XPO Valuation

Q: What is the Fair Price of XPO * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

XPO * (MX$1446.03) is trading below our estimate of [[fair value]] (MX$1999.56)

Is XPO * undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of XPO * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: XPO * (MX$1446.03) is trading below our estimate of fair value (MX$1999.56)

Significantly Below Fair Value: XPO * is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for XPO *?

Key metric: As XPO * is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for XPO *. This is calculated by dividing XPO *'s market cap by their current earnings.
What is XPO *'s PE Ratio?
PE Ratio	74.1x
Earnings	US$192.00m
Market Cap	US$14.23b

XPO * key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue	2.3x
Enterprise Value/EBITDA	18.1x
PEG Ratio	3x

Price to Earnings Ratio vs Peers

How does XPO *'s PE Ratio compare to its peers?

The above table shows the PE ratio for XPO * vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
Company	Forward PE	Estimated Growth	Market Cap
Peer Average	16.5x
TRAXION A Grupo Traxión. de	15.6x	24.0%	Mex$10.3b
GMXT * GMéxico Transportes. de	15.4x	21.6%	Mex$133.8b
GAP B Grupo Aeroportuario del Pacífico. de	22.1x	18.0%	Mex$194.0b
ASUR B Grupo Aeroportuario del Sureste S. A. B. de C. V	12.7x	7.9%	Mex$161.6b
XPO * XPO	74.1x	24.9%	Mex$14.2b

Price-To-Earnings vs Peers: XPO * is expensive based on its Price-To-Earnings Ratio (74.1x) compared to the peer average (19.1x).

Price to Earnings Ratio vs Industry

How does XPO *'s PE Ratio compare vs other companies in the Global Transportation Industry?

8 Companies	Price / Earnings	Estimated Growth	Market Cap

8 Companies		Estimated Growth	Market Cap

No more companies

Price-To-Earnings vs Industry: XPO * is expensive based on its Price-To-Earnings Ratio (74.1x) compared to the Global Transportation industry average (15.8x).

Price to Earnings Ratio vs Fair Ratio

What is XPO *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

XPO * PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio	74.1x
Fair PE Ratio	n/a

Price-To-Earnings vs Fair Ratio: Insufficient data to calculate XPO *'s Price-To-Earnings Fair Ratio for valuation analysis.

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

Analyst Forecast: Insufficient data to show price forecast.