Recent News
July 10, 2025: RXO expanded its carrier financial tools via an expanded relationship with Triumph to offer factoring and same‑day payments. September 3, 2025: RXO published industry-specific KPI benchmarks for shippers across verticals. September 8, 2025: RXO leaders received Supply & Demand Chain Executive Women in Supply Chain awards. August 22, 2025: RXO announced participation at multiple investor conferences for September.
Technical Analysis
ADX at 20.33 indicates an emerging trend strength; this level supports the view that recent momentum can influence near-term price direction but lacks extended trend conviction.
DI+ at 24.01 registered a dip-and-reversal and DI- at 21.08 showed a peak-and-reversal; the directional indicators therefore favor the buyers after a recent swing, reinforcing a short-term bullish tilt relative to the emerging ADX reading.
MACD sits at 0.01 with the MACD signal at -0.04 and shows a dip-and-reversal; MACD crossing above its signal line signals renewed bullish momentum that aligns with DI+ behavior and supports upside bias for the next several weeks.
MRO at -3.49 implies the price currently sits below the model target and therefore carries potential to move higher; the oscillator’s modest absolute value indicates limited near-term magnitude for that move.
RSI at 52.74 with a dip-and-reversal shows momentum returning from neutral territory, consistent with short-term recovery rather than an overbought condition.
Price closed at $17.51 above the 12‑day EMA ($16.13), 20‑day avg ($16.01) and 50‑day avg ($15.90), but below the 200‑day average ($17.98). This setup favors short‑term strength while longer-term trend still holds resistance near the 200‑day average.
Bollinger band placement (upper ~ $17.02–$18.04, lower ~ $13.98–$14.99) frames current volatility; a sustained move above the middle band would support continuation, while the 52‑week low/high range ($12.19 / $31.98) and a superTrend lower of $15.18 mark reference points for risk monitoring. High 42‑day beta (4.33) signals elevated short-term volatility that can amplify both gains and losses.
Fundamental Analysis
Second‑quarter results for period ending 2025‑06‑30 show revenue of $1.419 billion and EBITDA of $28.0 million, with a GAAP net loss of $9.0 million and adjusted diluted earnings per share of $0.04 versus an estimate of $0.03 (EPS surprise ~33.33%). Operating cash flow recorded $23.0 million and free cash flow reached $9.0 million, supporting near‑term liquidity despite a modest cash balance of $18.0 million.
Margins: gross margin measured 15.79% while operating margin registered about 0.71% and EBIT margin stood at -0.14%. EBIT margin sits well below the industry peer mean of 22.81% and the industry peer median of 35.18%, indicating significant gap against typical peer profitability benchmarks.
Profitability trends show sharp QoQ compression for EBIT margin at -93.27% and YoY deterioration of -114.57%, although earnings growth shows sequential improvement with earningsGrowth QoQ +55.56% and YoY +16.67%, reflecting the early earnings contribution from recent integration activity.
Leverage and liquidity: total debt reached $679.0 million with net debt of $385.0 million and debt/EBITDA at 24.25, signaling elevated leverage relative to operating cash flow. Debt to assets at 21.21% sits slightly above the industry peer mean of 17.50%. Current ratio at 1.35 compares marginally above the industry peer mean of 1.25, offering modest short-term coverage.
Valuation metrics diverge: trailing P/E at 407.8 and forward P/E at 123.2 reflect very low current earnings versus market capitalization; price/book at 1.65 sits below the industry peer mean of 5.27. Free cash flow yield at 0.34% compares closely with the industry peer median free cash flow yield near 0.34% while enterprise multiple of 117.17 appears elevated. WMDST values the stock as over‑valued based on the combination of thin earnings, elevated leverage and high implied multiples.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-06-30 |
| REPORT DATE: | 2025-08-07 |
