Truist Financial Cuts RXO (NYSE:RXO) Price Target to $28.00

Key Points

• Truist Financial lowered RXO’s price target to $28 from $30 while maintaining a “buy” rating, implying 34.36% upside from the prior close.
• RXO’s latest quarterly results exceeded expectations, with EPS of $0.06 versus $0.04 forecast and revenue of $1.77 billion, up 25% year over year. However, the company remains unprofitable on a GAAP basis, with a negative 1.83% net margin.
• Analyst sentiment is mixed: six rate RXO a buy, nine a hold and four a sell, producing a consensus “hold” rating and $24.38 price target amid concerns about freight-market recovery and performance durability.

RXO (NYSE:RXO - Get Free Report) had its price target cut by analysts at Truist Financial from $30.00 to $28.00 in a report issued on Friday,Benzinga reports. The firm presently has a "buy" rating on the stock. Truist Financial's price target would suggest a potential upside of 34.36% from the stock's previous close.

Several other brokerages have also commented on RXO. The Goldman Sachs Group raised their price objective on RXO from $18.00 to $20.00 and gave the company a "neutral" rating in a research report on Thursday, July 16th. Citizens Jmp raised RXO from a "market perform" rating to an "outperform" rating and set a $30.00 target price for the company in a report on Friday. Stifel Nicolaus boosted their price objective on shares of RXO from $22.00 to $30.00 and gave the company a "buy" rating in a report on Monday, July 13th. UBS Group raised their target price on RXO from $22.00 to $26.00 and gave the stock a "neutral" rating in a research report on Tuesday, June 30th. Finally, TD Cowen reaffirmed a "sell" rating and issued a $17.50 target price (down from $19.00) on shares of RXO in a report on Friday. Six research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and four have issued a Sell rating to the company. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and a consensus price target of $24.38.

RXO Stock Performance

Shares of RXO stock opened at $20.84 on Friday. The company has a market capitalization of $3.44 billion, a P/E ratio of -34.79 and a beta of 2.10. RXO has a fifty-two week low of $10.43 and a fifty-two week high of $29.90. The company has a debt-to-equity ratio of 0.28, a quick ratio of 1.27 and a current ratio of 1.27. The stock has a 50 day moving average price of $26.17 and a two-hundred day moving average price of $20.08.

RXO (NYSE:RXO - Get Free Report) last issued its earnings results on Thursday, August 6th. The company reported $0.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.04 by $0.02. RXO had a negative net margin of 1.83% and a negative return on equity of 1.16%. The firm had revenue of $1.77 billion for the quarter, compared to analysts' expectations of $1.63 billion. During the same quarter last year, the business earned $0.04 earnings per share. The business's revenue was up 25.0% on a year-over-year basis. Analysts expect that RXO will post 0.07 earnings per share for the current year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of RXO. Oregon Public Employees Retirement Fund raised its holdings in RXO by 1.6% in the 4th quarter. Oregon Public Employees Retirement Fund now owns 37,543 shares of the company's stock valued at $475,000 after acquiring an additional 600 shares during the last quarter. Public Employees Retirement System of Ohio grew its position in shares of RXO by 18.3% in the first quarter. Public Employees Retirement System of Ohio now owns 4,196 shares of the company's stock valued at $61,000 after purchasing an additional 649 shares during the period. Oppenheimer & Co. Inc. increased its stake in RXO by 1.5% in the fourth quarter. Oppenheimer & Co. Inc. now owns 49,406 shares of the company's stock valued at $624,000 after purchasing an additional 724 shares during the last quarter. City Holding Co. lifted its position in RXO by 227.6% during the second quarter. City Holding Co. now owns 1,245 shares of the company's stock worth $34,000 after buying an additional 865 shares during the period. Finally, ProShare Advisors LLC boosted its stake in RXO by 3.2% in the 4th quarter. ProShare Advisors LLC now owns 31,634 shares of the company's stock worth $400,000 after buying an additional 972 shares during the last quarter. 92.73% of the stock is owned by hedge funds and other institutional investors.

Key Stories Impacting RXO

Here are the key news stories impacting RXO this week:

• Positive Sentiment: RXO earned $0.06 per share, above the $0.04 consensus estimate and up from $0.04 a year earlier. Revenue reached $1.77 billion, exceeding the $1.63 billion estimate and increasing 25% year over year. RXO Q2 Earnings and Revenues Surpass Estimates
• Positive Sentiment: Management highlighted profitable volume growth, including 2% truckload volume growth in brokerage, market-share gains and another sequential record for gross profit per load. The results suggest RXO is improving execution ahead of its previous expectations. RXO Strong Second-Quarter Results
• Neutral Sentiment: The earnings release and conference call provide additional detail on RXO’s third-quarter outlook, operating metrics and market conditions. The results were characterized as strong overall, but not uniformly positive across the business. RXO Q2 2026 Earnings Call Transcript
• Negative Sentiment: Despite the earnings beat, investors appear concerned about a mixed second-quarter performance and the durability of the recovery in freight markets. Coverage pointed to a still-challenging environment, with Forward Air’s recovery and slowing Class 8 truck orders limiting enthusiasm for transportation stocks. RXO Mixed Q2 Results and Industry Conditions
• Negative Sentiment: RXO remains unprofitable on a GAAP basis, reporting a negative net margin of 1.83% and negative return on equity of 1.16%. That may make investors more sensitive to any signs that freight-market improvements or margin gains could stall.

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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