RXO, Inc. — Earnings Quality Grade F
RXO · Industrials
Major red flags
Screening Summary
Management Signals
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 78 days, change -20 days YoY
AR growth -0.1% vs revenue growth 26.2%
Revenue 26.2%, CFFO 525.0%. Cash follows revenue
Expense Quality
No material inventory
CapEx growth 31.1% vs revenue 26.2%. Normal
SG&A/Gross Profit = 100.8%, exceeds 70%
Gross margin 14.4%, change -0.9pp. Stable
Cash Flow Quality
CFFO/NI = -0.51. Below 1.0
FCF is negative ($-0.0B)
Accruals ratio = -4.6%. Low accruals
Cash $0.0B covers only 3% of debt $0.7B
Balance Sheet Health
Goodwill+Intangibles $1.6B = 101% of equity. Over 50%
Debt/EBITDA = 18.6x (>4x). Interest coverage = -0.2x (<2x). Financial stress
Other assets -42.9% vs revenue 26.2%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions negative for 2/3 years
Goodwill+Intangibles change -4% YoY. Normal
Manipulation Score
M-Score = -2.67 (< -2.22). Unlikely manipulator
Portfolio monitoring
Monitor RXO continuously
The full checks and model details are free to read. Use Watchlist to track your holdings; Pro adds automatic quarterly rescoring, risk-event email alerts, scans up to 50 tickers, and export workflows.
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-25