GXO LOGISTICS INC (GXO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:GXO - US36262G1013 - Common Stock
53.14 USD
-0.66 (-1.23%)
53.14 USD
0 (0%)
GXO gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 23 industry peers in the Air Freight & Logistics industry. While GXO has a great profitability rating, there are quite some concerns on its financial health. GXO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year GXO was profitable.
GXO had a positive operating cash flow in the past year.
GXO had positive earnings in 4 of the past 5 years.
In the past 5 years GXO always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 0.75%, GXO is doing good in the industry, outperforming 60.87% of the companies in the same industry.
The Return On Equity of GXO (3.01%) is better than 60.87% of its industry peers.
The Return On Invested Capital of GXO (4.69%) is better than 60.87% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for GXO is significantly below the industry average of 12.34%.
The 3 year average ROIC (4.64%) for GXO is below the current ROIC(4.69%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 3.01% | ||
| ROIC | 4.69% |
ROA(3y)1.91%
ROA(5y)1.47%
ROE(3y)6.59%
ROE(5y)5.04%
ROIC(3y)4.64%
ROIC(5y)4.07%
1.3 Margins
With a decent Profit Margin value of 0.69%, GXO is doing good in the industry, outperforming 60.87% of the companies in the same industry.
GXO's Profit Margin has improved in the last couple of years.
With a decent Operating Margin value of 3.18%, GXO is doing good in the industry, outperforming 69.57% of the companies in the same industry.
GXO's Operating Margin has improved in the last couple of years.
GXO has a Gross Margin (15.14%) which is in line with its industry peers.
In the last couple of years the Gross Margin of GXO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.18% | ||
| PM (TTM) | 0.69% | ||
| GM | 15.14% |
OM growth 3Y0.48%
OM growth 5Y3.56%
PM growth 3Y-15.94%
PM growth 5Y3.05%
GM growth 3Y-1.15%
GM growth 5Y-0.33%
2. Health
2.1 Basic Checks
GXO has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
The number of shares outstanding for GXO has been increased compared to 1 year ago.
The number of shares outstanding for GXO has been increased compared to 5 years ago.
The debt/assets ratio for GXO is higher compared to a year ago.
2.2 Solvency
GXO has an Altman-Z score of 1.57. This is a bad value and indicates that GXO is not financially healthy and even has some risk of bankruptcy.
GXO has a Altman-Z score of 1.57. This is in the lower half of the industry: GXO underperforms 65.22% of its industry peers.
The Debt to FCF ratio of GXO is 35.04, which is on the high side as it means it would take GXO, 35.04 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of GXO (35.04) is better than 65.22% of its industry peers.
GXO has a Debt/Equity ratio of 0.74. This is a neutral value indicating GXO is somewhat dependend on debt financing.
GXO has a worse Debt to Equity ratio (0.74) than 69.57% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 35.04 | ||
| Altman-Z | 1.57 |
ROIC/WACC0.62
WACC7.61%
2.3 Liquidity
GXO has a Current Ratio of 0.71. This is a bad value and indicates that GXO is not financially healthy enough and could expect problems in meeting its short term obligations.
GXO has a Current ratio of 0.71. This is amonst the worse of the industry: GXO underperforms 86.96% of its industry peers.
GXO has a Quick Ratio of 0.71. This is a bad value and indicates that GXO is not financially healthy enough and could expect problems in meeting its short term obligations.
GXO's Quick ratio of 0.71 is on the low side compared to the rest of the industry. GXO is outperformed by 86.96% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 6.43% over the past year.
GXO shows quite a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 16.56% yearly.
GXO shows quite a strong growth in Revenue. In the last year, the Revenue has grown by 16.94%.
Measured over the past years, GXO shows a quite strong growth in Revenue. The Revenue has been growing by 13.95% on average per year.
EPS 1Y (TTM)6.43%
EPS 3Y-5.37%
EPS 5Y16.56%
EPS Q2Q%0%
Revenue 1Y (TTM)16.94%
Revenue growth 3Y13.82%
Revenue growth 5Y13.95%
Sales Q2Q%7.54%
3.2 Future
GXO is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 6.82% yearly.
GXO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 7.62% yearly.
EPS Next Y-10.25%
EPS Next 2Y5.24%
EPS Next 3Y6.82%
EPS Next 5YN/A
Revenue Next Year12.43%
Revenue Next 2Y9.1%
Revenue Next 3Y7.91%
Revenue Next 5Y7.62%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 20.05, which indicates a rather expensive current valuation of GXO.
GXO's Price/Earnings ratio is a bit cheaper when compared to the industry. GXO is cheaper than 73.91% of the companies in the same industry.
GXO's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.56.
A Price/Forward Earnings ratio of 17.20 indicates a rather expensive valuation of GXO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of GXO indicates a rather cheap valuation: GXO is cheaper than 82.61% of the companies listed in the same industry.
GXO is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 23.79, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.05 | ||
| Fwd PE | 17.2 |
4.2 Price Multiples
69.57% of the companies in the same industry are more expensive than GXO, based on the Enterprise Value to EBITDA ratio.
