RXO (NYSE:RXO) Releases Quarterly Earnings Results, Beats Estimates By $0.01 EPS

RXO (NYSE:RXO) announced its quarterly earnings data on Thursday. The company reported $0.09 earnings per share for the quarter, topping analysts’ consensus estimates of $0.08 by $0.01, FiscalAI reports. RXO had a negative net margin of 1.35% and a negative return on equity of 0.07%. The business had revenue of $1.87 billion for the quarter, compared to analysts’ expectations of $1.82 billion. During the same quarter in the prior year, the company earned $0.01 earnings per share. The business’s revenue was up 31.7% compared to the same quarter last year.

RXO Stock Performance

Shares of NYSE RXO traded down $0.22 during trading on Friday, hitting $27.43. The company had a trading volume of 3,117,461 shares, compared to its average volume of 5,067,520. RXO has a 12 month low of $10.43 and a 12 month high of $29.90. The company has a debt-to-equity ratio of 0.30, a quick ratio of 1.27 and a current ratio of 1.27. The firm has a market capitalization of $4.52 billion, a P/E ratio of -53.78 and a beta of 2.10. The stock has a 50 day simple moving average of $23.75 and a 200 day simple moving average of $21.02.

Key Stories Impacting RXO

Here are the key news stories impacting RXO this week:

• Positive Sentiment: Q3 earnings and revenue exceeded expectations. RXO reported adjusted earnings of $0.09 per share versus the $0.08 consensus estimate. Revenue reached approximately $1.87 billion, ahead of the $1.82 billion forecast and up 31.7% year over year. Results also improved from $0.01 per share in the prior-year quarter. RXO Q3 Earnings and Revenues Top Estimates
• Positive Sentiment: Management highlighted profitable growth and continued market-share gains. The strong quarter provides evidence that RXO is expanding its freight brokerage operations despite challenging transportation-market conditions. RXO Delivers Strong Third-Quarter Results
• Neutral Sentiment: The pending acquisition by C.H. Robinson Worldwide introduces both opportunity and execution risk. The transaction could improve scale and strategic positioning, but investors are watching potential integration issues and concerns from carriers and shippers. C.H. Robinson leadership has addressed reported friction surrounding the proposed deal. C.H. Robinson Leaders Tackle RXO Friction Concerns
• Negative Sentiment: Brodsky & Smith announced an investor investigation involving RXO. The notice does not establish wrongdoing, but shareholder-investigation headlines can create legal uncertainty and short-term selling pressure. Brodsky and Smith Shareholder Update

Analyst Ratings Changes

A number of research firms have recently commented on RXO. Wells Fargo & Company increased their target price on RXO from $23.00 to $30.00 and gave the stock an “equal weight” rating in a research note on Tuesday, October 6th. BMO Capital Markets cut shares of RXO from an “outperform” rating to a “hold” rating and set a $30.25 price target on the stock. in a research note on Tuesday, October 6th. Deutsche Bank Aktiengesellschaft set a $30.00 price objective on shares of RXO in a research report on Friday, August 7th. Jefferies Financial Group lowered shares of RXO from a “buy” rating to a “hold” rating and set a $30.00 price objective for the company. in a research note on Tuesday, October 6th. Finally, Citigroup cut shares of RXO from a “neutral” rating to a “market perform” rating in a report on Thursday, October 15th. One analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, fifteen have issued a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, RXO currently has an average rating of “Hold” and an average target price of $26.08.

RXO Company Profile

RXO, Inc is a transportation and logistics company that connects shippers with motor carriers and other transportation providers. The company primarily operates an asset-light business model, arranging freight transportation rather than owning a large fleet of trucks.

Its services include truckload freight brokerage, managed transportation and last-mile delivery. RXO uses technology and logistics expertise to help businesses source transportation capacity, manage shipments and coordinate deliveries across their supply chains.

RXO serves customers throughout North America, including the United States, Canada and Mexico.