| NEXT REPORT DATE: | 2025-11-04 |
| CASH FLOW | Begin Period Cash Flow | $ 16.0 M |
| Operating Cash Flow | $ 23.0 M | |
| Capital Expenditures | $ -14.00 M | |
| Change In Working Capital | $ -7.00 M | |
| Dividends Paid | — | |
| Cash Flow Delta | $ 3.0 M | |
| End Period Cash Flow | $ 19.0 M | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 1.4 B | |
| Forward Revenue | $ -856.37 M | |
| COSTS | ||
| Cost Of Revenue | $ 1.2 B | |
| Depreciation | $ 30.0 M | |
| Depreciation and Amortization | $ 30.0 M | |
| Research and Development | — | |
| Total Operating Expenses | $ 1.4 B | |
| PROFITABILITY | ||
| Gross Profit | $ 224.0 M | |
| EBITDA | $ 28.0 M | |
| EBIT | $ -2.00 M | |
| Operating Income | $ 10.0 M | |
| Interest Income | — | |
| Interest Expense | $ 8.0 M | |
| Net Interest Income | $ -8.00 M | |
| Income Before Tax | $ -10.00 M | |
| Tax Provision | $ -1.00 M | |
| Tax Rate | 14.5 % | |
| Net Income | $ -9.00 M | |
| Net Income From Continuing Operations | $ -9.00 M | |
| EARNINGS | ||
| EPS Estimate | $ 0.03 | |
| EPS Actual | $ 0.04 | |
| EPS Difference | $ 0.01 | |
| EPS Surprise | 33.333 % | |
| Forward EPS | $ 0.13 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 3.2 B | |
| Intangible Assets | $ 1.6 B | |
| Net Tangible Assets | $ -11.00 M | |
| Total Current Assets | $ 1.2 B | |
| Cash and Short-Term Investments | $ 18.0 M | |
| Cash | $ 18.0 M | |
| Net Receivables | $ 1.1 B | |
| Inventory | — | |
| Long-Term Investments | $ 31.0 M | |
| LIABILITIES | ||
| Accounts Payable | $ 461.0 M | |
| Short-Term Debt | $ 16.0 M | |
| Total Current Liabilities | $ 880.0 M | |
| Net Debt | $ 385.0 M | |
| Total Debt | $ 679.0 M | |
| Total Liabilities | $ 1.6 B | |
| EQUITY | ||
| Total Equity | $ 1.6 B | |
| Retained Earnings | $ -324.00 M | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 9.68 | |
| Shares Outstanding | 163.970 M | |
| Revenue Per-Share | $ 8.65 | |
| VALUATION | Market Capitalization | $ 2.6 B |
| Enterprise Value | $ 3.3 B | |
| Enterprise Multiple | 117.168 | |
| Enterprise Multiple QoQ | -93.374 % | |
| Enterprise Multiple YoY | -34.531 % | |
| Enterprise Multiple IPRWA | RXO: 117.168 high: 68.745 mean: 36.557 median: 35.56 low: -30.584 |
|
| EV/R | 2.312 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 2.016 | |
| Asset To Liability | 1.984 | |
| Debt To Capital | 0.3 | |
| Debt To Assets | 0.212 | |
| Debt To Assets QoQ | 2.315 % | |
| Debt To Assets YoY | 2302.265 % | |
| Debt To Assets IPRWA | high: 0.783 RXO: 0.212 mean: 0.175 low: 0.001 median: 0.001 |
|
| Debt To Equity | 0.428 | |
| Debt To Equity QoQ | -0.938 % | |
| Debt To Equity YoY | 1447.521 % | |
| Debt To Equity IPRWA | high: 2.837 mean: 0.656 RXO: 0.428 low: 0.001 median: 0.001 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 1.65 | |
| Price To Book QoQ | -8.704 % | |
| Price To Book YoY | -68.512 % | |
| Price To Book IPRWA | high: 8.353 median: 6.315 mean: 5.272 RXO: 1.65 low: 0.126 |
|
| Price To Earnings (P/E) | 407.829 | |
| Price To Earnings QoQ | -169.934 % | |
| Price To Earnings YoY | -52.565 % | |
| Price To Earnings IPRWA | RXO: 407.829 high: 119.028 mean: 35.464 median: 9.189 low: -53.415 |
|
| PE/G Ratio | -1.748 | |
| Price To Sales (P/S) | 1.846 | |
| Price To Sales QoQ | -7.745 % | |
| Price To Sales YoY | -43.4 % | |
| Price To Sales IPRWA | high: 7.153 median: 3.686 mean: 3.511 RXO: 1.846 low: 0.371 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 123.177 | |
| Forward PE/G | -0.528 | |
| Forward P/S | -3.059 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 95.533 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.436 | |
| Asset Turnover Ratio QoQ | 2.264 % | |
| Asset Turnover Ratio YoY | -15.277 % | |
| Asset Turnover Ratio IPRWA | high: 0.784 RXO: 0.436 mean: 0.199 median: 0.076 low: 0.02 |
|
| Receivables Turnover | 1.281 | |
| Receivables Turnover Ratio QoQ | 6.265 % | |
| Receivables Turnover Ratio YoY | -0.737 % | |
| Receivables Turnover Ratio IPRWA | high: 2.919 median: 2.058 mean: 1.981 RXO: 1.281 low: 0.633 |
|
| Inventory Turnover | — | |
| Inventory Turnover Ratio QoQ | — | |
