WallStSmart

RXO Inc. (RXO)vsXPO Logistics Inc (XPO)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

XPO Logistics Inc generates 45% more annual revenue ($8.30B vs $5.73B). XPO leads profitability with a 4.2% profit margin vs -1.8%. XPO appears more attractively valued with a PEG of 2.34. XPO earns a higher WallStSmart Score of 53/100 (C-).

RXO

Avoid

32

out of 100

Grade: F

Growth: 3.3Profit: 2.0Value: 3.0Quality: 6.5
Piotroski: 5/9Altman Z: 2.14

XPO

Buy

53

out of 100

Grade: C-

Growth: 6.7Profit: 6.0Value: 2.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

RXOSignificantly Overvalued (-41.1%)

Margin of Safety

-41.1%

Fair Value

$11.57

Current Price

$22.32

$10.75 premium

UndervaluedFair: $11.57Overvalued
XPOSignificantly Overvalued (-23.2%)

Margin of Safety

-23.2%

Fair Value

$163.87

Current Price

$199.40

$35.53 premium

UndervaluedFair: $163.87Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

RXO1 strengths · Avg: 8.0/10
Price/BookValuation
2.4x8/10

Reasonable price relative to book value

XPO1 strengths · Avg: 8.0/10
EPS GrowthGrowth
46.6%8/10

Earnings expanding 46.6% YoY

Areas to Watch

RXO4 concerns · Avg: 2.0/10
PEG RatioValuation
172.132/10

Expensive relative to growth rate

Return on EquityProfitability
-7.0%2/10

ROE of -7.0% — below average capital efficiency

Revenue GrowthGrowth
-0.6%2/10

Revenue declined 0.6%

EPS GrowthGrowth
-93.2%2/10

Earnings declined 93.2%

XPO4 concerns · Avg: 3.8/10
PEG RatioValuation
2.344/10

Expensive relative to growth rate

Price/BookValuation
12.6x4/10

Trading at 12.6x book value

Altman Z-ScoreHealth
1.604/10

Distress zone — elevated risk

Profit MarginProfitability
4.2%3/10

4.2% margin — thin

Comparative Analysis Report

WallStSmart Research

Bull Case : RXO

The strongest argument for RXO centers on Price/Book.

Bull Case : XPO

The strongest argument for XPO centers on EPS Growth.

Bear Case : RXO

The primary concerns for RXO are PEG Ratio, Return on Equity, Revenue Growth.

Bear Case : XPO

The primary concerns for XPO are PEG Ratio, Price/Book, Altman Z-Score. A P/E of 74.1x leaves little room for execution misses. Debt-to-equity of 2.18 is elevated, increasing financial risk.

Key Dynamics to Monitor

RXO profiles as a turnaround stock while XPO is a value play — different risk/reward profiles.

RXO carries more volatility with a beta of 1.92 — expect wider price swings.

XPO is growing revenue faster at 7.3% — sustainability is the question.

XPO generates stronger free cash flow (72M), providing more financial flexibility.

Bottom Line

XPO scores higher overall (53/100 vs 32/100). Both earn "Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

RXO Inc.

INDUSTRIALS · TRUCKING · USA

RXO Inc. is a leading entity in the transportation and logistics sector, specializing in advanced freight solutions across North America. Leveraging innovative technology and data analytics, RXO significantly improves supply chain efficiency and cost-effectiveness for a diverse clientele. The company's unwavering focus on sustainability and continuous innovation enhances its operational prowess and competitive stature in a dynamic logistics landscape. With a robust network and strategic alliances, RXO is strategically positioned to meet the evolving needs of the industry, representing a promising opportunity for institutional investors looking for growth in logistics.

XPO Logistics Inc

INDUSTRIALS · TRUCKING · USA

XPO Logistics, Inc. provides supply chain solutions in the United States, the rest of North America, France, the United Kingdom, the rest of Europe, and internationally. The company is headquartered in Greenwich, Connecticut.

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