RXO INC (RXO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:RXO - US74982T1034 - Common Stock
14.75 USD
0 (0%)
14.75 USD
0 (0%)
We assign a fundamental rating of 3 out of 10 to RXO. RXO was compared to 42 industry peers in the Ground Transportation industry. RXO scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. RXO is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
In the past year RXO was profitable.
In the past year RXO had a positive cash flow from operations.
Of the past 5 years RXO 4 years were profitable.
Of the past 5 years RXO 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of -2.47%, RXO is doing worse than 64.29% of the companies in the same industry.
With a Return On Equity value of -5.00%, RXO is not doing good in the industry: 64.29% of the companies in the same industry are doing better.
Looking at the Return On Invested Capital, with a value of 0.38%, RXO is doing worse than 66.67% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for RXO is in line with the industry average of 6.93%.
The last Return On Invested Capital (0.38%) for RXO is well below the 3 year average (6.68%), which needs to be investigated, but indicates that RXO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.47% | ||
| ROE | -5% | ||
| ROIC | 0.38% |
ROA(3y)-1.25%
ROA(5y)1.16%
ROE(3y)-0.55%
ROE(5y)3.28%
ROIC(3y)6.68%
ROIC(5y)7.55%
1.3 Margins
Looking at the Operating Margin, with a value of 0.19%, RXO is doing worse than 66.67% of the companies in the same industry.
In the last couple of years the Operating Margin of RXO has declined.
With a Gross Margin value of 16.53%, RXO is not doing good in the industry: 71.43% of the companies in the same industry are doing better.
In the last couple of years the Gross Margin of RXO has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 0.19% | ||
| PM (TTM) | N/A | ||
| GM | 16.53% |
OM growth 3Y-45.97%
OM growth 5Y-25.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.37%
GM growth 5Y-0.88%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), RXO is destroying value.
Compared to 1 year ago, RXO has more shares outstanding
Compared to 1 year ago, RXO has an improved debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.73 indicates that RXO is not a great score, but indicates only limited risk for bankruptcy at the moment.
RXO has a Altman-Z score of 2.73. This is comparable to the rest of the industry: RXO outperforms 59.52% of its industry peers.
A Debt/Equity ratio of 0.24 indicates that RXO is not too dependend on debt financing.
RXO has a better Debt to Equity ratio (0.24) than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Altman-Z | 2.73 |
ROIC/WACC0.04
WACC10.31%
2.3 Liquidity
A Current Ratio of 1.32 indicates that RXO should not have too much problems paying its short term obligations.
Looking at the Current ratio, with a value of 1.32, RXO is in line with its industry, outperforming 59.52% of the companies in the same industry.
RXO has a Quick Ratio of 1.32. This is a normal value and indicates that RXO is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.32, RXO is doing good in the industry, outperforming 61.90% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 |
3. Growth
3.1 Past
RXO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.27%.
RXO shows a strong growth in Revenue. In the last year, the Revenue has grown by 53.85%.
The Revenue has been growing slightly by 7.69% on average over the past years.
EPS 1Y (TTM)-27.27%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-80%
Revenue 1Y (TTM)53.85%
Revenue growth 3Y-1%
Revenue growth 5Y7.69%
Sales Q2Q%36.63%
3.2 Future
RXO is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 66.66% yearly.
Based on estimates for the next years, RXO will show a quite strong growth in Revenue. The Revenue will grow by 12.22% on average per year.
EPS Next Y-89.63%
EPS Next 2Y24.79%
EPS Next 3Y66.66%
EPS Next 5YN/A
Revenue Next Year27.13%
Revenue Next 2Y14.6%
Revenue Next 3Y11.71%
Revenue Next 5Y12.22%
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 184.38, RXO can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of RXO indicates a slightly more expensive valuation: RXO is more expensive than 64.29% of the companies listed in the same industry.
RXO's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.25.
RXO is valuated quite expensively with a Price/Forward Earnings ratio of 86.11.
64.29% of the companies in the same industry are cheaper than RXO, based on the Price/Forward Earnings ratio.