| Inventory Turnover Ratio YoY | — | |
| Inventory Turnover Ratio IPRWA | — | |
| Days Sales Outstanding (DSO) | 71.219 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | — | |
| Cash Conversion Cycle Days QoQ | — | |
| Cash Conversion Cycle Days YoY | — | |
| Cash Conversion Cycle Days IPRWA | — | |
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 4.668 | |
| CapEx To Revenue | -0.01 | |
| CapEx To Depreciation | -0.467 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 2.0 B | |
| Net Invested Capital | $ 2.0 B | |
| Invested Capital | $ 2.0 B | |
| Net Tangible Assets | $ -11.00 M | |
| Net Working Capital | $ 304.0 M | |
| LIQUIDITY | ||
| Cash Ratio | 0.02 | |
| Current Ratio | 1.345 | |
| Current Ratio QoQ | 3.347 % | |
| Current Ratio YoY | 14.779 % | |
| Current Ratio IPRWA | high: 2.152 RXO: 1.345 median: 1.313 mean: 1.248 low: 0.018 |
|
| Quick Ratio | — | |
| Quick Ratio QoQ | — | |
| Quick Ratio YoY | — | |
| Quick Ratio IPRWA | — | |
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 24.25 | |
| Cost Of Debt | 1.056 % | |
| Interest Coverage Ratio | -0.25 | |
| Interest Coverage Ratio QoQ | -92.5 % | |
| Interest Coverage Ratio YoY | -122.222 % | |
| Interest Coverage Ratio IPRWA | high: 44.954 mean: 13.487 median: 7.983 low: 0.181 RXO: -0.25 |
|
| Operating Cash Flow Ratio | 0.078 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 35.486 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | — | |
| Dividend Payout Ratio | — | |
| Dividend Rate | — | |
| Dividend Yield | — | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | -3.117 % | |
| Revenue Growth | -0.977 % | |
| Revenue Growth QoQ | -93.04 % | |
| Revenue Growth YoY | -152.47 % | |
| Revenue Growth IPRWA | high: 10.816 % mean: 1.121 % median: 0.271 % RXO: -0.977 % low: -1.508 % |
|
| Earnings Growth | -233.333 % | |
| Earnings Growth QoQ | 55.555 % | |
| Earnings Growth YoY | 16.667 % | |
| Earnings Growth IPRWA | high: 119.608 % mean: 6.437 % median: -3.788 % low: -21.429 % RXO: -233.333 % |
|
| MARGINS | ||
| Gross Margin | 15.786 % | |
| Gross Margin QoQ | 13.105 % | |
| Gross Margin YoY | -9.933 % | |
| Gross Margin IPRWA | high: 24.885 % mean: 18.154 % median: 17.813 % RXO: 15.786 % low: 0.618 % |
|
| EBIT Margin | -0.141 % | |
| EBIT Margin QoQ | -93.266 % | |
| EBIT Margin YoY | -114.566 % | |
| EBIT Margin IPRWA | high: 35.181 % median: 35.181 % mean: 22.809 % low: 1.327 % RXO: -0.141 % |
|
| Return On Sales (ROS) | 0.705 % | |
| Return On Sales QoQ | -133.668 % | |
| Return On Sales YoY | -27.169 % | |
| Return On Sales IPRWA | high: 20.411 % mean: 9.15 % median: 8.586 % RXO: 0.705 % low: 0.629 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 9.0 M | |
| Free Cash Flow Yield | 0.344 % | |
| Free Cash Flow Yield QoQ | -158.01 % | |
| Free Cash Flow Yield YoY | -165.275 % | |
| Free Cash Flow Yield IPRWA | high: 4.61 % RXO: 0.344 % median: 0.343 % mean: 0.02 % low: -8.76 % |
|
| Free Cash Growth | -152.941 % | |
| Free Cash Growth QoQ | 1352.983 % | |
| Free Cash Growth YoY | -150.98 % | |
| Free Cash Growth IPRWA | high: 128.824 % mean: -76.568 % median: -91.343 % RXO: -152.941 % low: -294.67 % |
|
| Free Cash To Net Income | -1.0 | |
| Cash Flow Margin | 4.863 % | |
| Cash Flow To Earnings | -7.667 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.04 | |
| Return On Assets (ROA) | -0.277 % | |
| Return On Assets QoQ | -69.989 % | |
| Return On Assets YoY | -28.608 % | |
| Return On Assets IPRWA | high: 4.26 % median: 2.928 % mean: 2.451 % RXO: -0.277 % low: -0.899 % |
|
| Return On Capital Employed (ROCE) | -0.086 % | |
| Return On Equity (ROE) | -0.006 | |
| Return On Equity QoQ | -70.968 % | |
| Return On Equity YoY | -53.102 % | |
| Return On Equity IPRWA | high: 0.085 mean: 0.047 median: 0.032 RXO: -0.006 low: -0.088 |
|
| DuPont ROE | -0.567 % | |
| Return On Invested Capital (ROIC) | -0.09 % | |
| Return On Invested Capital QoQ | -92.487 % | |
| Return On Invested Capital YoY | -100.101 % | |
| Return On Invested Capital IPRWA | high: 8.045 % mean: 3.063 % median: 2.562 % RXO: -0.09 % low: -0.61 % |
|