Morningstar

XPO Inc XPO

Morningstar Rating
Unlock
Stock XNYS Rating as of
—
View Full Chart
As of Delayed Price

Company Report

View Archive

XPO's LTL Tonnage and Yield Gains Remain Solid Despite Soft Industry Demand

Matthew Young

XPO got its start in mid-2011, when entrepreneur Brad Jacobs led an equity investment in expedited freight brokerage firm Express-1 Expedited Solutions. Jacobs launched an acquisition strategy targeting the asset-light US highway brokerage industry. By mid-2013, XPO's deal focus evolved beyond brokerage into heavy-goods last-mile delivery, intermodal, and global contract logistics. Then in 2015, XPO jumped into the asset-based trucking landscape with the acquisition of less-than-truckload carrier Con-way.

Read Full Report

Price vs Fair Value

View History
XPO is trading at a 51% premium.
Price
$107.45
Fair Value
$69.00
Uncertainty
High
1-Star Price
$174.39
5-Star Price
$19.00
Economic Moat
Mxxv
Capital Allocation
Xxznjvmy

Bulls Say, Bears Say

Bulls

Share gains from bankrupt LTL peer Yellow have provided a material boost to XPO's tonnage and network density.

Bears

Yellow aside, underlying demand across the broader trucking industry is facing near-term headwinds from sluggish industrial end markets and muted retailer inventory restocking.

Show More

News

View All

Trading Information

Previous Close Price
—
Day Range
—–—
52-Week Range
—–—
Bid/Ask
— / —
Market Cap
—
Volume/Avg
— / —

Key Statistics

Price/Earnings (Normalized)
30.02
Price/Sales
1.60
Dividend Yield (Trailing)
0.00%
Dividend Yield (Forward)
0.00%
Total Yield
—

Company Profile

Following the spinoff of its contract logistics division (GXO) in 2021 and freight brokerage operations (RXO) in 2022, XPO is moving closer to becoming a pure-play asset-based less-than-truckload carrier. On a pro forma basis for the RXO spinoff, We estimate LTL shipping now makes up 60% of total revenue, with XPO's European truckload and LTL operations making up 40%. However, XPO's LTL segment EBITDA mix is much higher than 60%. We believe XPO intends to divest its European trucking division once it finds the right buyer.
Sector
Industrials
Industry
Trucking
Stock Style Box
Mid Growth
Total Number of Employees
38,000
Website
https://www.xpo.com

Competitors

Valuation

View More
Metric
XPO
SAIA
ODFL
Price/Earnings (Normalized)
 30.0230.2433.16
Price/Book Value
 8.345.3410.11
Price/Sales
 1.603.717.09
Price/Cash Flow
 12.9619.4725.16
Price/Earnings
XPO
SAIA
ODFL

Financial Strength

Metric
XPO
SAIA
ODFL
Quick Ratio
 0.871.201.28
Current Ratio
 1.001.361.46
Interest Coverage
 3.19114.734,870.03
Quick Ratio
XPO
SAIA
ODFL

Profitability

Metric
XPO
SAIA
ODFL
Return on Assets (Normalized)
 6.87%14.50%23.62%
Return on Equity (Normalized)
 38.11%19.62%30.61%
Return on Invested Capital (Normalized)
 12.96%17.82%29.69%
Return on Assets
XPO
SAIA
ODFL

Trucking Industry Comparables

Screen With Investor
1-Day Chart
Name
Price
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
Old Dominion Freight Line Inc Ordinary Shares
ODFL
KrgdwdtkkLzmlymq$41.5 Bil
 TFI International Inc
TFII
—Psvwcvp$11.5 Bil
 Saia Inc
SAIA
HvhlgjdDrn$11.4 Bil
 Knight-Swift Transportation Holdings Inc Class A
KNX
VxcljmbpYdbl$8.4 Bil
 Schneider National Inc
SNDR
FmtdwcjqWmz$4.8 Bil
 RXO Inc
RXO
—Nsxgx$4.3 Bil
 Yamato Holdings Co Ltd ADR
YATRY
—Qzw$3.8 Bil
 Yamato Holdings Co Ltd
YATRF
—Pkkw$3.8 Bil
 Seino Holdings Co Ltd
SEOTF
—Rrmkd$2.8 Bil

Sponsor Center