We came across a bullish thesis on QXO, Inc. on Kairos Research’s Substack. In this article, we will summarize the bulls’ thesis on QXO. QXO, Inc.'s share was trading at $23.24 as of January 28th. QXO’s trailing and forward P/E were 2.11 and 66.67 respectively according to Yahoo Finance. QXO, Inc. distributes roofing, waterproofing, and other building products in the United States. Brad Jacobs, a serial industrial entrepreneur with a 40-year track record of creating value through roll-ups, is now focused ...

Core Insights - Tsai Capital Corporation's Growth Equity Strategy achieved an 8.5% gain before fees and 7.6% after fees for the year ending December 31, 2025, underperforming the S&P 500 Index's 17.9% return [1] - Since its inception 26 years ago, the strategy has gained 970% cumulatively before fees and 658% after fees, compared to the S&P 500 Index's total return of 639% [1] - The strategy focuses on long-term investments in exceptional companies that effectively allocate capital towards promising ideas and talent, currently holding 17 high-quality growth companies [1] Company Highlights - QXO, Inc. (NYSE:QXO) is a roofing, waterproofing, and building products distributor, with a one-month return of 20.48% and a 52-week gain of 73.17% [2] - As of November 12, 2025, QXO, Inc. closed at $23.24 per share, with a market capitalization of $16.412 billion [2] - Tsai Capital initiated a position in QXO in 2024 at approximately $11 per share, under the leadership of Brad Jacobs, who aims to disrupt the $800 billion building products distribution industry [3] Investment Sentiment - QXO, Inc. is not among the 30 most popular stocks among hedge funds, with 65 hedge fund portfolios holding the stock at the end of the third quarter, unchanged from the previous quarter [4] - While QXO is recognized for its potential, the company believes certain AI stocks present greater upside potential and less downside risk [4]

QXO Inc (NYSE:QXO) is one of the best large cap stocks under $100 with huge upside potential. On January 9, Michael Dahl from RBC Capital Markets assigned an Outperform rating to QXO Inc (NYSE:QXO), while lowering the target price from $33 to $30. Following this downward revision, he still expects a further upside of above 25%. Jim Cramer Prefers Home Depot Over Builders FirstSource (BLDR) yuttana Contributor Studio/Shutterstock.com Dahl’s rating is based on his cautious views on housing affordability, ...

QXO, Inc. (NYSE:QXO) is among the stocks under $50 to buy now. On January 16, Oppenheimer lifted the price target on QXO, Inc. (NYSE:QXO) to $30 from $27 and maintained an Outperform rating. According to TheFly, the firm believes the company is likely to report “sizable, incremental M&A,” which it believes will be a growth driver. In the initial two weeks of 2026, the company issued equity for the third time, with the first two equity raises tied to the condition that QXO will announce meaningful M&A activ ...

U.S. stock futures were higher this morning, with the Nasdaq 100 futures gaining around 100 points on Friday.Shares of J B Hunt Transport Services Inc (NASDAQ:JBHT) fell sharply in pre-market trading as the company reported mixed financial results for the fourth quarter.J.B. Hunt reported fourth-quarter revenue of $3.097 billion, slightly below estimates of $3.099 billion, according to Benzinga Pro. The company reported earnings of $1.90 per share for the fourth quarter, beating estimates of $1.77 per share ...

