GXO vs RXO

For growth investors, RXO, Inc.

(RXO) is the stronger pick with 26. 2% revenue growth year-over-year, versus 12. 5% for GXO Logistics, Inc. (GXO). GXO Logistics, Inc. (GXO) offers the better valuation at 185. 3x trailing P/E (17. 2x forward), making it the more compelling value choice. Analysts rate GXO Logistics, Inc. (GXO) a "Buy" — based on 18 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

Over the past 5 years, RXO, Inc.

(RXO) delivered a total return of +10. 2%, compared to -4. 8% for GXO Logistics, Inc. (GXO). Over 10 years, the gap is even starker: RXO returned +10. 2% versus GXO's -4. 8%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), GXO Logistics, Inc.

(GXO) is the lower-risk stock at 1. 45β versus RXO, Inc. 's 2. 74β — meaning RXO is approximately 88% more volatile than GXO relative to the S&P 500. On balance sheet safety, RXO, Inc. (RXO) carries a lower debt/equity ratio of 56% versus 3% for GXO Logistics, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), RXO, Inc.

(RXO) is pulling ahead at 26. 2% versus 12. 5% for GXO Logistics, Inc. (GXO). On earnings-per-share growth, the picture is similar: RXO, Inc. grew EPS 72. 8% year-over-year, compared to -75. 0% for GXO Logistics, Inc.. Over a 3-year CAGR, GXO leads at 13. 6% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

GXO Logistics, Inc.

(GXO) is the more profitable company, earning 0. 2% net margin versus -1. 7% for RXO, Inc. — meaning it keeps 0. 2% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: GXO leads at 3. 2% versus -0. 1% for RXO. At the gross margin level — before operating expenses — RXO leads at 17. 7%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

Analyst consensus price targets imply the most upside for GXO: 40.

2% to $72. 71.

None of the stocks in this comparison currently pay a material dividend.

All are effectively zero-yield and should be held for capital appreciation rather than income.

For long-horizon retirement investors, GXO Logistics, Inc.

(GXO) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding. RXO, Inc. (RXO) carries a higher beta of 2. 74 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (GXO: -4. 8%, RXO: +10. 2%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: GXO is a small-cap quality compounder stock; RXO is a small-cap high-growth stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.