QXO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
QXO is a good buy for a beginner investor with a long-term strategy and $50,000-$100,000 available for investment. The recent acquisition of Kodiak Building Partners is a strong positive catalyst, expected to boost earnings and market potential significantly in 2026. Technical indicators are bullish, and analysts maintain an optimistic outlook despite some short-term risks. The stock's current pre-market price of $25.74 offers a reasonable entry point for long-term growth.
The technical indicators for QXO are bullish. The MACD is positive and expanding, indicating upward momentum. The RSI is neutral at 65.863, suggesting no overbought or oversold conditions. Moving averages are aligned bullishly (SMA_5 > SMA_20 > SMA_200). Key resistance levels are at $26.482 and $28.05, with support levels at $23.946 and $21.41. The stock is trading above its pivot point, reinforcing the bullish trend.
QXO's acquisition of Kodiak Building Partners for $2.25 billion is expected to significantly boost earnings and expand market potential to over $200 billion.
Analysts maintain an Outperform rating, with price targets ranging from $26 to $31, citing potential for transformational M&A deals.
Recent news highlights a recovery in the housing market, which could benefit QXO's business model.
The housing market remains volatile, with challenges in affordability and mixed nonresidential market performance.
Rising price pressures and policy risks, including tariffs and interest rates, could impact near-term performance.
QXO's financials show a net income loss and flat YoY revenue growth, which may concern some investors.
QXO's latest financials (2024/Q3) show revenue at $13.15 billion, net income at -$5.37 billion, and EPS at -$0.01, all flat YoY. Gross margin increased to 39.51%. While the company is not yet profitable, the acquisition of Kodiak is expected to drive significant growth in 2026.
Analysts are optimistic about QXO, with most maintaining Buy or Outperform ratings. Price targets range from $26 to $31, reflecting confidence in the company's growth potential through M&A activity. However, some analysts remain cautious about short-term risks in the housing market and broader economic conditions.