Core Insights - PainReform Ltd. announced a name change and is expanding into diversified healthcare and AI-driven energy platforms, resulting in a 27.4% increase in share price to $1.02 in pre-market trading [1] Gainers - Acco Group Holdings Limited saw a significant gain of 219.4%, reaching $9.40 in pre-market trading [4] - Venus Concept Inc. increased by 72.2% to $2.48 [4] - Jaguar Health, Inc. rose 41.3% to $1.08 following a licensing agreement with Woodward Specialty [4] - ImmunityBio, Inc. gained 22.8% to $4.85, with preliminary net product revenue for Anktiva projected at approximately $113 million for fiscal 2025, marking a 700% year-over-year increase [4] - OneMedNet Corporation rose 14.2% to $0.9711 after a previous decline [4] - Brand Engagement Network, Inc. increased by 13.8% to $6.50 [4] - Springview Holdings Ltd rose 13.4% to $19.75 after a substantial 657% increase on Thursday [4] - Creative Global Technology Holdings Limited gained 10.7% to $4.22 after a 52% jump on Thursday [4] - Kopin Corporation increased by 8.1% to $3.20 [4] Losers - Callan JMB Inc. fell 20.7% to $3.33 after a 275% increase on Thursday due to a strategic agreement with Biostax Corp [4] - Erayak Power Solution Group Inc. decreased by 18.3% to $3.21 after an 18% rise on Thursday [4] - TryHard Holdings Limited dropped 16.4% to $6.35 following a 76% decline on Thursday due to a joint venture announcement [4] - iOThree Limited shares dipped 15% to $2.56 [4] - NOVONIX Limited fell 14% to $1.17 [4] - Moolec Science SA tumbled 13.1% to $6.69 after an 118% increase on Thursday [4] - High Roller Technologies, Inc. declined 12.9% to $20.64 after a 25% rise on Thursday [4] - Bonk, Inc. fell 10.4% to $3.55 after a 42% increase on Thursday due to acquisition news [4] - J B Hunt Transport Services Inc fell 4.2% to $197.86, reporting mixed financial results for the fourth quarter [4] - QXO Inc dipped 3.5% to $24.14 after announcing a $750 million stock offering and preliminary fourth-quarter net sales of $2.19 billion [4]

Core Viewpoint - QXO, Inc. has announced a public offering of 31,645,570 shares of its common stock at a price of $23.80 per share, with the offering expected to close on January 20, 2026, subject to customary closing conditions [1][2]. Group 1: Offering Details - The underwriter has an option to purchase an additional 4,746,835 shares at the public offering price, less underwriting discounts and commissions [2]. - The net proceeds from the offering will be used for general corporate purposes, which may include funding future acquisitions [2]. - BofA Securities is acting as the sole underwriter for the offering [2]. Group 2: Company Overview - QXO is the largest publicly traded distributor of roofing, waterproofing, and complementary building products in North America [5]. - The company aims to become the tech-enabled leader in the $800 billion building products distribution industry and targets $50 billion in annual revenues within the next decade through accretive acquisitions and organic growth [5]. Group 3: Regulatory Information - The offering is being made by means of a prospectus supplement under QXO's effective registration statement on Form S-3ASR, as filed with the Securities and Exchange Commission (SEC) [3].

