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RXO, Inc. (RXO) Stock Fundamental Analysis & AI Rating 2026

RXO NYSE Transportation Services DE CIK: 0001929561
Recently Updated • Analysis: Apr 15, 2026 • SEC Data: 2025-12-31
SELL
72% Conf
Pending
Analysis scheduled

📊 RXO Key Takeaways

Revenue: $5.7B
Net Margin: -1.7%
Free Cash Flow: $-8.0M
Current Ratio: 1.27x
Debt/Equity: 0.25x
EPS: $-0.59
AI Rating: SELL with 72% confidence
RXO, Inc. (RXO) receives a SELL rating with 72% confidence from our AI fundamental analysis based on SEC 10-K filings. With revenue of $5.7B, net profit margin of -1.7%, and return on equity (ROE) of -6.5%, RXO, Inc. demonstrates mixed fundamentals in the Transportation sector. Below is our complete RXO stock analysis for 2026.

Is RXO, Inc. (RXO) a Good Investment?

Claude

RXO demonstrates strong revenue growth of 26.2% YoY and improving EPS metrics, but remains unprofitable with -$100M net income and negative free cash flow of -$8M. The critically low cash balance of $17M relative to $5.7B in revenue presents acute liquidity risk, despite operational cash flow generation.

Why Buy RXO, Inc. Stock? RXO Key Strengths

Claude
  • + Strong revenue growth of 26.2% YoY indicates robust market demand and business scaling
  • + Operating cash flow of $51M shows core business is generating cash from operations
  • + Improving profitability trajectory with EPS up 72.8% YoY despite remaining negative
  • + Moderate leverage with Debt/Equity of 0.25x provides refinancing flexibility

RXO Stock Risks: RXO, Inc. Investment Risks

Claude
  • ! Unprofitable with -$100M net income on $5.7B revenue indicates fundamental margin compression
  • ! Negative free cash flow of -$8M signals value destruction despite positive operating cash flow
  • ! Critically low cash reserves of only $17M create acute liquidity and refinancing risk
  • ! Negative operating margin of -1.4% and net margin of -1.7% show cost structure is not yet sustainable
  • ! Significant insider activity with 13 Form 4 filings in last 90 days may signal uncertainty

Key Metrics to Watch

Claude
  • * Operating margin expansion toward breakeven and profitability
  • * Free cash flow generation and path to positive FCF
  • * Cash balance recovery and liquidity position strengthening
  • * Revenue growth sustainability and gross margin sustainability once disclosed

RXO, Inc. (RXO) Financial Metrics & Key Ratios

Revenue
$5.7B
Net Income
$-100.0M
EPS (Diluted)
$-0.59
Free Cash Flow
$-8.0M
Total Assets
$3.3B
Cash Position
$17.0M

💡 AI Analyst Insight

RXO, Inc. presents a mixed fundamental picture. Review the detailed metrics above to form your own investment thesis.

RXO Profit Margin, ROE & Profitability Analysis

Gross Margin N/A
Operating Margin -1.4%
Net Margin -1.7%
ROE -6.5%
ROA -3.1%
FCF Margin -0.1%

RXO vs Transportation Sector: How RXO, Inc. Compares

How RXO, Inc. compares to Transportation sector averages

Net Margin
RXO -1.7%
vs
Sector Avg 10.0%
RXO Sector
ROE
RXO -6.5%
vs
Sector Avg 18.0%
RXO Sector
Current Ratio
RXO 1.3x
vs
Sector Avg 1.0x
RXO Sector
Debt/Equity
RXO 0.3x
vs
Sector Avg 1.0x
RXO Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

Is RXO, Inc. Stock Overvalued? RXO Valuation Analysis 2026

Based on fundamental analysis, RXO, Inc. has mixed fundamental signals relative to the Transportation sector in 2026.

Return on Equity
-6.5%
Sector avg: 18%
Net Profit Margin
-1.7%
Sector avg: 10%
Revenue Growth
N/A
Year-over-year
Debt/Equity
0.25x
Sector avg: 1x

Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.

