Latest news with #PatrickKelleher
Yahoo
15-07-2025
- Business
- Yahoo
GXO Logistics (GXO): A Bull Case Theory
We came across a bullish thesis on GXO Logistics on DeepValue Capital's Substack. As of 9ᵗʰ July, GXO Logistics's share was trading at $50.29. GXO's trailing and forward P/E were 81.11 and 15.57 respectively according to Yahoo Finance. A row of modern-day container ships, showing the power of the company's logistics service. GXO Logistics, the world's largest pure-play contract logistics provider, is transforming the logistics industry through automation. The company, headquartered in the UK, manages complex supply chains for global brands across 869 locations, with 208 million square feet of warehouse space and a workforce of ~94,000. In 2024, GXO generated $11.7 billion in revenue, broken down across various sectors such as Omnichannel Retail ($5.4 billion), Technology & Consumer Electronics ($1.5 billion), and Industrial & Manufacturing ($1.3 billion). The company is investing heavily in AI and robotics, partnering with companies like Dexterity, Dexory, and Agility Robotics to deploy cutting-edge technology. The recent developments in GXO include the Wincanton acquisition receiving CMA approval, allowing integration to move forward, and the appointment of new CEO Patrick Kelleher in August, who has over 30 years of experience in automation and logistics. Management has raised guidance on diluted EPS, adjusted EBITDA, and organic growth. The company's focus on automation is expected to drive margin expansion and long-term competitive advantage. With over 50% of its sites globally already deploying robotics and AI, GXO is seeing results in faster throughput, higher accuracy, and lower cost per unit. The investment thesis for GXO centers around its potential for significant upside driven by automation. The company's infrastructure is critical to modern commerce, and its adoption of automation could lead to substantial growth by 2027. With a compelling valuation and growth prospects, GXO presents a unique investment opportunity. The stock offers an attractive entry point, and the potential for automation to drive big upside makes it an exciting investment. Even if the growth projections are not fully met, the company's resilient business and growing sectors provide a stable foundation for investors. Previously, we covered a bullish thesis on GXO Logistics by P14 Capital in May 2025, which highlighted the company's 10-year contract with the UK's National Health Service—its largest deal to date—highlighting growing demand for outsourced logistics. The stock has appreciated by 22% since our coverage. This is because the previous thesis has partially played out. DeepValue Capital shares a similar view, emphasizing GXO's transformation through automation, investments in AI and robotics, and potential for margin expansion. GXO Logistics is not on our list of the 30 Most Popular Stocks Among Hedge Funds. As per our database, 42 hedge fund portfolios held GXO at the end of first quarter which was 49 in the previous quarter. While we acknowledge the risk and potential of GXO as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 8 Best Wide Moat Stocks to Buy Now and 30 Most Important AI Stocks According to Blackrock. Disclosure: None.
Yahoo
21-06-2025
- Business
- Yahoo
GXO Logistics (GXO) Gets 12% Boost on New CEO Welcome
GXO Logistics, Inc. (NYSE:GXO) is one of the GXO Logistics saw its share prices rise by 12.13 percent to close at $47.97 apiece as investor sentiment was boosted by the appointment of Patrick Kelleher as its new chief executive officer. Effective August 19, 2025, Kelleher will assume the highest role at GXO Logistics, Inc. (NYSE:GXO) where he will be tasked to lead and manage the overall direction and success of the company. Kelleher has 33 years of experience in the global supply chain, strategic leadership, and operational excellence, having held senior executive roles at DHL Supply Chain—a division of Deutsche Post DHL Group. Most recently, he served as CEO for North America where he oversaw significant growth and operational improvements across the business. A fleet of trucks leaving a depot, loaded with consumer goods, representing the companies logistical services. 'Patrick is a world-class operator with the relevant experience to lead GXO through its next phase of growth. His proven track record and deep expertise in engineered solutions, automation, and cutting-edge contract logistics make him uniquely qualified to drive value for our customers and shareholder,' said Brad Jacobs, GXO Logistics, Inc.'s (NYSE:GXO) chairman of the board. While we acknowledge the potential of GXO as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock. READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
20-06-2025
- Business
- Yahoo
Why GXO Stock Is Soaring Today
GXO won final U.K. approval to integrate its 2024 purchase of Wincanton. The company also named a new CEO, answering two of the biggest questions that have weighed on the stock of late. 10 stocks we like better than GXO Logistics › GXO (NYSE: GXO) named a new leader and won regulatory approval to integrate a big acquisition. Investors are celebrating the developments, sending shares of the contract logistics provider up 11% as of 2 p.m. ET. GXO operates warehouses and supply chain networks for large corporate and government customers. Last year, the company acquired Wincanton for $962 million to boost its European capabilities, but it has been barred from fully integrating the deal due to United Kingdom Competition and Markets Authority (CMA) concerns. On Thursday, GXO announced that the CMA has cleared it to integrate "the vast majority" of Wincanton subject to the divestment of "a small number" of grocery contracts. Integration is expected to begin in the third quarter, with collaboration on aerospace deals allowed to begin immediately. The company also announced Patrick Kelleher, who has more than 30 years of global supply chain experience, as its new CEO. GXO has been looking for a new leader since December when current CEO Malcolm Wilson announced his intention to retire. GXO raised its full-year