Acquisition Details - QXO completed the acquisition of Beacon Roofing Supply for $124.35 per share, finalizing the merger on April 29, 2025[2]. - The acquisition was accounted for using the acquisition method, with QXO identified as the accounting acquirer[22]. - QXO repaid all historical Beacon debt outstanding as part of the acquisition financing[19]. - The preliminary aggregate acquisition consideration for the acquisition was $10,644.0 million[49]. - Estimated fair value of goodwill from the acquisition is $5,068.9 million[49]. - The company recorded a write-off of $2.4 million related to loss on debt extinguishment as part of the acquisition[56]. Financing Activities - The company raised approximately $1.45 billion from public offerings of common stock and Mandatory Convertible Preferred Stock in May 2025[3]. - QXO issued $2.25 billion in Senior Secured Notes and entered a $2.25 billion senior secured term loan facility to finance the acquisition[17]. - The May 2025 Equity Financing included the sale of 48.5 million shares at $16.50 per share, generating $892.5 million in net proceeds[20]. - The company also raised $558.1 million from the issuance of 11.5 million depositary shares of Mandatory Convertible Preferred Stock[21]. - In June 2025, the company raised $1.96 billion in net proceeds from the sale of 89.9 million shares at $22.25 per share, with additional proceeds of $38.1 million from the partial exercise of an underwriter option[25]. - The proceeds from the June 2025 equity financing were used for general corporate purposes and not to pay down any debt related to the acquisition[26]. - On November 5, 2025, the company refinanced its Term Loan Facility, reducing the applicable margin for borrowings from 3.00% to 2.00% for Term SOFR borrowings and from 2.00% to 1.00% for base rate borrowings[27]. - The January 2026 Investment Agreement allows investors to purchase up to 300,000 shares of Series C Convertible Perpetual Preferred Stock for an aggregate price of $3.0 billion to fund one or more qualifying acquisitions[29]. - The company intends to use the net proceeds from the Convertible Preferred Investment for acquisitions with a purchase price exceeding $1.5 billion[30]. Financial Performance - For the year ended December 31, 2024, net sales were reported at $9,820.1 million, with a gross profit of $2,396.2 million[33]. - Total operating expenses for the same period were $2,385.7 million, resulting in an income from operations of $10.5 million[33]. - The net income attributable to common stockholders for the year ended December 31, 2024, was reported at a loss of $242.6 million[33]. - Basic net income per common share for the year was $(0.39)[33]. - Net sales reached $7,342.7 million, with QXO contributing $4,648.1 million and Beacon contributing $2,694.6 million[36]. - Gross profit totaled $1,839.3 million, with QXO's gross profit at $1,042.8 million and Beacon's at $664.8 million[36]. - Total operating expenses amounted to $1,999.6 million, with QXO's expenses at $1,218.5 million and Beacon's at $699.8 million[36]. - The net loss attributable to common stockholders was $377.0 million, with a basic and diluted loss per share of $0.46[36]. - The company incurred interest expense of $170.9 million, with a net interest income of $80.1 million[36]. - The provision for income taxes resulted in a benefit of $72.6 million, contributing to the overall net loss[36]. - The weighted-average common shares outstanding were 578.1 million for both basic and diluted calculations[36]. Pro Forma Adjustments - The unaudited pro forma combined financial information reflects operations from January 1, 2024, and includes Beacon's results post-acquisition[4]. - The pro forma adjustments are preliminary and subject to change based on final acquisition accounting[5]. - Pro forma adjustments were made based on management's estimates and assumptions for the acquisition accounting[42]. - Pro forma basic weighted average shares outstanding increased to 621.4 million for the year ended December 31, 2024[61]. - The statutory income tax rate used for pro forma adjustments is 26.0% for both the year ended December 31, 2024 and the nine months ended September 30, 2025[57]. - Pro forma amortization of intangible assets is estimated at $466.7 million for the year ended December 31, 2024[53]. - Adjustments to selling, general and administrative expenses (SG&A) resulted in a net pro forma adjustment of $55.7 million for the year ended December 31, 2024[54]. - Pro forma adjustment to cost of products sold includes $131.7 million for the estimated fair value of inventories recognized during the first year post-acquisition[50]. - The company made reclassifications to align QXO and Beacon's financial statement presentations, impacting interest expense and other income[44]. - The company anticipates a significant change in the effective tax rate post-merger due to various factors[57]. - The pro forma financing transaction accounting adjustments reflect new interest expenses associated with the acquisition financing totaling $356.1 million for the year ended December 31, 2024[55].

Group 1 - QXO, Inc. (NYSE:QXO) is recognized for supplying roofing, waterproofing, and building materials, including siding, insulation, and construction accessories [1] - Jim Cramer expressed confidence in QXO as a buy due to the leadership of Brad Jacobs, despite acknowledging a 10% short position in the stock [1] - Cramer noted that while he does not view the roofing business as particularly strong, he believes Jacobs will find ways to generate profit through consolidation and strategic moves [1] Group 2 - The article suggests that while QXO has investment potential, certain AI stocks may offer greater upside and lower downside risk [1]

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