$XPO

StoneX reiterated a Buy rating on XPO (NYSE:XPO) with a $240 price target, citing strong LTL trends and volume growth. The stock trades at $185.10, with 11 analysts upgrading earnings estimates. Management expects 4.8% year-over-year volume growth and 4.5% pricing growth. XPO has seen multiple analyst upgrades, including from BofA Securities and Bernstein, reflecting positive sentiment.

Bridge Logistics Properties acquired a 21.3-acre truck terminal in Santa Fe Springs, leased by XPO Inc. The off-market deal closed at half of comparable land value, highlighting scarcity in the LA industrial market. XPO has operated there for over a decade, with Bridge gaining long-term flexibility for re-lease or redevelopment. The purchase reflects broader demand for truck-capable industrial sites in the region.

Citi Research upgraded XPO to Buy from Neutral, citing opportunities in the trucking sector. Analyst Ariel Rosa expects improvements, despite recent declines in the transport sector. XPO is among the stocks seen as a buying opportunity.

Citi upgraded Flutter (FLUT) to Buy with a $91 target. Cantor upgraded Humana (HUM) to Overweight with a $460 target. TD Cowen upgraded Marvell (MRVL) to Buy with a $350 target. Evercore upgraded NetApp (NTAP) to Outperform with a $300 target. Citi upgraded XPO (XPO) to Buy with a $224 target. UBS downgraded AppFolio (APPF) to Neutral with a $220 target. William Blair downgraded Option Care Health (OPCH) after its acquisition by CD&R and McKesson (MCK).

Analysts made several rating changes: UBS upgraded Invesco (IVZ) to Buy with a $41 target, Raymond James initiated M&T Bank (MTB) as Outperform with a $250 target, Morgan Stanley upgraded Nexa Resources (NEXA) to Overweight, and others. KeyBanc upgraded Corteva (CTVA) to Overweight with a $17 target, Jefferies upgraded Ambiq Micro (AMBQ) to Buy with a $90 target, and Citi upgraded Flutter to Buy with a $91 target.

Citi analyst Ariel Rosa sees a favorable risk-reward setup in North American transportation stocks ahead of Q3 earnings, citing recent declines and positive company outlooks. He upgraded XPO to Buy and adjusted price targets for CNI, CP, and TFII. Desjardins analyst Jerome Dubreuil notes Canadian telecoms face challenges from low growth and AI shopping agents, but sees pricing discipline as encouraging.

Hertz (HTZ) shares fell 10.7% to $34.22 post-Q2 results. ArcBest (ARCB) reported $1.18B revenue, up 15.9% YoY, meeting expectations, but shares dropped 12.3% to $131.11. XPO (XPO) reported $2.36B revenue, up 13.2% YoY, beating estimates, but shares fell 6.5% to $186.51. Market focus shifted from AI to geopolitics and back to fundamentals.

BofA raised XPO's price target to $230, citing higher fuel surcharge revenue and increased earnings estimates. XPO's August shipments rose 5.2% YoY, outperforming peers. The stock trades at a P/E of 52.67, though some analysts suggest it is overvalued. Bernstein upgraded XPO to Outperform with a $244 target, while StoneX reaffirmed a Buy rating with a $240 target.

XPO (NYSE: XPO) opened two new service centers in Mesa, Arizona, and Cameron, Missouri, expanding its capacity in key freight markets. The Mesa facility has 86 dock doors and 100 employees, while the Cameron center has 32 dock doors and 30 employees. XPO has added nearly 35 new service centers since 2021, increasing its network dock door capacity by 15%.

Bernstein identifies U.S. trucking stocks with cyclical upside, favoring XPO, Saia, and Knight-Swift. Spot rates exceeded contract rates, signaling a market turn. XPO's LTL network and Saia's expansion drive growth, while Knight-Swift benefits from contract rate resets. Saia reported $956.5M Q2 revenue, up 17.1% YoY.