RXO Inc. price target lowered to $23 from $25 at Morgan Stanley

Morgan Stanley lowered the firm’s price target on RXO Inc. (RXO) to $23 from $25 and keeps an Equal Weight rating on the shares following a “sizable” Q1 miss. The firm added that while Q2 was a relative step up, it likely falls short of expectations as well. The road back to normalized EPS for RXO is long, but the good news is that risk-reward is now the best since the spin, Morgan Stanley told investors in a research note.