UBS analyst Thomas Wadewitz maintained a Buy rating on GXO Logistics today and set a price target of $63.00.
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Thomas Wadewitz has given his Buy rating due to a combination of factors that highlight GXO Logistics’ potential for growth and stability. The company is experiencing stable underlying conditions, with organic revenue growth supported by new contract business and consistent same-store volumes. Despite mixed activity in the transportation sector, GXO’s performance in key markets like the US, UK, and Continental Europe remains strong, with expectations of upward volume trends in 2026.
Additionally, GXO’s recent contract with the UK National Health Services, valued at approximately $2.5 billion, underscores its growth prospects in the healthcare sector. The company’s strategic position in attractive verticals such as aerospace, defense, and industrial markets further supports its growth potential. Although there are adjustments to the EPS forecast due to higher depreciation and tax rates, the defensiveness of GXO’s business model and the medium-term growth support from warehouse automation and outsourcing contribute to its attractive valuation, justifying the Buy rating.
In another report released on September 25, Goldman Sachs also upgraded the stock to a Buy with a $68.00 price target.