Should I Buy GXO Stock in 2026?

Data-driven analysis and honest assessment for Gxo Logistics Inc

Analysis Updated:
CAUTIONSeveral concerns warrant careful consideration

Current Price: $55.05P/E: 73.4

Decision Score

5.0/10

Hold

Based on 6 fundamental factors

Score Breakdown:

Valuation (20%)2/10

Very high P/E of 73.4 suggests overvaluation

Growth (20%)5/10

Slow growth of 0%

Profitability (20%)4/10

Thin margins (0% net)

Financial Health (15%)5/10

Financial health data limited

Cash Flow (15%)10/10

Excellent FCF yield of 9.8%

Insider Activity (10%)5/10

No recent insider activity

Key Investment Metrics

Current Price

$55.05

P/E Ratio

73.40

Revenue Growth

0.1%

Profit Margin

0.0%

Market Cap

$6.3B

Dividend Yield

None

How GXO Compares to Competitors

Understanding how GXO stacks up against peers helps inform your investment decision.

How GXO Compares to Peers

Upcoming Events for GXO

+5 Reasons TO Buy GXO

1. High free cash flow yield of 9.8%

strong

FCF yield above 5% means substantial cash generation for dividends, buybacks, or reinvestment.

-5 Reasons NOT to Buy GXO

1. Expensive valuation at 73x earnings

high risk

P/E of 73 is significantly above averages. High expectations leave little room for disappointment.

2. Thin profit margins of 0.0%

high risk

Low margins provide little cushion against cost increases or pricing pressure.

3. Low gross margins of 16%

medium risk

Margins below 30% indicate commodity-like pricing and input cost vulnerability.

4. Minimal revenue growth

low risk

Growth of 0.1% barely keeps pace with inflation.

Who Should Buy GXO?

Investment Profile

Risk Level

High

Recommended Holding Period

3-5 years

Best For:

  • Momentum Traders

    High-growth profile attracts momentum

Not Suitable For:

  • Growth Investors

    Limited 0% growth may disappoint

  • Value Investors

    Premium P/E of 73 doesn't fit value criteria

  • Income-Focused Retirees

    No dividend paid

  • Risk-Averse Investors

    High risk may cause uncomfortable volatility

Consider These Alternatives

If you're interested in GXO, compare these Industrials peers:

Pro tip: Compare GXO directly with competitors using our comparison tool to see which stock better fits your criteria.

Get the Full Picture

Access AI-powered insights, DCF valuations, insider trading data, and real-time analysis for GXO

Frequently Asked Questions

What is GXO stock price today?

GXO (Gxo Logistics Inc) stock is trading at $55.05 as of the latest market data. Stock prices update in real-time during market hours (9:30 AM - 4:00 PM ET).

Is GXO stock going up or down today?

GXO stock price movements are influenced by market conditions, news, earnings reports, and investor sentiment. Check our live dashboard for real-time price changes and technical indicators.

Should I buy GXO stock now?

The decision to buy GXO depends on your investment strategy, risk tolerance, and financial goals. Our AI analysis evaluates fundamentals, valuation metrics, growth prospects, and market conditions to help inform your decision.

Is GXO a buy, hold, or sell right now?

Our AI-powered analysis provides buy/hold/sell recommendations for GXO based on multiple factors including valuation, growth metrics, technical indicators, and analyst consensus. Visit our dashboard for the latest recommendation.

Is GXO stock overvalued or undervalued?

GXO currently trades at a P/E ratio of 73.40, which may indicate premium valuation. Our DCF calculator provides intrinsic value estimates to help determine if GXO is fairly priced.

What is GXO's P/E ratio?

GXO has a price-to-earnings (P/E) ratio of 73.40, which measures how much investors are willing to pay per dollar of earnings. Compare this to industry peers and historical averages for context.

What is GXO's market cap?

GXO (Gxo Logistics Inc) has a market capitalization of $6.30 billion, making it a small-cap stock.

What is GXO's price to book ratio?

GXO trades at a price-to-book (P/B) ratio of 2.13, which compares the stock price to the company's book value per share. A P/B below 1.0 may indicate undervaluation, while above 3.0 may suggest premium pricing.

Similar Investment Decisions

Explore investment analyses for stocks similar to Gxo Logistics Inc

Explore Categories

Disclaimer

This analysis is for informational purposes only and should not be considered financial advice. The decision score and recommendations are based on quantitative factors and do not account for all risks, your personal financial situation, or qualitative factors. Always do your own research and consider consulting with a financial advisor before making investment decisions.