WallStSmart

GXO Logistics Inc (GXO)vsHowmet Aerospace Inc (HWM)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

GXO Logistics Inc generates 60% more annual revenue ($13.18B vs $8.25B). HWM leads profitability with a 18.3% profit margin vs 0.2%. HWM appears more attractively valued with a PEG of 0.80. HWM earns a higher WallStSmart Score of 69/100 (B-).

GXO

Hold

47

out of 100

Grade: D+

Growth: 5.3Profit: 4.0Value: 5.3Quality: 3.3
Piotroski: 1/9Altman Z: 1.49

HWM

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 9.0Value: 5.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

GXOUndervalued (+77.4%)

Margin of Safety

+77.4%

Fair Value

$280.63

Current Price

$49.85

$230.78 discount

UndervaluedFair: $280.63Overvalued

Intrinsic value data unavailable for HWM.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

GXO1 strengths · Avg: 8.0/10
Price/BookValuation
1.9x8/10

Reasonable price relative to book value

HWM5 strengths · Avg: 8.6/10
Return on EquityProfitability
30.4%10/10

Every $100 of equity generates 30 in profit

Market CapQuality
$96.03B9/10

Large-cap with strong market position

PEG RatioValuation
0.808/10

Growing faster than its price suggests

Operating MarginProfitability
26.3%8/10

Strong operational efficiency at 26.3%

EPS GrowthGrowth
20.3%8/10

Earnings expanding 20.3% YoY

Areas to Watch

GXO4 concerns · Avg: 3.3/10
PEG RatioValuation
1.564/10

Expensive relative to growth rate

Return on EquityProfitability
1.2%3/10

ROE of 1.2% — below average capital efficiency

Profit MarginProfitability
0.2%3/10

0.2% margin — thin

Operating MarginProfitability
4.0%3/10

Operating margin of 4.0%

HWM2 concerns · Avg: 3.0/10
Price/BookValuation
18.0x4/10

Trading at 18.0x book value

P/E RatioValuation
64.6x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull Case : GXO

The strongest argument for GXO centers on Price/Book.

Bull Case : HWM

The strongest argument for HWM centers on Return on Equity, Market Cap, PEG Ratio. Profitability is solid with margins at 18.3% and operating margin at 26.3%. Revenue growth of 14.6% demonstrates continued momentum.

Bear Case : GXO

The primary concerns for GXO are PEG Ratio, Return on Equity, Profit Margin. A P/E of 200.8x leaves little room for execution misses. Thin 0.2% margins leave little buffer for downturns.

Bear Case : HWM

The primary concerns for HWM are Price/Book, P/E Ratio. A P/E of 64.6x leaves little room for execution misses.

Key Dynamics to Monitor

GXO profiles as a value stock while HWM is a mature play — different risk/reward profiles.

GXO carries more volatility with a beta of 1.68 — expect wider price swings.

HWM is growing revenue faster at 14.6% — sustainability is the question.

HWM generates stronger free cash flow (530M), providing more financial flexibility.

Bottom Line

HWM scores higher overall (69/100 vs 47/100), backed by strong 18.3% margins and 14.6% revenue growth. GXO offers better value entry with a 77.4% margin of safety. Both earn "Strong Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

GXO Logistics Inc

INDUSTRIALS · INTEGRATED FREIGHT & LOGISTICS · USA

GXO Logistics Inc (GXO) stands as a premier provider of contract logistics services, offering comprehensive supply chain management and logistics solutions tailored to various industries, including e-commerce, retail, and consumer goods. Leveraging an expansive global network and cutting-edge technologies, GXO enhances operational efficiency and scalability for clients, all while prioritizing sustainability in its practices. With a growing demand for advanced warehousing and fulfillment solutions, the company is strategically positioned to navigate market complexities, driven by a seasoned management team and robust partnerships that foster consistent long-term growth and shareholder value.

Howmet Aerospace Inc

INDUSTRIALS · AEROSPACE & DEFENSE · USA

Howmet Aerospace Inc. is an American aerospace company based in Pittsburgh, Pennsylvania. The company manufactures components for jet engines, fasteners and titanium structures for aerospace applications, and forged aluminum wheels for heavy trucks.

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