RXO, Inc. Balance Sheet: RXO Debt, Cash & Liquidity

Current Ratio
1.27x
Quick Ratio
1.27x
Debt/Equity
0.25x
Debt/Assets
0.0%
Interest Coverage
N/A
Long-term Debt
$387.0M

RXO Revenue & Earnings Growth: 5-Year Financial Trend

RXO 5-year financial data: Year 2022: Revenue $4.8B, Net Income $43.0M, EPS $0.37. Year 2023: Revenue $4.8B, Net Income $150.0M, EPS $1.30. Year 2024: Revenue $4.8B, Net Income $92.0M, EPS $0.79. Year 2025: Revenue $5.7B, Net Income $4.0M, EPS $0.03.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: RXO, Inc.'s revenue has grown significantly by 20% over the 5-year period, indicating strong business expansion. The most recent EPS of $0.03 reflects profitable operations.

RXO Revenue Growth, EPS Growth & YoY Performance

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
-0.1%
Free cash flow / Revenue

RXO Quarterly Earnings & Performance

Quarterly financial performance data for RXO, Inc. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $1.0B -$14.0M $-0.08
Q2 2025 $930.0M -$7.0M $-0.05
Q1 2025 $913.0M -$15.0M $-0.13
Q3 2024 $976.0M -$1.0M $-0.01
Q2 2024 $930.0M $3.0M $0.03
Q1 2024 $913.0M N/A $0.00
Q3 2023 $976.0M -$1.0M $-0.01
Q2 2023 $963.0M $3.0M $0.03

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

RXO, Inc. Dividends, Buybacks & Capital Allocation

Operating Cash Flow
$51.0M
Cash generated from operations
Capital Expenditures
$59.0M
Investment in assets
Dividends
None
No dividend program

RXO SEC Filings: Latest 10-K & 10-Q Analysis

Access official SEC EDGAR filings for RXO, Inc. (CIK: 0001929561)

📋 Recent SEC Filings

Date Form Document Action
Mar 30, 2026 DEF 14A ny20063858x1_def14a.htm View →
Mar 24, 2026 4 xslF345X06/es260755616_4-wilkerson.xml View →
Mar 24, 2026 4 xslF345X06/es260755615_4-kerr.xml View →
Mar 24, 2026 4 xslF345X06/es260755614_4-harris.xml View →
Mar 24, 2026 4 xslF345X06/es260755613_4-firestone.xml View →

Frequently Asked Questions about RXO

What is the AI rating for RXO?

RXO, Inc. (RXO) has an AI rating of SELL with 72% confidence, based on fundamental analysis of SEC EDGAR filings.

What are RXO's key strengths?

Claude: Strong revenue growth of 26.2% YoY indicates robust market demand and business scaling. Operating cash flow of $51M shows core business is generating cash from operations.

What are the risks of investing in RXO?

Claude: Unprofitable with -$100M net income on $5.7B revenue indicates fundamental margin compression. Negative free cash flow of -$8M signals value destruction despite positive operating cash flow.

What is RXO's revenue and growth?

RXO, Inc. reported revenue of $5.7B.

Does RXO pay dividends?

RXO, Inc. does not currently pay dividends.

Where can I find RXO SEC filings?

Official SEC filings for RXO, Inc. (CIK: 0001929561) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is RXO's EPS?

RXO, Inc. has a diluted EPS of $-0.59.

How is the AI analysis conducted?

Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.

Is RXO a good stock to buy right now?

Based on our AI fundamental analysis in April 2026, RXO, Inc. has a SELL rating with 72% confidence. Review the strengths and risks sections above before making a decision. This is not investment advice.

Is RXO stock overvalued or undervalued?

Valuation metrics for RXO: ROE of -6.5% (sector avg: 18%), net margin of -1.7% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.

Should I buy RXO stock in 2026?

Our dual AI analysis gives RXO, Inc. a combined SELL rating for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.

What is RXO's free cash flow?

RXO, Inc.'s operating cash flow is $51.0M, with capital expenditures of $59.0M. FCF margin is -0.1%.

How does RXO compare to other Transportation stocks?

Vs Transportation sector averages: Net margin -1.7% (avg: 10%), ROE -6.5% (avg: 18%), current ratio 1.27 (avg: 1).

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Disclaimer: This analysis is generated by Claude AI (Anthropic) and ChatGPT (OpenAI) based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Apr 15, 2026 | Data as of: 2025-12-31 | Powered by Claude AI