RXO (NYSE:RXO) Stock Price Down 8.6% - Time to Sell?

Key Points

• Shares fell 8.6% on Friday to about $14.12 with only 197,894 shares traded—roughly 92% below the stock's average daily volume—reflecting a sharp price drop on low liquidity.
• RXO missed quarterly expectations, reporting EPS of ($0.07) versus consensus ($0.04) and revenue of $1.47B versus $1.50B, with revenue down 11.9% year-over-year and negative net margin and ROE.
• Analysts are mixed: the consensus rating is Hold with an average price target of $16.47 (4 Buys, 11 Holds, 4 Sells), though some firms recently raised targets (Citigroup $18, Barclays $17).

Shares of Rxo Inc (NYSE:RXO - Get Free Report) fell 8.6% during trading on Friday . The stock traded as low as $14.02 and last traded at $14.12. 197,894 shares changed hands during trading, a decline of 92% from the average session volume of 2,518,126 shares. The stock had previously closed at $15.45.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently weighed in on RXO shares. Citigroup upped their price target on shares of RXO from $15.00 to $18.00 and gave the stock a "neutral" rating in a research note on Monday, February 9th. Susquehanna raised their price objective on shares of RXO from $10.00 to $11.00 and gave the company a "negative" rating in a research report on Thursday, January 8th. Barclays lifted their target price on shares of RXO from $15.00 to $17.00 and gave the company an "overweight" rating in a research note on Wednesday. UBS Group restated a "neutral" rating on shares of RXO in a report on Sunday, February 8th. Finally, Wolfe Research upgraded shares of RXO from an "underperform" rating to a "peer perform" rating in a report on Friday, November 14th. Four equities research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and four have given a Sell rating to the stock. According to data from MarketBeat, the company currently has an average rating of "Hold" and a consensus price target of $16.47.

RXO Stock Performance

The company has a debt-to-equity ratio of 0.25, a quick ratio of 1.27 and a current ratio of 1.27. The company has a market capitalization of $2.26 billion, a P/E ratio of -23.74, a price-to-earnings-growth ratio of 11.61 and a beta of 1.67. The firm has a 50 day moving average price of $14.92 and a two-hundred day moving average price of $15.15.

RXO (NYSE:RXO - Get Free Report) last issued its quarterly earnings data on Friday, February 6th. The company reported ($0.07) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.04) by ($0.03). RXO had a negative net margin of 1.74% and a negative return on equity of 0.44%. The company had revenue of $1.47 billion for the quarter, compared to the consensus estimate of $1.50 billion. During the same period in the previous year, the business posted $0.06 earnings per share. The firm's revenue was down 11.9% compared to the same quarter last year. On average, research analysts expect that Rxo Inc will post 0.31 earnings per share for the current fiscal year.

Institutional Investors Weigh In On RXO

A number of large investors have recently bought and sold shares of RXO. Geneos Wealth Management Inc. bought a new position in shares of RXO in the first quarter valued at about $30,000. AlphaQuest LLC bought a new stake in shares of RXO during the second quarter valued at approximately $29,000. Flagship Harbor Advisors LLC acquired a new stake in shares of RXO in the fourth quarter valued at approximately $25,000. Quarry LP bought a new position in RXO in the 3rd quarter worth approximately $33,000. Finally, Larson Financial Group LLC lifted its holdings in RXO by 146.5% during the 3rd quarter. Larson Financial Group LLC now owns 2,766 shares of the company's stock worth $43,000 after buying an additional 1,644 shares in the last quarter. 92.73% of the stock is currently owned by institutional investors.

RXO Company Profile

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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