QXO (QXO) and Its Competitors Critical Analysis

QXO (NASDAQ:QXO) is one of 136 public companies in the “Data processing & preparation” industry, but how does it compare to its peers? We will compare QXO to related companies based on the strength of its profitability, valuation, analyst recommendations, dividends, earnings, institutional ownership and risk.

Analyst Recommendations

This is a summary of recent ratings and price targets for QXO and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
QXO	0	0	0	0	N/A
QXO Competitors	758	3904	5352	109	2.48

As a group, “Data processing & preparation” companies have a potential upside of 15.02%. Given QXO’s peers higher probable upside, analysts plainly believe QXO has less favorable growth aspects than its peers.

Profitability

This table compares QXO and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
QXO	-3.75%	0.51%	0.24%
QXO Competitors	-156.65%	-2,004.84%	-8.74%

Valuation & Earnings

This table compares QXO and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
QXO	$54.52 million	-$1.07 million	-1.25
QXO Competitors	$1.33 billion	$10.49 million	-7.40

QXO’s peers have higher revenue and earnings than QXO. QXO is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

QXO has a beta of 2.31, meaning that its stock price is 131% more volatile than the S&P 500. Comparatively, QXO’s peers have a beta of 1.11, meaning that their average stock price is 11% more volatile than the S&P 500.

Insider & Institutional Ownership

58.7% of QXO shares are owned by institutional investors. Comparatively, 45.3% of shares of all “Data processing & preparation” companies are owned by institutional investors. 90.6% of QXO shares are owned by insiders. Comparatively, 19.4% of shares of all “Data processing & preparation” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

QXO beats its peers on 7 of the 10 factors compared.

QXO Company Profile

QXO, Inc. operates as a business application, technology, and consulting company in North America. The company provides solutions for accounting and business management, financial reporting, enterprise resource planning, human capital management, warehouse management systems, customer relationship management, and business intelligence. It also offers value-added services that focuses on consulting and professional, specialized programming, training, and technical support services. In addition, the company provides information technology managed services, such as cybersecurity, application hosting, disaster recovery, business continuity, cloud, and other services; and data back-up, network maintenance, and upgrade services. It serves small and medium-sized businesses primarily in the manufacturing, distribution, and service industries. QXO, Inc. is headquartered in Greenwich, Connecticut.