RXO, Inc. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

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Why is RXO, Inc. ?

High Management Efficiency with a high ROCE of 4,931.24%

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 2.22 times

Positive results in Jun 25

NET SALES(HY) At USD 2,852 MM has Grown at 54.75%
PRE-TAX PROFIT(Q) At USD 0 MM has Grown at 100%
NET PROFIT(Q) At USD 1 MM has Grown at 101.93%

Risky - Negative EBITDA

The stock is trading risky as compared to its average historical valuations
Over the past year, while the stock has generated a return of -46.28%, its profits have fallen by -2071.4%

Below par performance in long term as well as near term

Along with generating -46.28% returns in the last 1 year, the stock has also underperformed S&P 500 in the last 3 years, 1 year and 3 months

Real-Time Research Report

Verdict Report

How much should you sell?

All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is RXO, Inc. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

RXO, Inc.

64.23%

-0.35

68.06%

S&P 500

25.41%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

5.20%

EBIT Growth (5y)

-143.47%

EBIT to Interest (avg)

53.34

Debt to EBITDA (avg)

2.22

Net Debt to Equity (avg)

0.29

Sales to Capital Employed (avg)

3.01

Tax Ratio

6.52%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

4,931.24%

ROE (avg)

3,851.80%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

NA (Loss Making)

Industry P/E

Price to Book Value

1.48

EV to EBIT

-391.29

EV to EBITDA

25.13

EV to Capital Employed

1.37

EV to Sales

0.48

PEG Ratio

Dividend Yield

ROCE (Latest)

-0.35%

ROE (Latest)

-1.82%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bullish

Bearish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bearish

Moving Averages

Mildly Bearish (Daily)

KST

Bearish

Dow Theory

No Trend

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

3What is working for the Company

NET PROFIT(9M)

Higher at USD -34 MM

-17What is not working for the Company

INTEREST COVERAGE RATIO(Q)

Lowest at 77.78

RAW MATERIAL COST(Y)

Grown by 8.03% (YoY

OPERATING PROFIT(Q)

Lowest at USD 7 MM

OPERATING PROFIT MARGIN(Q)

Lowest at 0.49 %

PRE-TAX PROFIT(Q)

Lowest at USD -29 MM

NET PROFIT(Q)

Lowest at USD -16 MM

Here's what is not working for RXO, Inc.

Pre-Tax Profit

At USD -29 MM has Fallen at -169.77%

over average net sales of the previous four periods of USD -10.75 MM

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD -16 MM has Fallen at -128.57%

over average net sales of the previous four periods of USD -7 MM

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Interest Coverage Ratio

Lowest at 77.78

in the last five periods

MOJO Watch

The company's ability to manage interest payments is deteriorating

Operating Profit to Interest

Operating Profit

Lowest at USD 7 MM

in the last five periods

MOJO Watch

Near term Operating Profit trend is negative

Operating Profit (USD MM)

Operating Profit Margin

Lowest at 0.49 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Pre-Tax Profit

Lowest at USD -29 MM

in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is negative

Pre-Tax Profit (USD MM)

Net Profit

Lowest at USD -16 MM

in the last five periods

MOJO Watch

Near term Net Profit trend is negative

Net Profit (USD MM)

Raw Material Cost

Grown by 8.03% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales