Canadian retail truck sales totaled 57,946 in Q1, down 9% year-over-year. The company's sales were down 7.8%.
Used Truck Sales Decline
Sold 1,769 used trucks in Q1, a decrease of 2.7% compared to 2021.
Tariff and Regulation Uncertainties
Concerns over tariffs and emission regulations create uncertainty in the market, affecting customer purchasing decisions.
Company Guidance
In the first quarter of 2025, Rush Enterprises reported revenues of $1.85 billion and net income of $60.3 million, which amounts to $0.73 per diluted share. The company declared a cash dividend of $0.18 per common share. Despite a challenging business environment characterized by a freight recession, economic uncertainty, and changing trade policies, Rush Enterprises managed to outperform the broader market thanks to strategic initiatives and a diversified customer base. Class 8 truck sales were down 7.8% year-over-year, but the company maintained a 6.1% market share in the U.S. and 1.1% in Canada. Medium duty truck sales allowed Rush to outperform the market with a 5.6% market share in the U.S. and 3.1% in Canada. The aftermarket segment saw revenues of $619 million, a 4.6% decrease year-over-year, with an absorption ratio of 128.6%. Leasing and rental revenue was up 2.3%, totaling $90 million for the quarter. Looking ahead, management anticipates slight sequential improvement in Class 8 sales and aftermarket revenues in Q2, while actively monitoring supply chain issues and proposed tariffs that may impact parts availability and pricing.Rush Enterprises A Corporate Events
Executive/Board ChangesShareholder Meetings
Rush Enterprises Holds 2025 Annual Shareholders Meeting
Neutral
May 20, 2025
On May 20, 2025, Rush Enterprises, Inc. held its 2025 Annual Meeting of Shareholders, where the election of directors and the ratification of the company’s independent registered public accounting firm were key agenda items. Shareholders elected nine directors, including W.M. “Rusty” Rush and others, to serve until the 2026 Annual Meeting. Additionally, Ernst & Young LLP was ratified as the independent registered public accounting firm for the 2025 fiscal year.
The most recent analyst rating on (RUSHA) stock is a Buy with a $60.00 price target. To see the full list of analyst forecasts on Rush Enterprises A stock, see the RUSHA Stock Forecast page.
Business Operations and Strategy
Rush Enterprises Engages with Investors via Presentation
Neutral
May 6, 2025
Rush Enterprises, Inc. has announced that its senior management will be engaging with current and potential investors and business analysts over the next few months. The company will utilize an Investor Presentation, which will be available on its website, to facilitate these discussions, though it reserves the right to remove the presentation at any time.
DividendsBusiness Operations and StrategyFinancial Disclosures
Rush Enterprises Reports Q1 2025 Revenue Decline
Negative
Apr 30, 2025
Rush Enterprises reported first-quarter 2025 revenues of $1.85 billion and net income of $60.3 million, reflecting a decline from the previous year due to challenging market conditions, including a freight recession and economic uncertainties. Despite these challenges, the company outperformed the industry in medium-duty truck sales and maintained steady aftermarket revenues, supported by strategic initiatives and a diversified customer base. The board declared a $0.18 per share dividend, and the company anticipates slight improvements in aftermarket revenues and truck sales in the coming quarters, although uncertainties around tariffs and emissions regulations remain a concern.
Executive/Board Changes
Rush Enterprises Announces Executive Compensation Plans
Neutral
Mar 5, 2025
On March 3, 2025, Rush Enterprises, Inc. announced compensation payments for its executive officers, including cash bonuses, stock options, and restricted stock awards. The cash bonuses, based on competitive market data and the company’s 2024 fiscal year results, will be distributed on March 14, 2025. Stock options and restricted stock awards will also be granted on this date, with vesting conditions outlined in the company’s long-term incentive plan.
Glossary
OutperformA stock rated as "Outperform" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock is likely to deliver higher returns compared to the average returns of other stocks in the same sector or market index. Investors might consider this stock a good buying opportunity.
NeutralA stock rated as "Neutral" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly attractive nor unattractive for investment. Investors may consider holding onto the stock, as it is not expected to either significantly outperform or underperform the market.
UnderperformA stock rated as "Underperform" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests that the stock may deliver lower returns compared to the average returns of other stocks in the same sector or market index. Investors might consider selling the stock or avoiding it as an investment.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.