NYSE:XPO

Stock Analysis Report

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Executive Summary

XPO Logistics, Inc. provides supply chain solutions in the United States, rest of North America, France, the United Kingdom, rest of Europe, and internationally. More Details


Snowflake Analysis

Moderate growth potential and overvalued.


Similar Companies

Share Price & News

How has XPO Logistics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: XPO is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 5% a week.

Volatility Over Time: XPO's weekly volatility (5%) has been stable over the past year.


Market Performance


7 Day Return

1.4%

XPO

0.05%

US Logistics

-2.4%

US Market


1 Year Return

67.2%

XPO

56.8%

US Logistics

31.2%

US Market

Return vs Industry: XPO exceeded the US Logistics industry which returned 56.8% over the past year.

Return vs Market: XPO exceeded the US Market which returned 31.2% over the past year.


Shareholder returns

XPOIndustryMarket
7 Day1.4%0.05%-2.4%
30 Day-2.0%2.1%-3.0%
90 Day-4.1%-4.1%3.2%
1 Year67.2%67.2%58.7%56.8%34.1%31.2%
3 Year13.6%13.6%22.5%18.2%48.1%38.6%
5 Year340.6%340.6%94.2%82.7%116.5%92.3%

Long-Term Price Volatility Vs. Market

How volatile is XPO Logistics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is XPO Logistics undervalued compared to its fair value and its price relative to the market?

5.8%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: XPO ($115.04) is trading below our estimate of fair value ($122.07)

Significantly Below Fair Value: XPO is trading below fair value, but not by a significant amount.


Price To Earnings Ratio

PE vs Industry: XPO is poor value based on its PE Ratio (134x) compared to the US Logistics industry average (29.5x).

PE vs Market: XPO is poor value based on its PE Ratio (134x) compared to the US market (21x).


Price to Earnings Growth Ratio

PEG Ratio: XPO is poor value based on its PEG Ratio (4.5x)


Price to Book Ratio

PB vs Industry: XPO is overvalued based on its PB Ratio (4.3x) compared to the US Logistics industry average (2.7x).


Next Steps

Future Growth

How is XPO Logistics forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?

29.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: XPO's forecast earnings growth (29.7% per year) is above the savings rate (2%).

Earnings vs Market: XPO's earnings (29.7% per year) are forecast to grow faster than the US market (19.5% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: XPO's revenue (5.8% per year) is forecast to grow slower than the US market (10.1% per year).

High Growth Revenue: XPO's revenue (5.8% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: XPO's Return on Equity is forecast to be low in 3 years time (16.1%).


Next Steps

Past Performance

How has XPO Logistics performed over the past 5 years?

33.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: XPO has a large one-off loss of $56.0M impacting its December 31 2020 financial results.

Growing Profit Margin: XPO's current net profit margins (0.5%) are lower than last year (2.3%).


Past Earnings Growth Analysis

Earnings Trend: XPO has become profitable over the past 5 years, growing earnings by 33.7% per year.

Accelerating Growth: XPO's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: XPO had negative earnings growth (-79.1%) over the past year, making it difficult to compare to the Logistics industry average (-12%).


Return on Equity

High ROE: XPO's Return on Equity (4.1%) is considered low.


Next Steps

Financial Health

How is XPO Logistics's financial position?


Financial Position Analysis

Short Term Liabilities: XPO's short term assets ($5.4B) exceed its short term liabilities ($5.2B).

Long Term Liabilities: XPO's short term assets ($5.4B) do not cover its long term liabilities ($8.2B).


Debt to Equity History and Analysis

Debt Level: XPO's debt to equity ratio (225%) is considered high.

Reducing Debt: XPO's debt to equity ratio has increased from 175.1% to 225% over the past 5 years.

Debt Coverage: XPO's debt is not well covered by operating cash flow (13.8%).

Interest Coverage: XPO's interest payments on its debt are not well covered by EBIT (1.6x coverage).


Balance Sheet


Next Steps

Dividend

What is XPO Logistics's current dividend yield, its reliability and sustainability?

