QXO Inc (QXO) AI Stock Analysis

• Market Cap: $14.79B
• Dividend Yield: N/A
• Average Volume (3M): 7.37M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.64
• Revenue Growth: 3310.77%
• EPS Growth: 93.28%
• Country: US
• Employees: 211
• Sector: Industrials
• Sector Strength: 73
• Industry: Software - Application
• EPS (TTM): 0.11
• Shares Outstanding: 673,556,640
• 10 Day Avg. Volume: 7,860,578
• 30 Day Avg. Volume: 7,366,720
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): N/A
• P/FCF Ratio: N/A
• Enterprise Value/Market Cap: 1.02
• Enterprise Value/Revenue: 248.94
• Enterprise Value/Gross Profit: 720.84
• Enterprise Value/Ebitda: 207.74
• 1Y Price Target: $32.95
• Price Target Upside: 53.40% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 13

• Rating: 60 Neutral
• Price Target: $21.50 ▲(0.09% Upside)

QXO Inc.'s overall score reflects strong corporate events and a stable financial foundation, but is weighed down by profitability challenges and bearish technical indicators. The company's strategic plans and stock offering are positive, yet operational improvements are necessary to enhance valuation and financial performance.

QXO Inc Business Overview & Revenue Model

Company Description

QXO Inc (QXO) is a technology-driven company specializing in innovative software solutions and services for various industries, including healthcare, finance, and logistics. With a focus on enhancing operational efficiency and data-driven decision-making, QXO offers a suite of products that include cloud-based applications, data analytics tools, and custom software development services. The company aims to empower businesses with cutting-edge technology to streamline processes and improve overall productivity.

How the Company Makes Money

QXO generates revenue through multiple streams, including subscription fees for its cloud-based software solutions, licensing fees for its proprietary technology, and project-based income from custom software development services. The company's subscription model allows clients to pay a recurring fee for access to its software, providing a stable and predictable revenue stream. Additionally, QXO partners with key industry players to expand its reach and capabilities, leading to increased sales through joint ventures and collaborative projects. The continuous demand for digital transformation in various sectors, coupled with strategic partnerships, significantly contributes to QXO's earnings.

QXO Inc Financial Statement Overview

Summary

QXO Inc. shows strong revenue growth but struggles with profitability and cash flow management. The balance sheet is stable with low leverage, but operational efficiency and cash flow generation need improvement.

Income Statement

QXO Inc. has demonstrated impressive revenue growth, particularly in the TTM period, with a significant increase in total revenue. However, the company is facing challenges in profitability, as indicated by negative EBIT and net income margins. The gross profit margin is stable, suggesting effective cost management at the gross level, but the company needs to improve operational efficiency to enhance overall profitability.

Balance Sheet

The balance sheet shows a strong equity position with a low debt-to-equity ratio, indicating financial stability. However, the return on equity is low, reflecting challenges in generating profits from shareholders' equity. The equity ratio is healthy, suggesting a solid capital structure, but the company needs to focus on improving profitability to enhance shareholder returns.

Cash Flow

Cash flow analysis reveals a concerning trend with negative free cash flow growth in the TTM period. The operating cash flow to net income ratio is positive, indicating some level of cash generation from operations, but the free cash flow to net income ratio suggests cash flow challenges. The company needs to focus on improving cash flow management to support growth and operational needs.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	60.47M	56.87M	54.52M	44.99M	41.70M	41.22M
Gross Profit	20.88M	22.93M	20.79M	17.01M	16.33M	15.87M
EBITDA	72.46M	51.99M	-185.11K	1.37M	1.16M	1.36M
Net Income	36.59M	27.97M	-1.07M	-282.22K	-134.43K	175.65K
Balance Sheet
Total Assets	17.11B	5.10B	20.50M	21.44M	18.00M	15.90M
Cash, Cash Equivalents and Short-Term Investments	2.28B	5.07B	6.14M	8.01M	6.81M	6.60M
Total Debt	4.12B	577.00K	2.62M	2.40M	2.29M	3.04M
Total Liabilities	7.20B	45.36M	13.02M	11.89M	8.64M	8.62M
Stockholders Equity	9.92B	5.05B	7.47M	9.55M	9.36M	7.28M
Cash Flow
Free Cash Flow	-71.87M	84.78M	462.88K	2.00M	111.27K	1.60M
Operating Cash Flow	-52.13M	84.88M	583.80K	2.04M	226.03K	1.73M
Investing Cash Flow	-10.58B	-102.00K	-399.42K	-188.74K	-510.46K	839.81K
Financing Cash Flow	11.94B	4.98B	-2.05M	-655.13K	503.13K	-4.63M

QXO Inc Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 21.48
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For QXO, the sentiment is Positive. The current price of 21.48 is above the 20-day moving average (MA) of 20.68, above the 50-day MA of 20.88, and above the 200-day MA of 16.66, indicating a bullish trend. The MACD of 0.28 indicates Negative momentum. The RSI at 55.52 is Neutral, neither overbought nor oversold. The STOCH value of 82.20 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for QXO.

QXO Inc Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
MANH	80 Outperform	$13.02B	61.13	85.16%	―	6.13%	9.17%
DOCU	77 Outperform	$16.44B	60.20	14.23%	―	8.29%	-71.36%
DT	77 Outperform	$15.05B	31.17	20.69%	―	18.70%	214.47%
BSY	69 Neutral	$16.48B	69.36	23.69%	0.49%	10.45%	-32.43%
Sector *	65 Neutral	$2.68B	14.89	12.46%	3.50%	2.94%	43.39%
U	63 Neutral	$18.51B	―	-13.62%	―	-13.74%	48.10%
QXO	60 Neutral	$14.79B	―	-0.39%	―	3310.77%	93.28%

QXO Inc Corporate Events

QXO Inc Unveils Strategic Growth Plans to Investors

On June 26, 2025, QXO Inc. released investor presentation materials for upcoming investor meetings, highlighting its strategic plans and growth targets. The company is focused on becoming a leader in the building products distribution industry by leveraging acquisitions and organic growth to achieve substantial revenue goals, with a particular emphasis on creating value for shareholders.

QXO Inc Announces Public Offering Pricing

On June 24, 2025, QXO Inc. announced the pricing of its public offering of 89,887,640 shares of common stock at $22.25 per share, expected to close on June 26, 2025. The company plans to use the net proceeds, estimated at approximately $1,977.5 million, for general corporate purposes, including potential future acquisitions, which could impact its operations and market positioning.

QXO Inc Announces $2 Billion Stock Offering

On June 24, 2025, QXO Inc. announced its intention to offer $2 billion of its common stock to the public, with an option for underwriters to purchase an additional $300 million. The proceeds from this offering are intended for general corporate purposes, including potential future acquisitions, which could impact the company’s growth strategy and market positioning. The offering is being managed by Goldman Sachs, Morgan Stanley, and Wells Fargo Securities.