XPO (XPO) Q2 Earnings and Revenues Top Estimates

Core Viewpoint - XPO reported quarterly earnings of $1.05 per share, exceeding the Zacks Consensus Estimate of $0.99 per share, but down from $1.12 per share a year ago, indicating a +6.06% earnings surprise [1] Financial Performance - XPO's revenues for the quarter ended June 2025 were $2.08 billion, surpassing the Zacks Consensus Estimate by 1.90%, consistent with year-ago revenues [2] - Over the last four quarters, XPO has exceeded consensus EPS estimates four times and topped consensus revenue estimates three times [2] Stock Performance and Outlook - XPO shares have increased by approximately 0.9% since the beginning of the year, while the S&P 500 has gained 8.2% [3] - The company's earnings outlook will be crucial for future stock movements, with current consensus EPS estimates at $1.02 for the coming quarter and $3.63 for the current fiscal year [4][7] Industry Context - The Transportation - Truck industry, to which XPO belongs, is currently ranked in the bottom 18% of over 250 Zacks industries, which may negatively impact stock performance [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, suggesting that the current unfavorable estimate revisions trend could lead to underperformance [5][6]