XPO INC (XPO) Stock Fundamental Analysis
USA - NYSE:XPO - US9837931008 - Common Stock
133.75 USD
-1.72 (-1.27%)
133.75 USD
0 (0%)
Taking everything into account, XPO scores 5 out of 10 in our fundamental rating. XPO was compared to 43 industry peers in the Ground Transportation industry. While XPO has a great profitability rating, there are some minor concerns on its financial health. XPO does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year XPO was profitable.
XPO had a positive operating cash flow in the past year.
Each year in the past 5 years XPO has been profitable.
Each year in the past 5 years XPO had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 4.05%, XPO is in the better half of the industry, outperforming 67.44% of the companies in the same industry.
XPO has a better Return On Equity (18.27%) than 81.40% of its industry peers.
XPO has a Return On Invested Capital of 8.40%. This is in the better half of the industry: XPO outperforms 79.07% of its industry peers.
XPO had an Average Return On Invested Capital over the past 3 years of 7.94%. This is in line with the industry average of 7.44%.
The last Return On Invested Capital (8.40%) for XPO is above the 3 year average (7.94%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.05% | ||
| ROE | 18.27% | ||
| ROIC | 8.4% |
ROA(3y)6.05%
ROA(5y)4.5%
ROE(3y)34.97%
ROE(5y)27.47%
ROIC(3y)7.94%
ROIC(5y)5.64%
1.3 Margins
XPO has a Profit Margin of 4.12%. This is in the better half of the industry: XPO outperforms 72.09% of its industry peers.
In the last couple of years the Profit Margin of XPO has grown nicely.
The Operating Margin of XPO (8.73%) is better than 72.09% of its industry peers.
In the last couple of years the Operating Margin of XPO has grown nicely.
With a decent Gross Margin value of 60.26%, XPO is doing good in the industry, outperforming 69.77% of the companies in the same industry.
XPO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.73% | ||
| PM (TTM) | 4.12% | ||
| GM | 60.26% |
OM growth 3Y28.41%
OM growth 5Y12.76%
PM growth 3Y0.91%
PM growth 5Y6.2%
GM growth 3Y17.98%
GM growth 5Y13.75%
2. Health
2.1 Basic Checks
XPO 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 XPO has been increased compared to 1 year ago.
XPO has more shares outstanding than it did 5 years ago.
XPO has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 2.92 indicates that XPO is not a great score, but indicates only limited risk for bankruptcy at the moment.
XPO has a better Altman-Z score (2.92) than 67.44% of its industry peers.
The Debt to FCF ratio of XPO is 14.43, which is on the high side as it means it would take XPO, 14.43 years of fcf income to pay off all of its debts.
XPO's Debt to FCF ratio of 14.43 is fine compared to the rest of the industry. XPO outperforms 67.44% of its industry peers.
XPO has a Debt/Equity ratio of 1.77. This is a high value indicating a heavy dependency on external financing.
XPO's Debt to Equity ratio of 1.77 is on the low side compared to the rest of the industry. XPO is outperformed by 79.07% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | 14.43 | ||
| Altman-Z | 2.92 |
ROIC/WACC0.91
WACC9.28%
2.3 Liquidity
A Current Ratio of 1.02 indicates that XPO should not have too much problems paying its short term obligations.
XPO has a Current ratio (1.02) which is in line with its industry peers.
A Quick Ratio of 1.02 indicates that XPO should not have too much problems paying its short term obligations.
The Quick ratio of XPO (1.02) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 |
3. Growth
3.1 Past
XPO shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 0.54%.
Measured over the past years, XPO shows a decrease in Earnings Per Share. The EPS has been decreasing by -1.25% on average per year.
The Revenue has decreased by -0.28% in the past year.
The Revenue has been decreasing by -5.45% on average over the past years.
EPS 1Y (TTM)0.54%
EPS 3Y-11.82%
EPS 5Y-1.25%
EPS Q2Q%4.9%
Revenue 1Y (TTM)-0.28%
Revenue growth 3Y3.87%
Revenue growth 5Y-5.45%
Sales Q2Q%2.83%
3.2 Future
The Earnings Per Share is expected to grow by 15.72% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.50% on average over the next years.
EPS Next Y-3.02%
EPS Next 2Y8.9%
EPS Next 3Y13.37%
EPS Next 5Y15.72%
Revenue Next Year0.27%
Revenue Next 2Y2.07%
Revenue Next 3Y3.14%
Revenue Next 5Y4.5%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 35.76, XPO can be considered very expensive at the moment.
The rest of the industry has a similar Price/Earnings ratio as XPO.
XPO's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 25.89.
A Price/Forward Earnings ratio of 29.37 indicates a quite expensive valuation of XPO.
Compared to the rest of the industry, the Price/Forward Earnings ratio of XPO is on the same level as its industry peers.
XPO's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 34.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.76 | ||
| Fwd PE | 29.37 |
4.2 Price Multiples
XPO's Enterprise Value to EBITDA ratio is in line with the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of XPO indicates a somewhat cheap valuation: XPO is cheaper than 67.44% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 67.89 | ||
| EV/EBITDA | 15.58 |
4.3 Compensation for Growth
XPO has an outstanding profitability rating, which may justify a higher PE ratio.
