Bank of America Securities analyst Ken Hoexter has reiterated their bullish stance on XPO stock, giving a Buy rating yesterday.
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Ken Hoexter has given his Buy rating due to a combination of factors tied to XPO’s margin and growth outlook, even after modest estimate reductions. He still projects XPO’s less-than-truckload margins to improve more than management’s own guidance in 2026, supported by pricing, mix, and productivity initiatives that should continue to narrow the gap versus top-tier competitors.
He also highlights solid freight demand indicators, including above-seasonal volume trends and recent expansionary ISM readings, which could push 2026 margins toward the upper end of the company’s target range. While he trims European EBITDA expectations and slightly lowers his price objective to $233, he maintains that XPO’s structural cost actions, fuel surcharge dynamics, and operating leverage justify a premium valuation and support a positive long-term return profile for the stock.
In another report released yesterday, J.P. Morgan also maintained a Buy rating on the stock with a $206.00 price target.