0.003%

Forecast Dividend Yield


Dividend Yield vs Market

Notable Dividend: Unable to evaluate XPO's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate XPO's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if XPO's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if XPO's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of XPO's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

4.3yrs

Average management tenure


CEO

Brad Jacobs (63 yo)

9.5yrs

Tenure

US$7,858,337

Compensation

Mr. Bradley S. Jacobs, also known as Brad, has been the Chairman and Chief Executive Officer of XPO Logistics, Inc., since September 2, 2011. Mr. Jacobs has been President of the Supervisory Board at XPO L...


CEO Compensation Analysis

Compensation vs Market: Brad's total compensation ($USD7.86M) is about average for companies of similar size in the US market ($USD10.58M).

Compensation vs Earnings: Brad's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Bradley Jacobs
Chairman & CEO9.5yrsUS$7.86m0.38%
$ 47.4m
Troy Cooper
President2.92yrsUS$4.37m0.14%
$ 17.1m
Mario Harik
Chief Information Officer9.33yrsUS$2.13m0.12%
$ 15.1m
David Wyshner
Chief Financial Officer1yrno data0.0015%
$ 183.9k
Alex Santoro
Executive VP of Operations & Chief Commercial Officer0.58yrno datano data
Lance Robinson
Chief Accounting Officer5.42yrsno data0.071%
$ 8.9m
Tavio Headley
Vice President of Investor Relations7.5yrsno datano data
Michele Chapman
Senior Vice President of Sales Operations3.17yrsno datano data
Josephine Berisha
Chief Human Resources Officer0.50yrno datano data
Dennis McCaffrey
Senior VP & Regional Strategic Account Managerno dataUS$159.92kno data
Luis-Angel Izaguirre
President of Transport – Europe5.75yrsno datano data
Charles Brooks
President of Less-Than-Truckload - North Americano datano datano data

4.3yrs

Average Tenure

50.5yo

Average Age

Experienced Management: XPO's management team is considered experienced (4.3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Bradley Jacobs
Chairman & CEO9.5yrsUS$7.86m0.38%
$ 47.4m
Oren Shaffer
Independent Director9.5yrsUS$287.31k0.030%
$ 3.8m
Michael Jesselson
Lead Independent Director5yrsUS$287.31k0.28%
$ 34.7m
Adrian Kingshott
Independent Director9.5yrsUS$277.31k0.072%
$ 9.0m
Jason Papastavrou
Independent Director9.5yrsUS$277.31k0.18%
$ 22.1m
AnnaMaria DeSalva
Independent Vice Chairman of the Board2.08yrsUS$299.74k0.0028%
$ 352.8k
Gena Ashe
Independent Director5yrsUS$262.31k0%
$ 0
Marlene Colucci
Independent Director2.08yrsUS$224.64k0.0026%
$ 322.8k

7.3yrs

Average Tenure

59yo

Average Age

Experienced Board: XPO's board of directors are considered experienced (7.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: XPO insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 10.7%.


Top Shareholders

Company Information

XPO Logistics, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: XPO Logistics, Inc.
  • Ticker: XPO
  • Exchange: NYSE
  • Founded: 2000
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: US$12.510b
  • Shares outstanding: 102.20m
  • Website: https://www.xpo.com

Number of Employees


Location

  • XPO Logistics, Inc.
  • Five American Lane
  • Greenwich
  • Connecticut
  • 6831
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
XPONYSE (New York Stock Exchange)YesCommon StockUSUSDJul 2002
UX2ADB (Deutsche Boerse AG)YesCommon StockDEEURJul 2002
0M1OLSE (London Stock Exchange)YesCommon StockGBUSDJul 2002
XPO *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJul 2002

Biography

XPO Logistics, Inc. provides supply chain solutions in the United States, rest of North America, France, the United Kingdom, rest of Europe, and internationally. The company operates in two segments, Trans...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/03/04 23:11
End of Day Share Price2021/03/04 00:00
Earnings2020/12/31
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.