| Yesterday | ||||
GXO Logistics announced… GXO Logistics announced that, effective today, it has completed its cash and share offer for Clipper Logistics, following the Court's sanction of the scheme of arrangement two business days prior to this announcement. As is customary in such circumstances, GXO and Clipper Logistics will continue to be run independently until the U.K. Competition and Markets Authority has completed its review, which is expected later in 2022. The Polish Office of Competition and Consumer Protection approved the acquisition earlier this month. The transaction, announced on February 28, 2022, brings together two logistics industry leaders with highly complementary service offerings, customer portfolios, and footprints in the United Kingdom and Europe. Clipper adds geographic presence in Germany and Poland, as well as presence in life sciences and reverse logistics and returns management, which are key growth areas for GXO. The combination also enhances GXO's ESG leadership position, by adding Clipper's developed reverse logistics and circular economy offerings and its robust internal targets to minimize carbon emissions and waste. The company expects to realize significant productivity opportunities and cost synergies within two years from transaction close. | ||||
| Over a week ago | ||||
GXO Logistics announced a… GXO Logistics announced a new partnership with Sente Foundry. During the year-long collaboration, Sente will conduct a global search for and evaluation of the world's most promising technology-focused startups. The start-ups will be selected specifically for their potential to help GXO meet its strategic priorities, including accelerating warehouse innovation for customers that are increasingly looking to automate their logistics operations. | ||||
Oppenheimer analyst Scott… Oppenheimer analyst Scott Schneeberger lowered the firm's price target on GXO Logistics to $91 from $108 on contracting stock market multiples, while keeping an Outperform rating on the shares. The analyst notes Q1 results exceeded expectations/2022 organic revenue guidance was increased on strong business wins. | ||||
In an interview on… In an interview on CNBC's Mad Money, Malcolm Wilson said consumers are back and confident. More and more big companies are seeking to outsource their logistics to GXO, he noted. GXO uses a high level of automation which allows it to keep costs low, he added. | ||||
GXO raises full-year 2022… GXO raises full-year 2022 guidance, as follows: Organic revenue growth raised to 11%-15%, previously 8%-12%; Adjusted diluted earnings per share of $2.70-$2.90; Adjusted EBITDA of $707 million to $742 million; Return on invested capital greater than 30%; Free cash flow of approximately 30% of adjusted EBITDA; Depreciation and amortization between $260 million and $280 million; Net capital expenditures at approximately 3% of sales. | |
Reports Q1 revenue… Reports Q1 revenue $2.08B, consensus $2.07B. Malcolm Wilson, CEO of GXO, said, "Our stellar top- and bottom-line performance this quarter and record new business wins are a testament to the value of GXO's game-changing solutions, the strength of our contractual business model and the accelerating demand for first-time outsourcing, especially from e-commerce and omnichannel customers." | |
GXO Logistics announced… GXO Logistics announced the release of its first Environmental, Social and Governance, ESG, Report. "Our fresh beginning as a standalone company brings a rare opportunity and responsibility to create a strategy around what matters most to our employees, customers, investors and communities," said Malcolm Wilson, Chief Executive Officer, GXO. "We are committed to making a positive impact for our people, our partners and our planet by harnessing technology to not only improve performance but to minimize our environmental impact, create a safe, welcoming workplace and do business the right way." In 2021, GXO set five environmental goals: 80% global operations using LED lighting by 2025; 80% global landfill diversion rate by 2025; 30% GHG emissions reduction by 2030 vs. 2019 baseline; 50% renewable energy in global operations by 2030; and 100% carbon neutral by 2040. |
| Over a month ago | ||||
Citi analyst Christian… Citi analyst Christian Wetherbee lowered the firm's price target on GXO Logistics to $90 from $110 and keeps a Buy rating on the shares. GXO clearly has outsized exposure to Europe and a second half of 2022 recession "would not be good for the business," Wetherbee tells investors in research note. That said, given the long-term nature of the company's contracts and flexible costs, there is little risk to existing business, and its "long-term tailwinds are largely sustainable," adds the analyst. He sees value at current share levels. | ||||
GXO Logistics is down… GXO Logistics is down -9.4%, or -$5.87 to $56.34. | ||||
