---
title: "Raymond James Sees Significant Upside for RXO on Tightening Truckload Capacity and Earnings Leverage"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/292528204.md"
description: "BMO Capital analyst Fadi Chamoun initiated a Buy rating on RXO, citing tightening truckload capacity and earnings leverage. He projects EBITDA growth toward $600 million due to margin expansion as pricing recovers. Stifel Nicolaus also maintained a Buy rating with a $30 target. Additionally, TipRanks launched the RANK ETF, tracking its US Momentum Analysts Index of 50 large U.S. companies."
datetime: "2026-07-13T20:25:19.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/292528204.md)
  - [en](https://longbridge.com/en/news/292528204.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/292528204.md)
generator: "portal-rs"
---

# Raymond James Sees Significant Upside for RXO on Tightening Truckload Capacity and Earnings Leverage

Fadi Chamoun, an analyst from BMO Capital, has initiated a new Buy rating on RXO, Inc. (RXO).

### TipRanks Welcomes a New ETF – NYSE:RANK

-   TipRanks has entered a new arena in the investing world, powering the index of an ETF based on its unique data now trading under the ticker RANK on the NYSE.
-   RANK tracks the performance of the TipRanks US Momentum Analysts Index, a rules-based index of 50 large U.S. companies.

Fadi Chamoun has given his Buy rating due to a combination of factors tied to RXO’s earnings leverage and the freight cycle. He argues that truckload capacity is tightening back toward prior peak levels while RXO’s adjusted gross profit per load is still well below its last peak, creating room for substantial margin expansion as pricing catches up.

He also highlights that RXO’s platform is now meaningfully larger and more productive than in the last cycle, supporting his view that EBITDA can climb toward roughly $600 million, far above current consensus. Applying what he views as a conservative multiple to that earnings potential yields a target price that implies significant upside, with additional benefit possible if the cycle tightens more than expected or free cash flow supports accretive acquisitions.

In another report released today, Stifel Nicolaus also maintained a Buy rating on the stock with a $30.00 price target.

### Related Stocks

- [RXO.US](https://longbridge.com/en/quote/RXO.US.md)
- [RANK.US](https://longbridge.com/en/quote/RANK.US.md)
- [RJF.US](https://longbridge.com/en/quote/RJF.US.md)
- [BMO.US](https://longbridge.com/en/quote/BMO.US.md)
- [SF.US](https://longbridge.com/en/quote/SF.US.md)
- [RJF-B.US](https://longbridge.com/en/quote/RJF-B.US.md)
- [SF-C.US](https://longbridge.com/en/quote/SF-C.US.md)
- [SFB.US](https://longbridge.com/en/quote/SFB.US.md)
- [SF-B.US](https://longbridge.com/en/quote/SF-B.US.md)
- [SF-D.US](https://longbridge.com/en/quote/SF-D.US.md)

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**