XPO (NYSE:XPO) Stock Rating Cut to "Hold" at Zacks Research

Key Points

• Zacks Research downgraded XPO from “strong buy” to “hold,” although the broader analyst consensus remains “Moderate Buy” with an average price target of $225.82.
• XPO recently exceeded quarterly expectations, reporting $1.70 in EPS versus $1.48 expected and revenue of $2.35 billion, up 13.2% year over year.
• The stock opened at $176.21, below its 50-day and 200-day moving averages, while insiders sold 8,365 shares worth $1.61 million during the last quarter; institutional investors own 97.73% of shares.

XPO (NYSE:XPO - Get Free Report) was downgraded by stock analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a report issued on Tuesday, Zacks reports.

A number of other equities research analysts have also recently commented on the stock. Oppenheimer increased their target price on shares of XPO from $236.00 to $238.00 and gave the company an "outperform" rating in a research report on Friday, July 31st. Weiss Ratings lowered shares of XPO from a "buy (b-)" rating to a "hold (c+)" rating in a report on Tuesday, August 25th. Citigroup reduced their price target on XPO from $221.00 to $220.00 and set a "neutral" rating on the stock in a research report on Tuesday, September 8th. Raymond James Financial decreased their price objective on XPO from $233.00 to $225.00 and set an "outperform" rating for the company in a report on Monday, July 13th. Finally, TD Cowen raised their price objective on XPO from $224.00 to $228.00 and gave the stock a "buy" rating in a research report on Friday, July 31st. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, six have issued a Hold rating and one has issued a Sell rating to the company's stock. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $225.82.

XPO Stock Performance

Shares of XPO stock opened at $176.21 on Tuesday. The company has a market capitalization of $20.63 billion, a PE ratio of 51.98, a P/E/G ratio of 1.81 and a beta of 1.85. The company has a debt-to-equity ratio of 1.55, a quick ratio of 1.01 and a current ratio of 1.01. The company has a 50-day simple moving average of $192.26 and a two-hundred day simple moving average of $202.14. XPO has a one year low of $121.48 and a one year high of $232.05.

XPO (NYSE:XPO - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The transportation company reported $1.70 EPS for the quarter, beating the consensus estimate of $1.48 by $0.22. XPO had a net margin of 4.71% and a return on equity of 29.64%. The business had revenue of $2.35 billion during the quarter, compared to analyst estimates of $2.28 billion. During the same period in the prior year, the firm posted $1.05 earnings per share. The company's quarterly revenue was up 13.2% on a year-over-year basis. Research analysts expect that XPO will post 5.42 EPS for the current fiscal year.

Insider Buying and Selling

In other XPO news, CFO Kyle Wismans sold 750 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The shares were sold at an average price of $178.52, for a total transaction of $133,890.00. Following the completion of the transaction, the chief financial officer directly owned 48,716 shares of the company's stock, valued at approximately $8,696,780.32. This trade represents a 1.52% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, COO David J. Bates sold 2,615 shares of the firm's stock in a transaction that occurred on Monday, September 14th. The stock was sold at an average price of $179.41, for a total transaction of $469,157.15. Following the transaction, the chief operating officer directly owned 64,735 shares of the company's stock, valued at $11,614,106.35. This represents a 3.88% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 8,365 shares of company stock valued at $1,612,085 over the last quarter. 0.87% of the stock is currently owned by company insiders.

Institutional Trading of XPO

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. QRG Capital Management Inc. boosted its holdings in XPO by 16.3% in the second quarter. QRG Capital Management Inc. now owns 7,116 shares of the transportation company's stock valued at $1,461,000 after purchasing an additional 997 shares during the last quarter. Andra AP fonden acquired a new stake in XPO during the 2nd quarter worth about $16,854,000. Tidal Investments LLC raised its stake in shares of XPO by 45.4% during the 2nd quarter. Tidal Investments LLC now owns 7,452 shares of the transportation company's stock valued at $1,530,000 after buying an additional 2,328 shares during the last quarter. National Pension Service purchased a new stake in shares of XPO in the second quarter worth about $37,695,000. Finally, WINTON GROUP Ltd boosted its stake in shares of XPO by 311.5% in the second quarter. WINTON GROUP Ltd now owns 10,700 shares of the transportation company's stock worth $2,197,000 after buying an additional 8,100 shares during the last quarter. Institutional investors and hedge funds own 97.73% of the company's stock.

About XPO

XPO, Inc is a transportation and logistics company that provides freight services to businesses in North America and Europe. Its primary business is less-than-truckload (LTL) transportation, which consolidates shipments from multiple customers onto individual trailers. The company serves manufacturers, retailers, distributors and other commercial customers.

XPO's services include regional, interregional and cross-border LTL transportation, freight pickup and delivery, shipment tracking, and related supply chain solutions.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.