XPO Logistics Valuation
| XPO Stock | USD 93.78 3.51 3.61% |
At this time, the company appears to be undervalued. XPO Logistics maintains a prevalent Real Value of $113.13 per share. The last-minute price of the company is $93.78. Our model calculates the value of XPO Logistics from analyzing the company fundamentals such as Profit Margin of 0.05 %, current valuation of 14.92 B, and Return On Equity of 0.27 as well as examining its technical indicators and probability of bankruptcy. Key fundamental drivers impacting XPO Logistics' valuation include:
Price Book 6.9038 | Enterprise Value | Enterprise Value Ebitda 12.5776 | Price Sales 1.3684 | Forward PE 25.0627 |
Undervalued
Today
Please note that XPO Logistics' price fluctuation is very steady at this time. Calculation of the real value of XPO Logistics is based on 3 months time horizon. Increasing XPO Logistics' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Since XPO Logistics is currently traded on the exchange, buyers and sellers on that exchange determine the market value of XPO Stock. However, XPO Logistics' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 93.78 | Real 113.13 | Target 149.36 | Hype 93.87 | Naive 80.31 |
The intrinsic value of XPO Logistics' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence XPO Logistics' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of XPO Logistics helps investors to forecast how XPO stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of XPO Logistics more accurately as focusing exclusively on XPO Logistics' fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use XPO Logistics' intrinsic value based on its ongoing forecasts of XPO Logistics' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against XPO Logistics' closest peers.
XPO Logistics Cash |
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XPO Valuation Trend
Knowing XPO Logistics' actual value is paramount for traders when making sound investment determinations. Using both XPO Logistics' enterprise value as well as its market capitalization is the best way to estimate the value of the company and is usually enough for investors to make market timing decisions.
XPO Logistics Total Value Analysis
XPO Logistics is at this time projected to have company total value of 14.92 B with market capitalization of 11.05 B, debt of 4.12 B, and cash on hands of 460 M. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the XPO Logistics fundamentals before making security assessment based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
14.92 B | 11.05 B | 4.12 B | 460 M |
XPO Logistics Investor Information
About 98.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 1.72. XPO Logistics had not issued any dividends in recent years. The entity had 1683:1000 split on the 1st of November 2022. Based on the key indicators related to XPO Logistics' liquidity, profitability, solvency, and operating efficiency, XPO Logistics is performing exceptionally good at this time. It has a great probability to report excellent financial results in May.XPO Logistics Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. XPO Logistics has an asset utilization ratio of 104.67 percent. This suggests that the Company is making $1.05 for each dollar of assets. An increasing asset utilization means that XPO Logistics is more efficient with each dollar of assets it utilizes for everyday operations.XPO Logistics Ownership Allocation
The majority of XPO Logistics outstanding shares are owned by institutional investors. These institutions are usually referred to as non-private investors looking to purchase positions in XPO Logistics to benefit from reduced commissions. Accordingly, other corporate entities are subject to a different set of regulations than regular investors in XPO Logistics. Please pay attention to any change in the institutional holdings of XPO Logistics as this could imply that something significant has changed or is about to change at the company.XPO Logistics Profitability Analysis
The company reported the last year's revenue of 8.07 B. Total Income to common stockholders was 387 M with profit before taxes, overhead, and interest of 1.4 B.About XPO Logistics Valuation
We use absolute and relative valuation methodologies to arrive at the intrinsic value of XPO Logistics. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of XPO Logistics based exclusively on its fundamental and basic technical indicators. By analyzing XPO Logistics's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of XPO Logistics's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of XPO Logistics. We calculate exposure to XPO Logistics's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of XPO Logistics's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 915 M | 865.5 M | |
| Pretax Profit Margin | 0.06 | 0.06 | |
| Operating Profit Margin | 0.08 | 0.05 | |
| Net Profit Margin | 0.05 | 0.05 | |
| Gross Profit Margin | 0.11 | 0.19 |
XPO Logistics Growth Indicators
Growth stocks usually refer to those companies expected to grow sales and earnings faster than the market average. Growth stocks typically don't pay dividends, often look expensive, and usually trading at a high P/E ratio. Nevertheless, such valuations could be relatively cheap if the company continues to grow, which will drive the share price up. However, since most investors are paying a high price for a growth stock, based on expectations, if those expectations are not fully realized, growth stocks can see dramatic declines.
| Common Stock Shares Outstanding | 120 M | |
| Quarterly Earnings Growth Y O Y | 0.335 | |
| Forward Price Earnings | 25.0627 |
XPO Logistics Current Valuation Indicators
XPO Logistics' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final XPO Logistics' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as XPO Logistics, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use XPO Logistics' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes XPO Logistics' worth.When determining whether XPO Logistics offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of XPO Logistics' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Xpo Logistics Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Xpo Logistics Stock: Check out Your Current Watchlist to better understand how to build diversified portfolios, which includes a position in XPO Logistics. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in american community survey. To learn how to invest in XPO Stock, please use our How to Invest in XPO Logistics guide.You can also try the Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Is Air Freight & Logistics space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of XPO Logistics. If investors know XPO will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about XPO Logistics listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.335 | Earnings Share 3.23 | Revenue Per Share | Quarterly Revenue Growth (0.01) | Return On Assets |
The market value of XPO Logistics is measured differently than its book value, which is the value of XPO that is recorded on the company's balance sheet. Investors also form their own opinion of XPO Logistics' value that differs from its market value or its book value, called intrinsic value, which is XPO Logistics' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because XPO Logistics' market value can be influenced by many factors that don't directly affect XPO Logistics' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between XPO Logistics' value and its price as these two are different measures arrived at by different means. Investors typically determine if XPO Logistics is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, XPO Logistics' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.