XPO Logistics, one of the largest transport and storage companies in the world, dropped more than 13 percent in Friday's premiere after reporting lower than expected earnings and issuing a terrible warning about its business in 2019
"Reading between the lines, we believe the shipper who handles parcel injection, brokerage, last mile and logistics with XPO, is Amazon, "says JP Morgan analyst Brian Osenbeck. e-tailer efforts to expand its logistics capabilities, we expect the market to interpret the loss of the XPO contract as Amazon takes over its capacity in the house, which is negative for [FedEx] and UPS.
cut its price to $ 78 per share of $ 84. The revised price target implies a 31% increase over the next 12 months.
Amazon did not respond immediately to CNBC's request for comment. Shares of FedEx and UPS fell before the bell
XPO shares already fell sharply before Friday's fall. Shares fell by more than 24% in the last three months to the end of Thursday. Over the past six months, it has also fallen by 40.4%. "NET / NET, as we fully understand the initial negative reaction, we do not think the fundamental story is broken," Deutsche Bank analyst Amit Mehrotra writes. "However, the [Thursday’s] message clearly puts the company deeper into the field."
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