Takeover potential adds to its appeal

Article Excerpt

XPO LOGISTICS $95 (New York symbol XPO; Manufacturing sector; Shares outstanding: 119.6 million; Market cap: $11.4 billion; Takeover Target Rating: Highest; No dividends paid; TSINetwork Rating: Average; www.xpo. com) is a major global provider of supply-chain services. The company operates two business segments: The Logistics division (35% of sales) provides contract, warehousing, distribution, and inventory management. Transportation (65%) offers freight brokerage, last-mile logistics for heavy goods, less-than-truckload services, and intermodal operations. Its global fleet includes 16,000 tractors and 39,500 trailers. XPO shares have jumped from $77 in December 2017 to today’s price. That’s after rumors that Home Depot (symbol HD on New York) was considering a takeover bid for the company. XPO Logistics • Has a history of major acquisitions. That’s spurred its revenue to a whopping 5,176% gain in just five years • Amazon and other ecommerce firms struggle to ship large goods. XPO helps get that done XPO only derives about 3% to 4% of its overall revenue from Home Depot, so there’s not…