Florida-based transportation and logistics company Ryder System (R) has partnered with Waymo Via, a trucking and local delivery segment of autonomous driving technology development firm Waymo, to provide maintenance for Class 8 autonomous trucks. With this deal, Ryder aims to boost vehicle uptime and scale nationwide operations.
Ryder offers supply chain management, fleet management and transportation management services, including last-mile delivery, E-commerce fulfillment, warehousing and distribution, freight brokerage, professional drivers, used vehicle sales, and full-service leasing, rental, and maintenance services.
Under the agreement, the companies will work together to evolve maintenance practices and service autonomously driven trucks across Waymo Via sites in Ohio, Texas, Michigan, California and Arizona. Roadside service will also be provided between hubs. (See Ryder stock chart on TipRanks)
The Chief Marketing Officer and Head of New Product Development at Ryder, Karen Jones, said, “While this partnership initially focuses on fleet maintenance, we see many opportunities to collaborate on autonomous trucking operations in order to successfully deploy these trucks at scale.”
The company’s shares closed 1.8% lower at $75.72 on Wednesday.
Last month, Wells Fargo analyst Allison Poliniak maintained a Hold rating on the stock with a price target of $78 (3% upside potential). The analyst expects the company to report earnings per share (EPS) of $0.97 in the third quarter.
Overall, the stock has a Moderate Buy consensus rating based on 1 Buy and 2 Holds. The average Ryder System price target of $83.67 implies 10.5% upside potential. Shares of the company have gained 91.4% over the past year.