Oppenheimer analyst Scott Schneeberger reiterated a Buy rating on XPO Logistics (XPO) today and set a price target of $65. The company’s shares closed yesterday at $58.57.
Schneeberger commented:
“We view XPO as presently undervalued on negative sentiment surrounding the stock following multiple adverse data points/headlines it endured the past few quarters. Expecting a slow start to the year, we anticipate XPO ultimately delivers solid 2019 financial performance. 1Q19 should be XPO’s nadir as seasonal softness is likely compounded by recently referenced lost business from its largest customer, tough y/y weather domestically and incremental macro uncertainty in Europe. While Brexit is a lingering potential partial offset, we view of total 2018 revenue) remaining stable/solid and 2018 new business wins ramping to be potential upside drivers to our maintained $1.65B 2019E adjusted EBITDA. Viewing concerns sufficiently embedded in the stock, we like the risk/reward profile. Reiterating Outperform, our target increases from $62 to $65.”
According to TipRanks.com, Schneeberger is a 4-star analyst with an average return of 6.6% and a 60.2% success rate. Schneeberger covers the Services sector, focusing on stocks such as Service Corp International, General Finance, and United Parcel.
Currently, the analyst consensus on XPO Logistics is a Strong Buy with an average price target of $73.29, a 25.1% upside from current levels. In a report issued on March 22, Barclays also reiterated a Buy rating on the stock with a $65 price target.
See today’s analyst top recommended stocks >>
Based on XPO Logistics’ latest earnings release for the quarter ending December 31, the company reported a quarterly revenue of $4.39 billion and net profit of $85.7 million. In comparison, last year the company had a net profit of $67.6 million.
TipRanks has tracked 36,000 company insiders and found that a few of them are better than others when it comes to timing their transactions. See which 3 stocks are most likely to make moves following their insider activities.
XPO Logistics, Inc. engages in the provision of supply chain solutions. It operates through the Transportation and Logistics segments. The Transportation segment includes freight brokerage, last mile, less-than-truckload, full truck load, and global forwarding services.
