Earnings season is in full swing and the results are creating investment opportunities. XPO Logistics Inc. (NYSE: XPO) is a supply chain solutions specialist involved in transport and logistics in the United States. A breakout earnings report makes this a stock to watch in 2021.
For the fourth quarter, XPO announced revenue of $4.67 billion, up from the $4.14 billion reported a year ago. Adjusted net income was $121 million, compared to $115 million in the year ago period. EBITDA, a reliable measure of profitability, came in at $449 million for the quarter, compared to $432 million last year.
The company is expecting strong earnings performance in the current year, offering EBITDA guidance of up to $1.8 billion, an increase of 29% year-over-year. XPO has momentum and is likely to hit this target. A recovery in the U.S. economy is likely to create more demand for logistics services.
Analysts are confident that the strong financial performance will create an upside. The current average target of $141.21 on this stock is promising, and the high-end target of $158.00 suggests an even bigger upside will be available if the momentum continues. For new investors or those looking to expand their positions, this is one of the best growth stocks to consider in February.
- 1 Year Price Growth: 89%
- YTD Price Growth: 94%
- 3 Month Price Growth: 38%
All information is based on current and historical market data, as well as publicly available financial data. As with any financial decision, your own research is important. Stock market outcomes can never be 100% accurately predicted. Familiarity with historical data, individual industries, and individual stocks is key to developing a robust portfolio. Note that stock prices can fluctuate rapidly during trading sessions.