GXO Valuation

GXO Logistics Inc

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50.820

-1.72(-3.274%)1D

GXO Relative Valuation

GXO's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, GXO is overvalued; if below, it's undervalued.

Historical Valuation

GXO Logistics Inc (GXO) is now in the Fair zone, suggesting that its current forward PE ratio of 18.74 is considered Fairly compared with the five-year average of 20.68. The fair price of GXO Logistics Inc (GXO) is between 42.90 to 71.61 according to relative valuation methord.

Relative Value

Fair Zone

42.90-71.61

Current Price：52.54

Fair

18.58

Trailing

Forward

13.05

EV/EBITDA

GXO Logistics Inc. (GXO) has a current EV/EBITDA of 13.05. The 5-year average EV/EBITDA is 13.07. The thresholds are as follows: Strongly Undervalued below 8.67, Undervalued between 8.67 and 10.87, Fairly Valued between 15.27 and 10.87, Overvalued between 15.27 and 17.47, and Strongly Overvalued above 17.47. The current Forward EV/EBITDA of 13.05 falls within the Historic Trend Line -Fairly Valued range.

21.29

EV/EBIT

GXO Logistics Inc. (GXO) has a current EV/EBIT of 21.29. The 5-year average EV/EBIT is 22.29. The thresholds are as follows: Strongly Undervalued below 12.37, Undervalued between 12.37 and 17.33, Fairly Valued between 27.25 and 17.33, Overvalued between 27.25 and 32.21, and Strongly Overvalued above 32.21. The current Forward EV/EBIT of 21.29 falls within the Historic Trend Line -Fairly Valued range.

52.54

GXO Logistics Inc. (GXO) has a current PS of 52.54. The 5-year average PS is 0.95. The thresholds are as follows: Strongly Undervalued below -7.18, Undervalued between -7.18 and -3.12, Fairly Valued between 5.02 and -3.12, Overvalued between 5.02 and 9.08, and Strongly Overvalued above 9.08. The current Forward PS of 52.54 falls within the Strongly Overvalued range.

9.27

P/OCF

GXO Logistics Inc. (GXO) has a current P/OCF of 9.27. The 5-year average P/OCF is 11.87. The thresholds are as follows: Strongly Undervalued below 3.32, Undervalued between 3.32 and 7.60, Fairly Valued between 16.15 and 7.60, Overvalued between 16.15 and 20.42, and Strongly Overvalued above 20.42. The current Forward P/OCF of 9.27 falls within the Historic Trend Line -Fairly Valued range.

21.18

P/FCF

GXO Logistics Inc. (GXO) has a current P/FCF of 21.18. The 5-year average P/FCF is 25.72. The thresholds are as follows: Strongly Undervalued below 9.52, Undervalued between 9.52 and 17.62, Fairly Valued between 33.81 and 17.62, Overvalued between 33.81 and 41.91, and Strongly Overvalued above 41.91. The current Forward P/FCF of 21.18 falls within the Historic Trend Line -Fairly Valued range.

GXO Logistics Inc (GXO) has a current Price-to-Book (P/B) ratio of 2.06. Compared to its 3-year average P/B ratio of 2.14 , the current P/B ratio is approximately -3.69% higher. Relative to its 5-year average P/B ratio of 2.44, the current P/B ratio is about -15.52% higher. GXO Logistics Inc (GXO) has a Forward Free Cash Flow (FCF) yield of approximately 0.01%. Compared to its 3-year average FCF yield of 3.62%, the current FCF yield is approximately -99.65% lower. Relative to its 5-year average FCF yield of 3.24% , the current FCF yield is about -99.61% lower.

2.05

P/B

Median3y

2.14

Median5y

2.44

0.01

FCF Yield

Median3y

3.62

Median5y

3.24

Competitors Valuation Multiple

The average P/S ratio for GXO's competitors is 51.16, providing a benchmark for relative valuation. GXO Logistics Inc Corp (GXO) exhibits a P/S ratio of 52.54, which is 2.71% above the industry average. Given its robust revenue growth of 7.54%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Radiant Logistics Inc

6.19

7.06%

286.71M

Performance Decomposition

Market capitalization of GXO decreased by 13.63% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 1.11 to 1.77.

The secondary factor is the Revenue Growth, contributed 7.54%to the performance.

Overall, the performance of GXO in the past 1 year is driven by Margin Expansion. Which is more sustainable.

7.54%

3.16B → 3.40B

Revenue Growth

59.46%

1.11 → 1.77

Margin Expansion

-80.63%

511.05 → 98.99

P/E Change

-13.63%