60.87% of the companies in the same industry are more expensive than GXO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 79.01 | ||
| EV/EBITDA | 9.81 |
4.3 Compensation for Growth
The decent profitability rating of GXO may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.21
EPS Next 2Y5.24%
EPS Next 3Y6.82%
5. Dividend
5.1 Amount
No dividends for GXO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
53.14
-0.66 (-1.23%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryAir Freight & Logistics
Earnings (Last)
Earnings (Next)
Inst Owners105.72%
Inst Owner Change-1.33%
Ins Owners0.62%
Ins Owner Change0.08%
Market Cap6.08B
Revenue(TTM)12.92B
Net Income(TTM)89.00M
Analysts84
Price Target65.22 (22.73%)
Short Float %6.38%
Short Ratio7.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.96%
Min EPS beat(2)-0.29%
Max EPS beat(2)4.22%
EPS beat(4)3
Avg EPS beat(4)5.58%
Min EPS beat(4)-0.29%
Max EPS beat(4)13.25%
EPS beat(8)7
Avg EPS beat(8)3.83%
EPS beat(12)11
Avg EPS beat(12)5.85%
EPS beat(16)15
Avg EPS beat(16)8.67%
Revenue beat(2)1
Avg Revenue beat(2)2.33%
Min Revenue beat(2)-0.73%
Max Revenue beat(2)5.4%
Revenue beat(4)2
Avg Revenue beat(4)1.24%
Min Revenue beat(4)-0.73%
Max Revenue beat(4)5.4%
Revenue beat(8)6
Avg Revenue beat(8)1.87%
Revenue beat(12)7
Avg Revenue beat(12)1.1%
Revenue beat(16)9
Avg Revenue beat(16)1.41%
PT rev (1m)3.22%
PT rev (3m)5.64%
EPS NQ rev (1m)-0.88%
EPS NQ rev (3m)-5.59%
EPS NY rev (1m)-0.87%
EPS NY rev (3m)-2.46%
Revenue NQ rev (1m)-0.23%
Revenue NQ rev (3m)-0.98%
Revenue NY rev (1m)-0.32%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.05 | ||
| Fwd PE | 17.2 | ||
| P/S | 0.47 | ||
| P/FCF | 79.01 | ||
| P/OCF | 13.52 | ||
| P/B | 2.06 | ||
| P/tB | N/A | ||
| EV/EBITDA | 9.81 |
EPS(TTM)2.65
EY4.99%
EPS(NY)3.09
Fwd EY5.82%
FCF(TTM)0.67
FCFY1.27%
OCF(TTM)3.93
OCFY7.4%
SpS112.86
BVpS25.81
TBVpS-15.57
PEG (NY)N/A
PEG (5Y)1.21
Graham Number39.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.75% | ||
| ROE | 3.01% | ||
| ROCE | 5.15% | ||
| ROIC | 4.69% | ||
| ROICexc | 4.9% | ||
| ROICexgc | 12.92% | ||
| OM | 3.18% | ||
| PM (TTM) | 0.69% | ||
| GM | 15.14% | ||
| FCFM | 0.6% |
ROA(3y)1.91%
ROA(5y)1.47%
ROE(3y)6.59%
ROE(5y)5.04%
ROIC(3y)4.64%
ROIC(5y)4.07%
ROICexc(3y)4.96%
ROICexc(5y)4.36%
ROICexgc(3y)11.14%
ROICexgc(5y)9.46%
ROCE(3y)5.1%
ROCE(5y)4.47%
ROICexgc growth 3Y3.74%
ROICexgc growth 5Y9.39%
ROICexc growth 3Y-3.46%
ROICexc growth 5Y5.94%
OM growth 3Y0.48%
OM growth 5Y3.56%
PM growth 3Y-15.94%
PM growth 5Y3.05%
GM growth 3Y-1.15%
GM growth 5Y-0.33%
F-Score5
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.74 | ||
| Debt/FCF | 35.04 | ||
| Debt/EBITDA | 2.53 | ||
| Cap/Depr | 82.89% | ||
| Cap/Sales | 2.89% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 52.26% | ||
| Profit Quality | 86.52% | ||
| Current Ratio | 0.71 | ||
| Quick Ratio | 0.71 | ||
| Altman-Z | 1.57 |
F-Score5
WACC7.61%
ROIC/WACC0.62
Cap/Depr(3y)88.79%
Cap/Depr(5y)81.94%
Cap/Sales(3y)3.22%
Cap/Sales(5y)3.28%
Profit Quality(3y)122.44%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)6.43%
EPS 3Y-5.37%
EPS 5Y16.56%
EPS Q2Q%0%
EPS Next Y-10.25%
EPS Next 2Y5.24%
EPS Next 3Y6.82%
EPS Next 5YN/A
Revenue 1Y (TTM)16.94%
Revenue growth 3Y13.82%
Revenue growth 5Y13.95%
Sales Q2Q%7.54%
Revenue Next Year12.43%
Revenue Next 2Y9.1%
Revenue Next 3Y7.91%
Revenue Next 5Y7.62%
EBIT growth 1Y15.13%
EBIT growth 3Y14.37%
EBIT growth 5Y18.01%
EBIT Next Year86.08%
EBIT Next 3Y29.81%
EBIT Next 5Y20.85%
FCF growth 1Y-70.5%
FCF growth 3Y-2.5%
FCF growth 5YN/A
OCF growth 1Y-20.91%
OCF growth 3Y6.46%
OCF growth 5Y30.51%
GXO LOGISTICS INC / GXO FAQ
Can you provide the ChartMill fundamental rating for GXO LOGISTICS INC?
ChartMill assigns a fundamental rating of 4 / 10 to GXO.
Can you provide the valuation status for GXO LOGISTICS INC?
ChartMill assigns a valuation rating of 5 / 10 to GXO LOGISTICS INC (GXO). This can be considered as Fairly Valued.
Can you provide the profitability details for GXO LOGISTICS INC?
GXO LOGISTICS INC (GXO) has a profitability rating of 7 / 10.
Can you provide the financial health for GXO stock?
The financial health rating of GXO LOGISTICS INC (GXO) is 1 / 10.
Can you provide the expected EPS growth for GXO stock?
The Earnings per Share (EPS) of GXO LOGISTICS INC (GXO) is expected to decline by -10.25% in the next year.