XPO INC (XPO) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:XPO - US9837931008 - Common Stock
142.92 USD
+2.07 (+1.47%)
142.92 USD
0 (0%)
XPO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 43 industry peers in the Ground Transportation industry. XPO has an excellent profitability rating, but 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.
In the past 5 years XPO has always been profitable.
In the past 5 years XPO always reported a positive cash flow from operatings.
1.2 Ratios
The Return On Assets of XPO (4.05%) is better 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 3 year average ROIC (7.94%) for XPO is below the current ROIC(8.40%), indicating increased profibility in the last year.
| 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.
XPO's Profit Margin has improved in the last couple of years.
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.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), XPO is destroying value.
XPO has more shares outstanding than it did 1 year ago.
Compared to 5 years ago, XPO has more shares outstanding
XPO has a better debt/assets ratio than last year.
2.2 Solvency
XPO has an Altman-Z score of 2.99. This indicates that XPO is financially healthy and has little risk of bankruptcy at the moment.
XPO has a better Altman-Z score (2.99) than 67.44% of its industry peers.
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 Debt to FCF ratio of 14.43. This is in the better half of the industry: XPO outperforms 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.
The Debt to Equity ratio of XPO (1.77) is worse than 81.40% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.77 | ||
| Debt/FCF | 14.43 | ||
| Altman-Z | 2.99 |
ROIC/WACC0.8
WACC10.49%
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 comparable to the rest of the 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.
With a Quick ratio value of 1.02, XPO perfoms like the industry average, outperforming 44.19% of the companies in the same industry.
| 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.
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.
Looking at the last year, XPO shows a decrease in Revenue. The Revenue has decreased by -0.28% in the last 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
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.
Based on estimates for the next years, XPO will show a small growth in Revenue. The Revenue will grow by 4.65% on average per year.
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.
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
The Price/Earnings ratio is 38.21, which means the current valuation is very expensive for XPO.
XPO's Price/Earnings is on the same level as the industry average.
XPO is valuated rather expensively when we compare the Price/Earnings ratio to 26.49, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 31.18, the valuation of XPO can be described as expensive.
XPO's Price/Forward Earnings ratio is in line with the industry average.
XPO's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 23.69.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 38.21 | ||
| Fwd PE | 31.18 |
4.2 Price Multiples
XPO's Enterprise Value to EBITDA ratio is in line with the industry average.
65.12% of the companies in the same industry are more expensive than XPO, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 72.31 | ||
| EV/EBITDA | 16.26 |
4.3 Compensation for Growth
The excellent profitability rating of XPO 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 | N/A |
142.92
+2.07 (+1.47%)
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 Cap16.78B
Revenue(TTM)8.07B
Net Income(TTM)332.00M
Analysts82.67
Price Target153.45 (7.37%)
Short Float %8.23%
Short Ratio7.38
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)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 | 38.21 | ||
| Fwd PE | 31.18 | ||
| P/S | 2.08 | ||
| P/FCF | 72.31 | ||
| P/OCF | 17.68 | ||
| P/B | 9.23 | ||
| P/tB | N/A | ||
| EV/EBITDA | 16.26 |
EPS(TTM)3.74
EY2.62%
EPS(NY)4.58
Fwd EY3.21%
FCF(TTM)1.98
FCFY1.38%
OCF(TTM)8.08
OCFY5.66%
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 | 2.99 |
F-Score5
WACC10.49%
ROIC/WACC0.8
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 38.21 and the Price/Book (PB) ratio is 9.23.
Can you provide the financial health for XPO stock?
The financial health rating of XPO INC (XPO) is 4 / 10.