revenue, adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA), and adjusted earnings per share (EPS) guidance as well. GXO stock has lost to the market since being spun out of XPO in 2021. Thursday's announcements could be the first step in reversing those declines. The company has great potential capitalizing on the growing need to manage increasingly complex supply chains but has been held back by headwinds, including uncertainty about the Wincanton integration and over who will be the new CEO. Kelleher's U.S. experience could also help drive sales increases in North America, shifting GXO's European-heavy portfolio. GXO's recent performance has been disappointing, but the potential is there. The market's enthusiasm seems justified. Before you buy stock in GXO Logistics, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the for investors to buy now… and GXO Logistics wasn't one of them. The 10 stocks that made the cut could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you'd have $659,171!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you'd have $891,722!* Now, it's worth noting Stock Advisor's total average return is 995% — a market-crushing outperformance compared to 172% for the S&P 500. Don't miss out on the latest top 10 list, available when you join . See the 10 stocks » *Stock Advisor returns as of June 9, 2025 Lou Whiteman has positions in GXO Logistics and XPO. The Motley Fool recommends GXO Logistics and XPO. The Motley Fool has a disclosure policy. Why GXO Stock Is Soaring Today was originally published by The Motley Fool Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
20-06-2025
- Business
- Yahoo
Why GXO Logistics (GXO) Stock Is Up Today
Shares of contract logistics company GXO (NYSE:GXO) jumped 11.3% in the afternoon session after the company provided impressive preliminary financial forecasts and raised its full-year 2025 guidance for organic revenue growth, adjusted EBITDA, and adjusted diluted EPS. This upward revision reflects better-than-expected performance (volumes and accelerated productivity gains) and anticipated gains from the Wincanton acquisition. GXO confirmed that the UK Competition and Markets Authority (CMA) cleared its acquisition of Wincanton, a major UK logistics company, subject to the condition of divesting a small number of grocery contracts. This regulatory clearance removes a key hurdle for the acquisition, allowing integration to begin in Q3 2025. Lastly, the company announced the appointment of seasoned supply chain leader Patrick Kelleher as its new chief executive officer, effective August 19, 2025. Kelleher has 33 years of global supply chain experience, having held senior executive roles at DHL Supply Chain, a division of Deutsche Post DHL Group. Most recently, he served as CEO of DHL North America, where he led significant growth and operational enhancements across the business. These updates suggest a clearer path for GXO in the eyes of investors, which is spurring buying of the stock. If it's one thing the markets shy from, it's uncertainty. Is now the time to buy GXO Logistics? Access our full analysis report here, it's free. GXO Logistics's shares are somewhat volatile and have had 13 moves greater than 5% over the last year. But moves this big are rare even for GXO Logistics and indicate this news significantly impacted the market's perception of the business. The biggest move we wrote about over the last year was 4 months ago when the stock dropped 15.8% on the news that the company reported weak fourth quarter results. Its full-year EPS and EBITDA guidance fell short of Wall Street's estimates. In addition, while GXO Logistics narrowly topped analysts' revenue expectations this quarter, its organic revenue missed. Overall, this was a weaker quarter. GXO Logistics is up 10.6% since the beginning of the year, but at $47.58 per share, it is still trading 24.5% below its 52-week high of $63.01 from October 2024. Investors who bought $1,000 worth of GXO Logistics's shares at the IPO in July 2021 would now be looking at an investment worth $874.40. Today's young investors likely haven't read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
20-06-2025
- Business
- Yahoo
GXO Logistics taps new CEO, clears acquisition of Wincanton
GXO Logistics Inc. recently announced two significant developments focused on shaping its future growth trajectory. The company has appointed a new chief executive officer and received clearance from the United Kingdom Competition and Markets Authority (CMA) for its acquisition of Wincanton. Patrick Kelleher was named CEO on Friday. He will begin his tenure on Aug. 19 and will be based at the company's Greenwich, Connecticut. GXO Logistics (NYSE: GXO) is one of the largest pure-play contract logistics providers in the world. It has more than 150,000 team members across more than 1,000 facilities totaling more than 200 million square feet. 'Patrick is a world-class operator with the relevant experience to lead GXO through its next phase of growth,' Brad Jacobs, chairman of GXO's board of directors, said in a news release. Kelleher will bring 33 years of global supply chain experience to GXO, having held senior executive roles at DHL Supply Chain. Most recently, he served as CEO for North America at DHL. GXO Logistics also announced that the CMA has cleared the company's acquisition of Wincanton. The approval comes with specific conditions, requiring the divestment of a small number of Wincanton grocery contracts in the UK, according to a news release. GXO is acquiring Wincanton for about $1 billion. Wincanton is a major logistics and supply chain operator in the U.K. and Ireland. GXO and Wincanton's integration is expected to begin in the third quarter. The company also updated its full-year 2025 guidance: Organic revenue growth of 3.5% to 6.5% (up from 3% to 6%) Adjusted earnings before interest, taxes, depreciation, and amortization of $860 million to $880 million (up from $840 million to $860 million) Adjusted earnings per share of of $2.43 to $2.63 (up from $2.40 to $2.60) The post GXO Logistics taps new CEO, clears acquisition of Wincanton appeared first on FreightWaves. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
