Wells Fargo has recently initiated GXO Logistics Inc (GXO) stock to Overweight rating, as announced on June 7, 2024, according to Finviz. Earlier, on April 25, 2024, TD Cowen had reiterated the stock to Buy, setting a price target of $80 for GXO stock. Exane BNP Paribas also raised Neutral rating with a price target of $50. Additionally, TD Cowen reiterated Outperform rating on February 15, 2024, with a target price of $78. TD Cowen analysts, in their report published on January 12, 2024, also reiterated Outperform rating and set a price target of $72 for GXO Logistics Inc’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
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GXO Logistics Inc (GXO) Stock Trading Recap
On Friday, GXO Logistics Inc (GXO) stock saw a decline, ending the day at $49.3 which represents a decrease of $-0.03 or -0.06% from the prior close of $49.33. The stock opened at $50.29 and touched a low of $48.93 during the day, reaching a high of $50.35. The volume of shares traded was 0.53 million falling short of the average volume of 0.76 million.
GXO Stock Performance and Moving Averages
In recent trading, GXO Logistics Inc (GXO) stock price has shown some volatility, fluctuating -5.54% over the last five trades and 3.44% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -5.23%, and it has gained 0.74% in the previous three months. Currently, GXO is trading at -2.75%, -1.87%, and -5.43% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, GXO, a Industrials sector stock, is trading -21.83% below its 52-week high but remains 7.01% above its 52-week low. The Average True Range (ATR) (14 days) of 1.37 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
GXO Logistics Inc’s Profitability and Valuation Ratios
GXO Logistics Inc’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of 3.35% and a profit margin of 1.35%, with a gross margin of -5.23%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, GXO Logistics Inc’s market capitalization stands at $5.89 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 42.18, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 14.85. Additionally, the Price-to-Sales Ratio is 0.57, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 2.03, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 1.95% of GXO Logistics Inc (GXO)’s shares, while financial institutions hold 93.03%.
Notable insider trades include Ashe Gena L, Director at GXO Logistics Inc (GXO), who sold 13370 shares on Mar 08 ’24, at $50 each, totaling $0.67 million. On Mar 07 ’24, Ashe Gena L, Director, sold 4737 shares for $50 each, amounting to $0.24 million. Additionally, on Jan 03 ’24, Ashe Gena L sold 10526 shares at $58.15 each, generating $0.61 million.