RXO INC (RXO) vs Werner Enterprises, Inc. (WERN)

RXO INC and Werner Enterprises, Inc. are both Trucking companies. RXO INC is the larger, with a market value of $3.3B against $2.0B — 1.6× the size. Werner Enterprises, Inc. grew revenue faster over the last twelve months: 9.64% against 9.53%. Werner Enterprises, Inc. has the higher net margin (−1.42% vs −1.72%) and the higher return on invested capital (−0.82% vs −2.39%). Across the 19 metrics below, Werner Enterprises, Inc. leads on 14 and RXO INC on 5.

Valuation

Metric RXO WERN Trucking median
P/E n/m n/m 50.34
P/S 0.55 0.61 1.19
P/B 2.23 1.45 1.48
Price to free cash flow n/m 11.10 13.51
EV/EBITDA 127.91 9.59 11.77
EV/Sales 0.63 0.84 1.03
Earnings yield (3.08%) (2.31%) 0.21%
Free cash flow yield (2.23%) 9.01% 4.56%

Profitability

Metric RXO WERN Trucking median
Gross margin 14.91% 52.75% 51.20%
Operating margin (1.25%) (0.86%) 0.00%
Net margin (1.72%) (1.42%) 0.35%
Free cash flow margin (1.23%) 5.46% 5.45%
Return on equity (6.79%) (3.33%) 0.31%
Return on assets (3.15%) (1.52%) 0.37%
Return on invested capital (2.39%) (0.82%) (0.05%)

Growth

Metric RXO WERN Trucking median
Revenue growth (TTM) 9.53% 9.64% 4.46%
EPS growth (last fiscal year) 72.43% (143.64%) —
Revenue growth, 5-year CAGR 11.33% 4.63% 6.44%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric RXO WERN Trucking median
Debt to equity 0.33 0.60 0.17
Current ratio 1.27 1.45 1.52
Net debt to EBITDA 10.46 2.32 1.59

Dividend

Metric RXO WERN Trucking median
Dividend yield — 1.33% 1.00%
Payout ratio — 0.19 0.08

Size

Metric RXO WERN Trucking median
Market cap 3.29b 2.01b 1.53b

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