Why GXO Stock Is Rebounding Today
A day after plunging 15% due to a weak 2025 outlook, shares of GXO Logistics (NYSE: GXO) are rallying. The stock is up 8% as of 2:30 p.m. ET, and was up as much as 11% earlier in the day, on investor speculation the post-earnings sell-off was overdone.
GXO is a logistics company specializing in managing warehouses, supply chains, and deliveries for large corporate customers. The company topped Wall Street estimates in the fourth quarter but warned that soft demand would eat into 2025 performance.
Specifically, GXO warned that "capacity realignment" at three major customers would cause a shortfall. At the midpoint of guidance, GXO is expecting $850 million in earnings before interest, taxes, depreciation, and amortization (EBITDA) in 2025, compared to a consensus estimate for $900 million.
Source Fool.com
