Covenant Logistics Group, Inc. (CVLG) vs RXO INC (RXO)

Covenant Logistics Group, Inc. and RXO INC are both Trucking companies. RXO INC is the larger, with a market value of $4.6B against $821.5M — 5.6× the size. RXO INC has negative trailing earnings, so its P/E is not meaningful; Covenant Logistics Group, Inc. trades at 150×. Covenant Logistics Group, Inc. grew revenue faster over the last twelve months: 12.5% against 10.1%. Covenant Logistics Group, Inc. has the higher net margin (0.42% vs −1.35%) and the higher return on invested capital (0.30% vs −1.64%). Across the 19 metrics below, Covenant Logistics Group, Inc. leads on 13 and RXO INC on 6.

Valuation

Metric CVLG RXO Trucking median
P/E 149.57 n/m 41.09
P/S 0.62 0.72 0.93
P/B 1.89 3.09 1.58
Price to free cash flow 28.33 n/m 12.29
EV/EBITDA 10.96 92.07 10.39
EV/Sales 0.84 0.79 0.98
Earnings yield 0.67% (1.86%) 0.34%
Free cash flow yield 3.53% (1.54%) 3.60%

Profitability

Metric CVLG RXO Trucking median
Gross margin 0.00% 14.48% 32.25%
Operating margin 0.27% (0.80%) 0.17%
Net margin 0.42% (1.35%) 0.21%
Free cash flow margin 2.18% (1.10%) 3.96%
Return on equity 1.28% (5.68%) 0.64%
Return on assets 0.53% (2.63%) 0.27%
Return on invested capital 0.30% (1.64%) 0.18%

Growth

Metric CVLG RXO Trucking median
Revenue growth (TTM) 12.46% 10.08% 7.57%
EPS growth (last fiscal year) (79.23%) 72.43% (40.10%)
Revenue growth, 5-year CAGR 6.79% 11.33% 6.08%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric CVLG RXO Trucking median
Debt to equity 0.68 0.33 0.16
Current ratio 1.15 1.28 1.50
Net debt to EBITDA 3.09 10.46 1.59

Dividend

Metric CVLG RXO Trucking median
Dividend yield 0.89% — 1.33%
Payout ratio 1.75 — 0.49

Size

Metric CVLG RXO Trucking median
Market cap 821.48m 4.60b 1.33b

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