QXO Inc (QXO) AI Stock Analysis

• Market Cap: $12.67B
• Dividend Yield: N/A
• Average Volume (3M): 8.41M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.51
• Revenue Growth: 8103.75%
• EPS Growth: -567.07%
• Country: US
• Employees: 211
• Sector: Industrials
• Sector Strength: 72
• Industry: Software - Application
• EPS (TTM): 0.14
• Shares Outstanding: 674,392,000
• 10 Day Avg. Volume: 9,523,404
• 30 Day Avg. Volume: 8,407,095
• PEG Ratio: -2.49
• Price to Book (P/B): 1.28
• Price to Sales (P/S): 114.06
• P/FCF Ratio: 76.52
• Enterprise Value/Market Cap: 1.29
• Enterprise Value/Revenue: 3.50
• Enterprise Value/Gross Profit: 15.57
• Enterprise Value/Ebitda: 137.94
• 1Y Price Target: $32.67
• Price Target Upside: 73.87% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 11
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 57 Neutral
• Price Target: $19.50 ▲(3.78% Upside)

QXO Inc.'s overall stock score is primarily influenced by its strong revenue growth and solid balance sheet, which are offset by profitability and cash flow challenges. The technical analysis suggests a neutral trend with potential bearish momentum. Valuation metrics are weak due to a negative P/E ratio and lack of dividend yield, further impacting the score.

Positive Factors

Revenue Growth

Strong revenue growth indicates robust demand for QXO's products and services, enhancing its market position and long-term viability.

Low Leverage

Low leverage provides financial stability and flexibility, allowing QXO to invest in growth opportunities without significant financial risk.

Strategic Growth Initiatives

Strategic initiatives to optimize operations and explore growth avenues position QXO for sustained expansion and competitive advantage.

Negative Factors

Profitability Challenges

Negative profitability metrics indicate challenges in cost management, which could hinder long-term financial performance if not addressed.

Cash Flow Volatility

Volatile cash flow and declining free cash flow growth may impact QXO's ability to fund operations and invest in future growth.

Decreased Gross Profit Margin

A declining gross profit margin indicates rising costs, which could erode profitability and affect QXO's competitive pricing strategy.

QXO Inc Business Overview & Revenue Model

Company Description

QXO Inc (QXO) is a technology company specializing in innovative software solutions and cloud-based services aimed at enhancing operational efficiency for businesses across various sectors. The company operates primarily within the information technology and software development sectors, offering a suite of products that includes enterprise resource planning (ERP) systems, customer relationship management (CRM) software, and data analytics tools. QXO's mission is to empower organizations with cutting-edge technology to streamline processes and improve decision-making capabilities.

How the Company Makes Money

QXO generates revenue through a combination of software licensing fees, subscription-based services, and professional consulting engagements. The primary revenue stream comes from the sale of software licenses for its ERP and CRM solutions, which are offered as both on-premises installations and cloud-based subscriptions. Additionally, QXO monetizes its data analytics tools through a subscription model, allowing businesses to access advanced analytics features for a recurring fee. The company also earns income from consulting services, assisting clients with software implementation, customization, and ongoing support. Strategic partnerships with key technology providers enhance QXO's offerings, allowing it to integrate complementary services and expand its market reach, thereby contributing to its overall revenue growth.

QXO Inc Financial Statement Overview

Summary

QXO Inc. demonstrates strong revenue growth but faces profitability and cash flow challenges. The balance sheet is solid with low leverage, providing a stable financial foundation. The company needs to focus on improving operational efficiency and cash flow management to enhance overall financial health.

Income Statement

QXO Inc. shows impressive revenue growth with a TTM (Trailing-Twelve-Months) increase of 139.4%. However, profitability metrics such as net profit margin and EBIT margin are negative, indicating challenges in cost management or operational efficiency. The gross profit margin has decreased over time, suggesting increased cost pressures.

Balance Sheet

The company maintains a strong equity position with a low debt-to-equity ratio of 0.09 in the TTM period, indicating low leverage and financial stability. However, the return on equity is negative, reflecting profitability challenges. The equity ratio is robust, highlighting a solid asset base.

