Bank of America Cuts RXO (NYSE:RXO) Price Target to $15.00

Key Points

• Bank of America cut its price target on RXO from $17.00 to $15.00 and kept a "neutral" rating, implying roughly a 7.4% upside from the prior close.
• RXO recently missed its quarter with EPS of ($0.07) vs. ($0.04) expected and revenue of $1.47B vs. $1.50B expected, with revenue down 11.9% year-over-year and negative net margin and ROE.
• Shares trade near $13.96 with a market cap of $2.29B and a 52-week range of $10.43–$19.65, while institutional ownership is high at 92.73% and the consensus analyst rating is "Hold" (average target $16.07).

RXO (NYSE:RXO - Get Free Report) had its target price decreased by Bank of America from $17.00 to $15.00 in a research note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "neutral" rating on the stock. Bank of America's target price would suggest a potential upside of 7.42% from the company's previous close.

Several other research firms also recently commented on RXO. Stephens set a $15.00 price target on shares of RXO in a research report on Monday, February 9th. Benchmark reissued a "hold" rating on shares of RXO in a research report on Monday, February 9th. TD Cowen restated a "hold" rating on shares of RXO in a research note on Friday, January 9th. UBS Group reaffirmed a "neutral" rating on shares of RXO in a report on Sunday, February 8th. Finally, Weiss Ratings reiterated a "sell (d-)" rating on shares of RXO in a research note on Monday, December 22nd. Four investment analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and four have given a Sell rating to the company. Based on data from MarketBeat, the company currently has an average rating of "Hold" and a consensus target price of $16.07.

RXO Stock Up 4.9%

Shares of NYSE RXO opened at $13.96 on Wednesday. The stock has a market cap of $2.29 billion, a PE ratio of -24.08, a price-to-earnings-growth ratio of 9.35 and a beta of 1.67. The company has a quick ratio of 1.27, a current ratio of 1.27 and a debt-to-equity ratio of 0.25. RXO has a 52-week low of $10.43 and a 52-week high of $19.65. The business has a 50-day moving average price of $14.80 and a 200 day moving average price of $14.88.

RXO (NYSE:RXO - Get Free Report) last released its quarterly earnings results on Friday, February 6th. The company reported ($0.07) EPS for the quarter, missing the consensus estimate of ($0.04) by ($0.03). The firm had revenue of $1.47 billion for the quarter, compared to analyst estimates of $1.50 billion. RXO had a negative return on equity of 0.44% and a negative net margin of 1.74%.The company's quarterly revenue was down 11.9% on a year-over-year basis. During the same period last year, the firm earned $0.06 EPS. Equities research analysts forecast that RXO will post 0.31 earnings per share for the current year.

Hedge Funds Weigh In On RXO

Institutional investors have recently bought and sold shares of the company. Flagship Harbor Advisors LLC acquired a new stake in shares of RXO in the 4th quarter worth $25,000. Geneos Wealth Management Inc. purchased a new position in RXO during the first quarter worth about $30,000. Quarry LP purchased a new position in RXO during the third quarter worth about $33,000. Larson Financial Group LLC lifted its position in RXO by 146.5% in the third quarter. Larson Financial Group LLC now owns 2,766 shares of the company's stock valued at $43,000 after purchasing an additional 1,644 shares during the period. Finally, Jones Financial Companies Lllp lifted its position in RXO by 27.0% in the third quarter. Jones Financial Companies Lllp now owns 3,298 shares of the company's stock valued at $49,000 after purchasing an additional 701 shares during the period. 92.73% of the stock is owned by institutional investors and hedge funds.

About RXO

RXO Inc NYSE: RXO is a leading asset-light provider of digital freight brokerage and managed transportation solutions. The company leverages a proprietary technology platform to connect shippers with a network of third-party carriers, enabling optimized route planning, real-time shipment tracking, and dynamic pricing. RXO’s end-to-end service model spans full truckload, less-than-truckload (LTL), intermodal and cross-border freight movements, designed to improve efficiency and reduce transportation costs for its customers.

Operating primarily across North America, RXO serves a diverse base of shippers in industries ranging from retail and consumer goods to manufacturing and automotive.

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