ArcBest Corporation (ARCB) vs RXO INC (RXO)

ArcBest Corporation and RXO INC are both Trucking companies. RXO INC is the larger, with a market value of $3.3B against $2.9B — 1.2× the size. RXO INC has negative trailing earnings, so its P/E is not meaningful; ArcBest Corporation trades at 179×. RXO INC grew revenue faster over the last twelve months: 9.53% against 3.70%. ArcBest Corporation has the higher net margin (0.39% vs −1.72%) and the higher return on invested capital (1.39% vs −2.39%). Across the 20 metrics below, ArcBest Corporation leads on 12 and RXO INC on 8.

Valuation

Metric ARCB RXO Trucking median
P/E 178.80 n/m 50.34
P/S 0.67 0.55 1.19
P/B 2.21 2.23 1.48
Price to free cash flow 13.51 n/m 13.51
EV/EBITDA 13.70 127.91 11.77
EV/Sales 0.68 0.63 1.03
Earnings yield 0.56% (3.08%) 0.21%
Free cash flow yield 7.40% (2.23%) 4.56%

Profitability

Metric ARCB RXO Trucking median
Gross margin 0.69% 14.91% 51.20%
Operating margin 0.69% (1.25%) 0.00%
Net margin 0.39% (1.72%) 0.35%
Free cash flow margin 4.93% (1.23%) 5.45%
Return on equity 1.27% (6.79%) 0.31%
Return on assets 0.66% (3.15%) 0.37%
Return on invested capital 1.39% (2.39%) (0.05%)

Growth

Metric ARCB RXO Trucking median
Revenue growth (TTM) 3.70% 9.53% 4.46%
EPS growth (last fiscal year) (64.11%) 72.43% —
Revenue growth, 5-year CAGR 6.40% 11.33% 6.44%
Net income growth, 5-year CAGR (3.31%) 0.00% 0.00%

Health

Metric ARCB RXO Trucking median
Debt to equity 0.17 0.33 0.17
Current ratio 0.97 1.27 1.52
Net debt to EBITDA 0.38 10.46 1.59

Dividend

Metric ARCB RXO Trucking median
Dividend yield 0.30% — 1.00%
Payout ratio 0.06 — 0.08

Size

Metric ARCB RXO Trucking median
Market cap 2.85b 3.29b 1.53b

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