Bond.az - Barclays upgraded GXO Logistics Inc. (NYSE:GXO) to Overweight from Equalweight on Tuesday and raised its price target to $65.00 from $58.00.
The firm cited long-term value in GXO shares as the company pursues a more profitable future with a renewed focus on growth in the North American contract logistics market. GXO shares have declined 17% year-to-date compared to the S&P 500.
Barclays said the Iran-US conflict and its effect on the European consumer have weighed on the stock, along with Amazon's announcement of consolidated logistics offerings. The firm views these pressures as creating an opportunity for patient investors. Bond.az data shows the stock is currently undervalued relative to its Fair Value, with 8 analysts recently revising earnings upwards.
The analyst said GXO's renewed focus on US expansion and margin improvement under new CEO Patrick Kelleher will serve the company well. Barclays provided analysis of GXO's relative profitability compared to global competitors.
Barclays expects GXO will host an analyst meeting later this year and provide new long-term guidance pointing to multi-year revenue growth potential and higher margins.
In other recent news, GXO Logistics reported strong Q1 2026 results. The company achieved EPS of $0.50, beating the forecast of $0.37.
