XPO Non-GAAP EPS of $1.70 beats by $0.13, revenue of $2.37B misses by $10M (XPO:NYSE)

XPO reported Q3 volume growth and pricing improvements, driven by service quality and higher-margin freight. The company expanded its fleet and network capacity, targeting local accounts and AI-driven operations. Costs increased due to inflation and higher fuel prices, but insourcing efforts reduced outsourced miles. XPO generated $291M in free cash flow, repurchased $150M in stock, and expects to double free cash flow by 2026.

Wells Fargo kept its Overweight rating on XPO but reduced its price target from $250 to $230, an 8% cut. The new target suggests a 25.7% upside from the Oct 29 close of $183.01. Recent analyst price targets for XPO range from $205 to $230.

Stifel raised its XPO (NYSE:XPO) price target to $235, citing strong Q3 2026 execution, margin expansion, and EPS of $1.70. XPO's operating ratio improved 260 bps YoY. Analysts revised earnings upwards, though the stock trades above Fair Value. Revenue was slightly below expectations at $2.37B. Other analysts adjusted targets, with UBS at $232 and Jefferies at $275.

UBS reduced its price target for XPO (NYSE:XPO) to $232 from $257, citing valuation concerns. The stock is currently trading at $183.01. XPO reported Q3 2026 earnings, beating EPS estimates but missing on revenue. The company showed revenue growth and improved margins, leading to optimistic full-year guidance. Analysts from Jefferies and Raymond James maintained positive ratings with adjusted price targets.

Raymond James raised its price target for XPO (NYSE:XPO) to $210, citing momentum in LTL pricing and operational improvements. The stock trades at $183.01, with a potential 15% upside. XPO reported Q3 2026 earnings beating EPS estimates but missing revenue targets, while Jefferies maintained a Buy rating with a $275 target. The company showed margin and cash flow improvements, and yield growth accelerated to 5% in October.

XPO Inc. reported Q3 2026 earnings, highlighting record LTL margins and accelerating pricing. The company expects Q4 operating ratio (OR) below 82%, improving year-over-year. Full-year OR improvement is now guided at 250 bps or better. October tonnage grew mid-6% year-over-year, accelerating from September. XPO plans to double free cash flow to near $800 million in 2026, funding share buybacks and debt paydown. The company is considering selling its European operations to focus on North America.