RXO (NYSE:RXO) Posts Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• RXO reported earnings of $0.04 per share, beating analysts' expectations of $0.02 by $0.02, despite revenues falling slightly short at $1.42 billion against a forecast of $1.44 billion.
• The company's quarterly revenue increased by 52.6% year-over-year, reflecting significant growth compared to the previous year.
• Analysts maintain a mixed outlook on RXO, with a consensus target price of $18.29, but ratings range from "sell" to "buy" across various firms.

RXO (NYSE:RXO - Get Free Report) posted its quarterly earnings data on Thursday. The company reported $0.04 earnings per share for the quarter, topping analysts' consensus estimates of $0.02 by $0.02, Zacks reports. The firm had revenue of $1.42 billion during the quarter, compared to analysts' expectations of $1.44 billion. RXO had a positive return on equity of 1.18% and a negative net margin of 5.45%. The business's quarterly revenue was up 52.6% on a year-over-year basis. During the same quarter last year, the firm earned $0.03 EPS.

RXO Stock Performance

RXO traded down $0.21 on Friday, reaching $14.57. 2,266,022 shares of the stock were exchanged, compared to its average volume of 1,668,951. The company's 50-day moving average price is $16.09 and its 200 day moving average price is $17.31. The firm has a market capitalization of $2.39 billion, a PE ratio of -6.75, a PEG ratio of 7.62 and a beta of 1.68. RXO has a fifty-two week low of $12.19 and a fifty-two week high of $31.98. The company has a debt-to-equity ratio of 0.24, a current ratio of 1.35 and a quick ratio of 1.30.

Wall Street Analysts Forecast Growth

A number of analysts have recently weighed in on the company. Morgan Stanley lowered their price objective on RXO from $23.00 to $21.00 and set an "equal weight" rating for the company in a research report on Monday, July 7th. Cowen reissued a "hold" rating on shares of RXO in a research report on Friday. JPMorgan Chase & Co. lowered their price objective on RXO from $15.00 to $14.00 and set an "underweight" rating for the company in a research report on Tuesday, July 8th. Citigroup reissued a "neutral" rating and issued a $18.00 price objective (up previously from $15.00) on shares of RXO in a research report on Wednesday, May 21st. Finally, Stifel Nicolaus lowered their price objective on RXO from $24.00 to $14.00 and set a "hold" rating for the company in a research report on Thursday, May 8th. One research analyst has rated the stock with a sell rating, thirteen have issued a hold rating and three have given a buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $18.29.

Hedge Funds Weigh In On RXO

A number of institutional investors have recently modified their holdings of the stock. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. raised its stake in shares of RXO by 4.6% during the 1st quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 94,940 shares of the company's stock valued at $1,813,000 after buying an additional 4,134 shares during the last quarter. Royal Bank of Canada raised its stake in shares of RXO by 14.3% during the 1st quarter. Royal Bank of Canada now owns 23,251 shares of the company's stock valued at $444,000 after buying an additional 2,902 shares during the last quarter. Strs Ohio purchased a new position in shares of RXO during the 1st quarter valued at about $97,000. Finally, Geneos Wealth Management Inc. purchased a new position in shares of RXO during the 1st quarter valued at about $30,000. Hedge funds and other institutional investors own 92.73% of the company's stock.

About RXO

RXO, Inc provides full truckload freight transportation brokering services. It also offers brokered services for managed transportation, last mile, and freight forwarding. The company was incorporated in 2022 and is based in Charlotte, North Carolina.

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