# XPO, Inc. (XPO) — Stock CV

XPO, Inc. is a $21.5B industrial company. Revenue grew 7.1% over the last year, it keeps 5¢ of every dollar of sales as profit, and its net debt equals ~5.0 years of free cash flow. It trades at 53.5× earnings — in the most expensive third of its own history.

> Following the spinoff of its contract logistics division (GXO) in 2021 and freight brokerage operations (RXO) in 2022, XPO is moving closer to becoming a pure-play asset-based less-than-truckload carrier.

## Identity

- **Ticker**: XPO
- **Sector**: Industrials
- **Industry**: Transportation Services
- **Headquarters**: GREENWICH, CT
- **Employees**: 38 000
- **Website**: https://www.xpo.com
- **Market cap**: $21.5B
- **Last price**: $183.47
- **Financial profile**: Strained

## Vitals (TTM)

- **Revenue**: $8.57B
- **Net income**: $404M
- **Free cash flow**: $588M
- **Net debt**: $2.94B
- **P/E**: 53.5
- **Revenue growth (YoY)**: 7.1%

## Skills (profile scores, 0–100)

| Pillar | Score |
|---|---|
| Valuation | 42 |
| Growth | 40 |
| Profitability | 43 |
| Health | 27 |
| Quality | 90 |
| Moat | 30 |

## Qualifications (beginner checklist) — 5 of 10 passed

- [x] Revenue growing — +7.1% YoY
- [x] Profitable — $404M TTM
- [ ] Profit growing — -22.7% YoY
- [x] Generates cash — $588M TTM
- [ ] Debt under control — ~5.0y of cash flow to repay
- [x] Established company — $21.5B market cap
- [ ] Not printing shares — +16.7% shares over ~5y
- [x] Proven track record — 10/10 profitable years
- [ ] Financially stable — health score 22/100
- [ ] Valuation not extreme — P/E 53.5

## Experience (career milestones)

- **2024** — The acquisition was finalized in January 2024
- **2023** — XPO received approval from a Delaware bankruptcy court to acquire 28 service centers of Yellow…
- **FY2022** — Best year on record: $666M net income
- **FY2016** — Profitable every year on record: 10 consecutive profitable years in our data
- **FY2016** — Revenue already above $10B: $14.6B in first reported year
- **2016** — XPO sold its truckload division (acquired from Con-Way) to TransForce for $558 million in cash
- **2011** — It was acquired by Brad Jacobs and renamed to XPO Logistics in September 2011

## Strengths

- High gross margin (60.1%)

## Watch-outs

- Net debt equals ~5.0 years of free cash flow

## Track record

| Year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $12.8B | $336M | $343M |
| FY2022 | $7.72B | $666M | $303M |
| FY2023 | $7.74B | $189M | -$839M |
| FY2024 | $8.07B | $387M | $19.0M |
| FY2025 | $8.16B | $316M | $329M |

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Source: https://stockcv.com/XPO — derived from company filings; may be delayed or incomplete. Information, not investment advice.