Analyst Outlook: GXO Logistics Expected To Be The Sole Grower In Q2, Despite Slowing Consumer Discretionary Activity
Portfolio Pulse from Lekha Gupta
Oppenheimer analyst Scott Schneeberger has increased the price target of GXO Logistics Inc (NYSE:GXO) to $76 from $67 with an Outperform rating. Despite concerns about slowing consumer discretionary activity, the analyst expects GXO to be the only transportation/logistics company to grow revenue in Q2 and 2023. The Q2 adjusted EBITDA estimate has been increased to $178 million, with expectations of margin improvement due to a decline in initial variable expense, improving efficiency, and Clipper acquisition integration synergies.
July 19, 2023 | 5:23 pm
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POSITIVE IMPACT
Oppenheimer analyst has increased the price target for GXO Logistics, expecting it to be the only transportation/logistics company to grow revenue in Q2 and 2023. The Q2 adjusted EBITDA estimate has been increased to $178 million.
The increase in price target and the positive outlook from the Oppenheimer analyst could lead to increased investor confidence in GXO Logistics, potentially driving the stock price up in the short term. The company's expected growth in Q2 and 2023, despite slowing consumer discretionary activity, also indicates strong performance and resilience, which could further boost investor sentiment.
CONFIDENCE 90
IMPORTANCE 80
RELEVANCE 100