XPO (XPO, $60.40) misses Q4 estimates; sales take a hit from business reduction on largest customer
XPO Logistics Inc. missed fourth-quarter earnings & sales expectations, causing its stock to plummet around -17% Friday.
The transportation and warehousing company reported adjusted earnings of 72 cents a share, lower than analysts' expectations of 84 cents.
Quarterly revenue came in at $4.39 billion, missing analysts’ estimate of $4.56 billion. XPO indicated that reduction of business from its largest customer pulled back revenue by $46 million in the fourth quarter.
For full year 2019, XPO is predicting revenue growth in the range of 3% to 5%, with organic revenue growth of 4% to 6%. The company portends that shrinking of business from its largest customer could erode sales by roughly $600 million this year.
XPO in upward trend: price rose above 50-day moving average on October 25, 2024
XPO moved above its 50-day moving average on October 25, 2024 date and that indicates a change from a downward trend to an upward trend. In of 39 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on October 10, 2024. You may want to consider a long position or call options on XPO as a result. In of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for XPO just turned positive on October 25, 2024. Looking at past instances where XPO's MACD turned positive, the stock continued to rise in of 52 cases over the following month. The odds of a continued upward trend are .
The 10-day moving average for XPO crossed bullishly above the 50-day moving average on October 21, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 17 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where XPO advanced for three days, in of 304 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator entered the overbought zone. Expect a price pull-back in the foreseeable future.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where XPO declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 60, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. XPO’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: XPO's P/B Ratio (8.347) is slightly higher than the industry average of (2.922). P/E Ratio (35.599) is within average values for comparable stocks, (91.741). Projected Growth (PEG Ratio) (1.028) is also within normal values, averaging (1.879). XPO has a moderately low Dividend Yield (0.000) as compared to the industry average of (0.015). P/S Ratio (1.603) is also within normal values, averaging (2.420).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a provider of logistics and other transportation services
Industry Trucking