XPO's earnings are expected to grow with 13.37% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y8.9%
EPS Next 3Y13.37%
5. Dividend
5.1 Amount
No dividends for XPO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
133.75
-1.72 (-1.27%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners106.87%
Inst Owner Change-0.21%
Ins Owners1.81%
Ins Owner Change-0.01%
Market Cap15.75B
Revenue(TTM)8.07B
Net Income(TTM)332.00M
Analysts82
Price Target144.11 (7.75%)
Short Float %9.67%
Short Ratio9.49
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)4.53%
Min EPS beat(2)4.12%
Max EPS beat(2)4.94%
EPS beat(4)4
Avg EPS beat(4)14.62%
Min EPS beat(4)4.12%
Max EPS beat(4)38.89%
EPS beat(8)8
Avg EPS beat(8)15.27%
EPS beat(12)12
Avg EPS beat(12)17.44%
EPS beat(16)16
Avg EPS beat(16)18.84%
Revenue beat(2)2
Avg Revenue beat(2)0.62%
Min Revenue beat(2)0.43%
Max Revenue beat(2)0.81%
Revenue beat(4)2
Avg Revenue beat(4)-0.48%
Min Revenue beat(4)-2.15%
Max Revenue beat(4)0.81%
Revenue beat(8)4
Avg Revenue beat(8)-0.3%
Revenue beat(12)6
Avg Revenue beat(12)-0.28%
Revenue beat(16)6
Avg Revenue beat(16)-17.95%
PT rev (1m)2.6%
PT rev (3m)3%
EPS NQ rev (1m)-2.53%
EPS NQ rev (3m)-2.42%
EPS NY rev (1m)0.3%
EPS NY rev (3m)1.62%
Revenue NQ rev (1m)0.35%
Revenue NQ rev (3m)0.45%
Revenue NY rev (1m)0.34%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.76 | ||
| Fwd PE | 29.37 | ||
| P/S | 1.95 | ||
| P/FCF | 67.89 | ||
| P/OCF | 16.6 | ||
| P/B | 8.67 | ||
| P/tB | N/A | ||
| EV/EBITDA | 15.58 |
EPS(TTM)3.74
EY2.8%
EPS(NY)4.55
Fwd EY3.4%
FCF(TTM)1.97
FCFY1.47%
OCF(TTM)8.06
OCFY6.03%
SpS68.5
BVpS15.43
TBVpS-0.46
PEG (NY)N/A
PEG (5Y)N/A
Graham Number36.03
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.05% | ||
| ROE | 18.27% | ||
| ROCE | 10.79% | ||
| ROIC | 8.4% | ||
| ROICexc | 8.86% | ||
| ROICexgc | 12.7% | ||
| OM | 8.73% | ||
| PM (TTM) | 4.12% | ||
| GM | 60.26% | ||
| FCFM | 2.88% |
ROA(3y)6.05%
ROA(5y)4.5%
ROE(3y)34.97%
ROE(5y)27.47%
ROIC(3y)7.94%
ROIC(5y)5.64%
ROICexc(3y)8.52%
ROICexc(5y)6.05%
ROICexgc(3y)13.48%
ROICexgc(5y)9.52%
ROCE(3y)10.2%
ROCE(5y)7.25%
ROICexgc growth 3Y29.62%
ROICexgc growth 5Y10.06%
ROICexc growth 3Y32.6%
ROICexc growth 5Y19.05%
OM growth 3Y28.41%
OM growth 5Y12.76%
PM growth 3Y0.91%
PM growth 5Y6.2%
GM growth 3Y17.98%
GM growth 5Y13.75%
F-Score5
Asset Turnover0.99
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | 14.43 | ||
| Debt/EBITDA | 2.65 | ||
| Cap/Depr | 139.77% | ||
| Cap/Sales | 8.89% | ||
| Interest Coverage | 3.02 | ||
| Cash Conversion | 77.98% | ||
| Profit Quality | 69.88% | ||
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 | ||
| Altman-Z | 2.92 |
F-Score5
WACC9.28%
ROIC/WACC0.91
Cap/Depr(3y)216.26%
Cap/Depr(5y)156.91%
Cap/Sales(3y)12.11%
Cap/Sales(5y)8.82%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)0.54%
EPS 3Y-11.82%
EPS 5Y-1.25%
EPS Q2Q%4.9%
EPS Next Y-3.02%
EPS Next 2Y8.9%
EPS Next 3Y13.37%
EPS Next 5Y15.72%
Revenue 1Y (TTM)-0.28%
Revenue growth 3Y3.87%
Revenue growth 5Y-5.45%
Sales Q2Q%2.83%
Revenue Next Year0.27%
Revenue Next 2Y2.07%
Revenue Next 3Y3.14%
Revenue Next 5Y4.5%
EBIT growth 1Y-0.56%
EBIT growth 3Y33.38%
EBIT growth 5Y6.62%
EBIT Next Year73.05%
EBIT Next 3Y29.52%
EBIT Next 5Y20.65%
FCF growth 1Y514.29%
FCF growth 3Y-65.23%
FCF growth 5Y-45.95%
OCF growth 1Y56.86%
OCF growth 3Y3.87%
OCF growth 5Y0.43%
XPO INC / XPO FAQ
Can you provide the ChartMill fundamental rating for XPO INC?
ChartMill assigns a fundamental rating of 5 / 10 to XPO.
What is the valuation status of XPO INC (XPO) stock?
ChartMill assigns a valuation rating of 3 / 10 to XPO INC (XPO). This can be considered as Overvalued.
What is the profitability of XPO stock?
XPO INC (XPO) has a profitability rating of 8 / 10.
What is the valuation of XPO INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for XPO INC (XPO) is 35.76 and the Price/Book (PB) ratio is 8.67.
Can you provide the financial health for XPO stock?
The financial health rating of XPO INC (XPO) is 4 / 10.