What does GXO Logistics do?

GXO runs warehouses and supply chain operations for other companies. It stores goods, picks and packs orders, ships products to stores and consumers, and handles returns. As of late 2025 it operated 1,043 facilities worldwide.

What is GXO Logistics's fair value?

On an owner-earnings DCF, GXO Logistics's most-likely fair value is about $34, versus a recent price near $47. A margin-of-safety estimate, not a price target. Analysis, not advice.

Industrials · Integrated Freight & Logistics · GXO

What GXO Logistics Does & How It Makes Money (GXO)

Updated October 2026 · reflects GXO Logistics's latest reported financials

Contract logistics company running warehouses and order fulfillment for other businesses. GXO earns fees from business customers that outsource their warehousing, distribution, order fulfillment and returns handling to it.

GXO Logistics's story, moat and numbers — in a 3-minute visual book.

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How GXO Logistics makes money

GXO earns fees from business customers that outsource their warehousing, distribution, order fulfillment and returns handling to it.

What GXO Logistics does

GXO Logistics is a contract logistics provider headquartered in Greenwich, Connecticut. It was incorporated in 2021. Companies hire GXO to run their warehouses and distribution operations, so GXO stores inventory, fulfills orders, supports e-commerce and omnichannel delivery, and processes returns. As of December 31, 2025, it operated 1,043 facilities around the world. Its customers come from many industries, including e-commerce, omnichannel retail, technology and consumer electronics, food and beverage, industrial and manufacturing, and consumer packaged goods. Because its business is spread across these sectors, GXO's results depend on how much goods move through retail and industrial supply chains and on how many companies choose to outsource their logistics.

Products & services

Warehousing and distribution
Order fulfillment
E-commerce logistics
Reverse logistics (returns)
Supply chain services

What is GXO Logistics worth?

On an owner-earnings DCF, GXO Logistics's most-likely value is about $34 versus a recent price near $47 (26% above fair value). But TacticScale only calls a stock undervalued when the price sits below its conservative no-growth floor (~$17) with a margin of safety — so the honest verdict here is “Fairly priced — no edge.” Fair value earns its keep only at the extremes, not in the wide middle.

Verdict: Fairly priced — no edge

Owner-earnings fair value · recent price ≈ $47

Fair value (most likely)

$34

Range

$24–$57

No-growth floor

$17

Price

~$47

Price sits in the normal range — fair value isn't actionable here; it earns its keep only when price drops below the no-growth floor, or runs to roughly double the optimistic case.

⚠ High leverage — net debt is 25.0× annual cash flow. Net debt is subtracted from this fair value, but refinancing at higher rates, principal timing, and share dilution aren’t modeled — the equity can be worth far less if cash flow weakens.

Analysis, not advice. Fair value is a margin-of-safety estimate from a deterministic owner-earnings DCF, not a price target or recommendation. See the full breakdown →

Sector Industrials Industry Integrated Freight & Logistics HQ United States Ticker GXO Official site

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