XPO, Inc. (NYSE:XPO) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Analysts maintain a “Moderate Buy” consensus on XPO, with 17 buy, two strong-buy, five hold and one sell rating among 25 analysts. The average 12-month price target is $225.86, compared with the stock’s $201.25 opening price.
• XPO exceeded quarterly expectations, reporting $1.70 in earnings per share versus the $1.48 consensus estimate and $2.35 billion in revenue, up 13.2% year over year. Improved LTL productivity, pricing and freight trends helped drive the results.
• Management expects continued margin improvement, including a third-quarter LTL operating ratio below 81% and at least 200 basis points of full-year margin expansion. However, the stock’s relatively high valuation leaves it vulnerable to weaker freight demand, pricing pressure or missed margin targets.

Shares of XPO, Inc. (NYSE:XPO - Get Free Report) have been assigned a consensus recommendation of "Moderate Buy" from the twenty-five analysts that are currently covering the company, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, five have assigned a hold rating, seventeen have given a buy rating and two have assigned a strong buy rating to the company. The average 1-year price target among brokerages that have issued a report on the stock in the last year is $225.8571.

XPO has been the subject of several recent research reports. Benchmark upped their price target on shares of XPO from $220.00 to $240.00 and gave the stock a "buy" rating in a research report on Friday, May 1st. Wells Fargo & Company lifted their price objective on shares of XPO from $235.00 to $250.00 and gave the company an "overweight" rating in a research report on Friday, June 5th. Zacks Research raised shares of XPO from a "hold" rating to a "strong-buy" rating in a research note on Thursday, June 4th. Morgan Stanley set a $105.00 target price on shares of XPO and gave the stock an "underweight" rating in a research report on Friday, May 1st. Finally, Weiss Ratings lowered shares of XPO from a "hold (c+)" rating to a "hold (c)" rating in a research note on Tuesday, July 28th.

XPO Price Performance

Shares of XPO opened at $201.25 on Monday. The company has a market cap of $23.63 billion, a P/E ratio of 59.36, a PEG ratio of 2.25 and a beta of 1.85. The stock has a fifty day moving average price of $210.20 and a 200 day moving average price of $199.68. The company has a debt-to-equity ratio of 1.55, a current ratio of 1.01 and a quick ratio of 1.01. XPO has a 12 month low of $116.68 and a 12 month high of $232.05.

XPO (NYSE:XPO - Get Free Report) last issued its earnings results on Thursday, July 30th. The transportation company reported $1.70 earnings per share for the quarter, topping the consensus estimate of $1.48 by $0.22. The firm had revenue of $2.35 billion for the quarter, compared to analyst estimates of $2.28 billion. XPO had a return on equity of 29.64% and a net margin of 4.71%.The firm's revenue for the quarter was up 13.2% on a year-over-year basis. During the same period last year, the company earned $1.05 earnings per share. On average, research analysts forecast that XPO will post 5.04 earnings per share for the current year.

Trending Headlines about XPO

Here are the key news stories impacting XPO this week:

• Positive Sentiment: Quarterly earnings and revenue exceeded expectations. XPO reported adjusted diluted EPS of $1.70, up from $1.05 a year earlier and ahead of the roughly $1.48–$1.49 consensus estimate. Revenue rose 13.2% year over year to approximately $2.35 billion, surpassing analysts’ $2.28 billion forecast. XPO Reports Second Quarter 2026 Results
• Positive Sentiment: LTL performance drove profitability gains. Management cited productivity improvements, stronger pricing and favorable freight trends, with artificial intelligence helping improve network efficiency and operating margins. XPO Q2 Earnings Call Highlights AI-Driven Margin Gains
• Positive Sentiment: Management raised confidence in the near-term outlook. XPO expects its third-quarter LTL operating ratio to be below 81% and is targeting at least 200 basis points of full-year margin improvement. Greater demand from manufacturers and improved pricing support the company’s expectations. XPO Margin Outlook
• Neutral Sentiment: Despite the favorable earnings reaction, XPO trades at a relatively high earnings multiple, leaving the stock sensitive to any slowdown in freight demand, weaker pricing or failure to deliver the projected margin expansion.

Insider Transactions at XPO

In related news, Director Allison Landry sold 2,400 shares of the stock in a transaction that occurred on Thursday, May 28th. The stock was sold at an average price of $215.61, for a total value of $517,464.00. Following the completion of the transaction, the director directly owned 4,849 shares of the company's stock, valued at $1,045,492.89. This represents a 33.11% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 0.87% of the stock is owned by company insiders.

Institutional Trading of XPO

Several hedge funds have recently added to or reduced their stakes in XPO. Renaissance Technologies LLC raised its position in shares of XPO by 73.3% during the 1st quarter. Renaissance Technologies LLC now owns 178,720 shares of the transportation company's stock worth $34,770,000 after buying an additional 75,600 shares in the last quarter. Border to Coast Pensions Partnership Ltd bought a new position in shares of XPO in the first quarter valued at approximately $36,048,000. Bank of New York Mellon Corp boosted its holdings in shares of XPO by 0.9% in the first quarter. Bank of New York Mellon Corp now owns 716,747 shares of the transportation company's stock valued at $139,443,000 after acquiring an additional 6,167 shares in the last quarter. Calamos Advisors LLC increased its stake in shares of XPO by 247.8% during the fourth quarter. Calamos Advisors LLC now owns 13,973 shares of the transportation company's stock valued at $1,899,000 after acquiring an additional 9,956 shares during the period. Finally, K.J. Harrison & Partners Inc increased its stake in shares of XPO by 460.0% during the fourth quarter. K.J. Harrison & Partners Inc now owns 28,000 shares of the transportation company's stock valued at $3,805,000 after acquiring an additional 23,000 shares during the period. Institutional investors own 97.73% of the company's stock.

About XPO

XPO Logistics, Inc is a global provider of transportation and logistics services, offering a broad portfolio of solutions designed to optimize supply chains for businesses of all sizes. The company's operations span freight brokerage, less-than-truckload (LTL) shipping, full truckload transportation, last-mile delivery, contract logistics and global forwarding. XPO aims to leverage advanced technology and operational expertise to drive efficiency, visibility and reliability across end-to-end supply-chain networks.

In its freight brokerage segment, XPO connects shippers to a network of carriers through digital platforms that facilitate rate comparisons, booking, tracking and settlement.

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