* Note: Prices are in Million (M) USD.
Description:
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.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $246 M
Debt : $4,117 M
EBITDA : $1,219 M
Net Debt (Debt - Cash): $3,871 M
Since Net Debt is covered by EBITDA within 3 years, 1 points assigned.
This criteria used industry in which company operates:
Sector: Industrials
Industry: Integrated shipping & logistics
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Forward PE Ratio: 30.70
Since Forward PE Ratio is between 25 - 35, 1 point assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 20 overlapping fiscal years (max 20).Average Free Cash Flow: $55 M
Average Revenue: $5,325 M
Revenue Converted To Free Cash Flow (%): 1.0%
Since Free Cash Flow (FCF) to Revenue percentage is less than 15, 1 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-12-31): $8,072 M
Revenue 4 Years Ago (2020-12-31): $6,168 M
Last 5 Years Average Revenue Growth: 6%
Since Revenue Growth is between 5 - 10, 2 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-12-31): $120 M
Share Count 5 Years Ago (2020-12-31): $102 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $4.75
Trailing 12-Month Earnings Per Share (EPS): $3.70
Average Earnings Per Share (EPS): $4.23
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 20 valid ROE years (max 20).Average ROE: 8.3%
Since Average ROE is less than 10, 1 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $130
52-Week Low: $85
Threshold Price (15% Above 52-Week Low): $98
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $15,154 M
Since Market Cap is between 10B - 100B, 2 points assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 3% exposure of Total Portfolio.
Value-Trade has assigned 11 points to above XPO Logistics Inc (XPO) stock.
Last 9 Years Avg PE 24.18, Fair Value PE 12, Industry Based PE 15, Growth Based PE 6, RCFC Based PE 12.83, ROE Based PE 16.66, Risk-Free Anchored PE (25% MoS) 17.08. Based on these 7 values, average assigned is 14.82. Value-Trades has assined P/E value 14.82. Since an average (Current Year EPS + Next Year EPS) earning per share is $4.225.
The fair value of XPO Logistics Inc (XPO) stock should be (14.82 x $4.225) = $62.62.