Cash Flow

Cash flow metrics reveal volatility, with a significant decline in free cash flow growth in the TTM period. The operating cash flow to net income ratio is low, indicating potential issues in converting income into cash. Despite this, the free cash flow to net income ratio remains relatively healthy.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	4.66B	56.87M	54.52M	44.99M	41.70M	41.22M
Gross Profit	1.05B	22.93M	21.61M	17.96M	17.21M	16.58M
EBITDA	118.42M	51.99M	-290.00K	1.37M	1.49M	1.36M
Net Income	-177.86M	27.97M	-1.07M	-282.22K	-134.43K	175.65K
Balance Sheet
Total Assets	16.64B	5.10B	20.50M	21.44M	18.00M	15.90M
Cash, Cash Equivalents and Short-Term Investments	2.31B	5.07B	6.14M	8.01M	6.81M	6.60M
Total Debt	3.95B	577.00K	2.62M	2.40M	2.29M	3.04M
Total Liabilities	6.82B	45.36M	13.02M	11.89M	8.64M	8.62M
Stockholders Equity	9.82B	5.05B	7.47M	9.55M	9.36M	7.28M
Cash Flow
Free Cash Flow	78.92M	84.78M	463.00K	2.00M	111.27K	1.60M
Operating Cash Flow	128.76M	84.88M	584.00K	2.04M	226.03K	1.73M
Investing Cash Flow	-10.60B	-102.00K	-400.00K	-188.74K	-510.46K	839.81K
Financing Cash Flow	7.75B	4.98B	-2.05M	-655.13K	503.13K	-4.63M

QXO Inc Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 18.79
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QXO, the sentiment is Negative. The current price of 18.79 is above the 20-day moving average (MA) of 18.02, below the 50-day MA of 19.23, and above the 200-day MA of 17.45, indicating a neutral trend. The MACD of -0.36 indicates Negative momentum. The RSI at 44.14 is Neutral, neither overbought nor oversold. The STOCH value of 77.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for QXO.

QXO Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
DT	77 Outperform	$14.02B	27.89	20.57%	―	18.50%	207.45%
DOCU	72 Outperform	$13.95B	52.32	14.23%	―	8.29%	-71.36%
MANH	71 Outperform	$10.57B	49.80	73.58%	―	4.10%	-0.21%
BSY	68 Neutral	$13.47B	53.61	24.16%	0.61%	11.12%	-26.24%
U	64 Neutral	$18.46B	―	-13.64%	―	-8.23%	48.57%
Sector *	63 Neutral	$10.79B	15.43	7.44%	2.01%	2.89%	-14.66%
QXO	57 Neutral	$12.67B	―	-2.39%	―	8103.75%	-567.07%

QXO Inc Corporate Events

QXO Inc Amends Credit Agreement with Goldman Sachs

On November 5, 2025, QXO Inc.’s subsidiaries, Queen HoldCo, LLC and QXO Building Products, Inc., amended their existing credit agreement with Goldman Sachs Bank USA. The amendment reduces the interest margins on an $850 million senior secured term loan, potentially lowering borrowing costs and improving financial flexibility for the company.

The most recent analyst rating on (QXO) stock is a Hold with a $19.00 price target. To see the full list of analyst forecasts on QXO Inc stock, see the QXO Stock Forecast page.

QXO Inc Unveils Transformation Program Post-Beacon Acquisition

On September 11, 2025, QXO Inc. released a transcript from recent investor meetings, highlighting its comprehensive transformation program following the acquisition of Beacon. The company has implemented various initiatives, including rebranding, organizational restructuring, and technology upgrades, to improve decision-making, sales, and procurement processes. These changes aim to enhance QXO’s market positioning and operational efficiency, with a focus on increasing revenue and capturing market share. The company is also addressing inventory management and salesforce effectiveness to drive growth, despite challenges in the housing market.

The most recent analyst rating on (QXO) stock is a Buy with a $28.00 price target. To see the full list of analyst forecasts on QXO Inc stock, see the QXO Stock Forecast page.

QXO, Inc. Reports Q2 2025 Results and Strategic Growth

QXO, Inc. is the largest publicly traded distributor of roofing, waterproofing, and complementary building products in North America, aiming to become a tech-enabled leader in the building products distribution industry.