RXO is valuated expensively when we compare the Price/Forward Earnings ratio to 23.98, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 184.38 | ||
| Fwd PE | 86.11 |
4.2 Price Multiples
RXO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. RXO is more expensive than 66.67% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | N/A | ||
| EV/EBITDA | 21.2 |
4.3 Compensation for Growth
A more expensive valuation may be justified as RXO's earnings are expected to grow with 66.66% in the coming years.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y24.79%
EPS Next 3Y66.66%
5. Dividend
5.1 Amount
No dividends for RXO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
14.75
0 (0%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners110.21%
Inst Owner Change0.16%
Ins Owners0.65%
Ins Owner Change0.23%
Market Cap2.42B
Revenue(TTM)5.94B
Net Income(TTM)-79.00M
Analysts66.92
Price Target15.83 (7.32%)
Short Float %6.95%
Short Ratio5.24
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)14.37%
Min EPS beat(2)-72.3%
Max EPS beat(2)101.04%
EPS beat(4)2
Avg EPS beat(4)-7.18%
Min EPS beat(4)-72.3%
Max EPS beat(4)101.04%
EPS beat(8)6
Avg EPS beat(8)10.08%
EPS beat(12)9
Avg EPS beat(12)46.37%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)0
Avg Revenue beat(2)-2.1%
Min Revenue beat(2)-2.41%
Max Revenue beat(2)-1.8%
Revenue beat(4)0
Avg Revenue beat(4)-2.52%
Min Revenue beat(4)-5.04%
Max Revenue beat(4)-0.83%
Revenue beat(8)1
Avg Revenue beat(8)-1.44%
Revenue beat(12)2
Avg Revenue beat(12)-2.37%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0.36%
PT rev (3m)-4.18%
EPS NQ rev (1m)-17.26%
EPS NQ rev (3m)-129.53%
EPS NY rev (1m)-48.4%
EPS NY rev (3m)-92.23%
Revenue NQ rev (1m)-0.13%
Revenue NQ rev (3m)-6.26%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)-2.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 184.38 | ||
| Fwd PE | 86.11 | ||
| P/S | 0.41 | ||
| P/FCF | N/A | ||
| P/OCF | 65.42 | ||
| P/B | 1.53 | ||
| P/tB | N/A | ||
| EV/EBITDA | 21.2 |
EPS(TTM)0.08
EY0.54%
EPS(NY)0.17
Fwd EY1.16%
FCF(TTM)-0.11
FCFYN/A
OCF(TTM)0.23
OCFY1.53%
SpS36.2
BVpS9.63
TBVpS-0.04
PEG (NY)N/A
PEG (5Y)N/A
Graham Number4.16
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -2.47% | ||
| ROE | -5% | ||
| ROCE | 0.48% | ||
| ROIC | 0.38% | ||
| ROICexc | 0.38% | ||
| ROICexgc | 1.27% | ||
| OM | 0.19% | ||
| PM (TTM) | N/A | ||
| GM | 16.53% | ||
| FCFM | N/A |
ROA(3y)-1.25%
ROA(5y)1.16%
ROE(3y)-0.55%
ROE(5y)3.28%
ROIC(3y)6.68%
ROIC(5y)7.55%
ROICexc(3y)7.11%
ROICexc(5y)7.93%
ROICexgc(3y)19.6%
ROICexgc(5y)21.22%
ROCE(3y)8.45%
ROCE(5y)9.55%
ROICexgc growth 3Y-52.22%
ROICexgc growth 5YN/A
ROICexc growth 3Y-56.75%
ROICexc growth 5YN/A
OM growth 3Y-45.97%
OM growth 5Y-25.79%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-0.37%
GM growth 5Y-0.88%
F-Score4
Asset Turnover1.86
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | N/A | ||
| Debt/EBITDA | 2.93 | ||
| Cap/Depr | 45.45% | ||
| Cap/Sales | 0.93% | ||
| Interest Coverage | 0.35 | ||
| Cash Conversion | 28.03% | ||
| Profit Quality | N/A | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.32 | ||
| Altman-Z | 2.73 |
F-Score4
WACC10.31%
ROIC/WACC0.04
Cap/Depr(3y)71.18%
Cap/Depr(5y)64.7%
Cap/Sales(3y)1.27%
Cap/Sales(5y)1.21%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-27.27%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%-80%
EPS Next Y-89.63%
EPS Next 2Y24.79%
EPS Next 3Y66.66%
EPS Next 5YN/A
Revenue 1Y (TTM)53.85%
Revenue growth 3Y-1%
Revenue growth 5Y7.69%
Sales Q2Q%36.63%
Revenue Next Year27.13%
Revenue Next 2Y14.6%
Revenue Next 3Y11.71%
Revenue Next 5Y12.22%
EBIT growth 1Y-71.79%
EBIT growth 3Y-46.51%
EBIT growth 5Y-20.08%
EBIT Next Year168.04%
EBIT Next 3Y74.77%
EBIT Next 5Y56.44%
FCF growth 1Y-121.95%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y-74.66%
OCF growth 3YN/A
OCF growth 5YN/A
RXO INC / RXO FAQ
What is the fundamental rating for RXO stock?
ChartMill assigns a fundamental rating of 3 / 10 to RXO.
What is the valuation status for RXO stock?
ChartMill assigns a valuation rating of 1 / 10 to RXO INC (RXO). This can be considered as Overvalued.
What is the profitability of RXO stock?
RXO INC (RXO) has a profitability rating of 3 / 10.
What is the expected EPS growth for RXO INC (RXO) stock?
The Earnings per Share (EPS) of RXO INC (RXO) is expected to decline by -89.63% in the next year.