RXO Needs to Show Investors Evidence of Stabilization -- Market Talk

Dow Jones
02/10

1215 ET - RXO will need to show evidence of improving trends and cost structure after an unexpected slowdown in the freight market hit its fourth-quarter earnings, sending the stock price down, Stifel analysts write in a note. The company is set up for an improvement, with the acquisition and integration of Coyote in the rearview and the possibility for a cyclical freight recovery moving forward. "RXO should be positioned for earnings inflection once pricing normalizes and spot activity broadens," they write. "However, with 1Q26 still pressured by seasonality and lagging sell-rate recovery, we believe the market will need greater evidence of margin stabilization before underwriting a sustained earnings recovery." Shares are down 5.1%. (elias.schisgall@wsj.com)

 

(END) Dow Jones Newswires

February 09, 2026 12:15 ET (17:15 GMT)

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