XPO INC (XPO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XPO - US9837931008 - Common Stock
149.06 USD
-1.06 (-0.71%)
149.06 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 has a expensive valuation and it also scores bad on growth.
1. Profitability
1.1 Basic Checks
XPO had positive earnings in the past year.
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
XPO has a better Return On Assets (4.05%) than 67.44% of its industry peers.
The Return On Equity of XPO (18.27%) is better than 81.40% of its industry peers.
The Return On Invested Capital of XPO (8.40%) is better than 81.40% 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 6.83%.
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 74.42% of its industry peers.
In the last couple of years the Profit Margin of XPO has grown nicely.
XPO has a better Operating Margin (8.73%) than 72.09% of its industry peers.
In the last couple of years the Operating Margin of XPO has grown nicely.
Looking at the Gross Margin, with a value of 60.26%, XPO is in the better half of 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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), XPO is destroying value.
The number of shares outstanding for XPO has been increased compared to 1 year ago.
The number of shares outstanding for XPO has been increased compared to 5 years ago.
XPO has a better debt/assets ratio than last year.
2.2 Solvency
XPO has an Altman-Z score of 3.07. This indicates that XPO is financially healthy and has little risk of bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.07, XPO is in the better half of the industry, outperforming 67.44% of the companies in the same industry.
XPO has a debt to FCF ratio of 14.43. This is a negative value and a sign of low solvency as XPO would need 14.43 years to pay back of all of its debts.
XPO has a better Debt to FCF ratio (14.43) than 65.12% 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.
With a Debt to Equity ratio value of 1.77, XPO is not doing good in the industry: 81.40% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | 14.43 | ||
| Altman-Z | 3.07 |
ROIC/WACC0.83
WACC10.09%
2.3 Liquidity
XPO has a Current Ratio of 1.02. This is a normal value and indicates that XPO is financially healthy and should not expect problems in meeting its short term obligations.
With a Current ratio value of 1.02, XPO perfoms like the industry average, outperforming 44.19% of the companies in the same industry.
XPO has a Quick Ratio of 1.02. This is a normal value and indicates that XPO is financially healthy and should not expect problems in meeting its short term obligations.
XPO has a Quick ratio (1.02) which is in line with its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.02 | ||
| Quick Ratio | 1.02 |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 0.54% over the past year.
The Earnings Per Share has been decreasing by -1.25% on average over the past years.
The Revenue has decreased by -0.28% in the past year.
XPO shows a decrease in Revenue. Measured over the last years, the Revenue has been decreasing by -5.45% yearly.
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
Based on estimates for the next years, XPO will show a quite strong growth in Earnings Per Share. The EPS will grow by 15.97% on average per year.
XPO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.65% yearly.
EPS Next Y-3.02%
EPS Next 2Y9.26%
EPS Next 3Y14.27%
EPS Next 5Y15.97%
Revenue Next Year0.55%
Revenue Next 2Y2.14%
Revenue Next 3Y3.35%
Revenue Next 5Y4.65%
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.
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 39.86, XPO can be considered very expensive at the moment.
XPO's Price/Earnings ratio is in line with the industry average.
The average S&P500 Price/Earnings ratio is at 26.54. XPO is valued rather expensively when compared to this.
Based on the Price/Forward Earnings ratio of 32.51, the valuation of XPO can be described as expensive.
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 valuation a bit more expensive than the S&P500 average which is at 23.78.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.86 | ||
| Fwd PE | 32.51 |
4.2 Price Multiples
XPO's Enterprise Value to EBITDA ratio is in line with the industry average.
XPO's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. XPO is cheaper than 65.12% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 75.42 | ||
| EV/EBITDA | 16.95 |
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 14.27% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y9.26%
EPS Next 3Y14.27%
5. Dividend
5.1 Amount
No dividends for XPO!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
149.06
-1.06 (-0.71%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryGround Transportation
Earnings (Last)
Earnings (Next)
Inst Owners108.77%
Inst Owner Change1.63%
Ins Owners1.82%
Ins Owner Change-0.01%
Market Cap17.50B
Revenue(TTM)8.07B
Net Income(TTM)332.00M
Analysts82.67
Price Target153.45 (2.95%)
Short Float %8.23%
Short Ratio7.38
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)6.48%
PT rev (3m)9.68%
EPS NQ rev (1m)-2.24%
EPS NQ rev (3m)-4.77%
EPS NY rev (1m)0%
EPS NY rev (3m)0.31%
Revenue NQ rev (1m)-0.45%
Revenue NQ rev (3m)-0.15%
Revenue NY rev (1m)0.28%
Revenue NY rev (3m)0.6%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 39.86 | ||
| Fwd PE | 32.51 | ||
| P/S | 2.17 | ||
| P/FCF | 75.42 | ||
| P/OCF | 18.44 | ||
| P/B | 9.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.95 |
EPS(TTM)3.74
EY2.51%
EPS(NY)4.58
Fwd EY3.08%
FCF(TTM)1.98
FCFY1.33%
OCF(TTM)8.08
OCFY5.42%
SpS68.73
BVpS15.48
TBVpS-0.46
PEG (NY)N/A
PEG (5Y)N/A
Graham Number36.09
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 | 3.07 |
F-Score5
WACC10.09%
ROIC/WACC0.83
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 2Y9.26%
EPS Next 3Y14.27%
EPS Next 5Y15.97%
Revenue 1Y (TTM)-0.28%
Revenue growth 3Y3.87%
Revenue growth 5Y-5.45%
Sales Q2Q%2.83%
Revenue Next Year0.55%
Revenue Next 2Y2.14%
Revenue Next 3Y3.35%
Revenue Next 5Y4.65%
EBIT growth 1Y-0.56%
EBIT growth 3Y33.38%
EBIT growth 5Y6.62%
EBIT Next Year72.92%
EBIT Next 3Y29.36%
EBIT Next 5Y20.88%
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 39.86 and the Price/Book (PB) ratio is 9.63.
Can you provide the financial health for XPO stock?
The financial health rating of XPO INC (XPO) is 4 / 10.