They bought UX. Come on and buy. Why is it down? XPO will be over $100 in a year. There is NO WAY this stock can't get to a $6B or $7B market cap even without any profits and their debt load. It is impossible to lose on this puppy. 100% increase in a couple of years so far. 100% to come.
BUY BUY BUY BUY. XPO will never go down. Huge margins. Huge sales. Huge profits. No debt. Growth industry. What could possibly go wrong. BUY BUY BUY! You are an idiot if you don't buy. Stock is CHEAP CHEAP CHEAP.
and down OVER a buck in the first 10 mins of trading today. buying unprofitable revenue streams is a recipe for disaster when any market softens. think about it. looks at the XPO market cap and ask yourself honestly if this is a fair value on a cash burning company. who would pay anything close to that for them? nobody. a realistic price is $5 to $10 and even that price would not guarantee a buyer. all i am saying is be careful. when the large holders exit their positions this baby will drop like a lead encased stone. not many small holders can take a 75% plus fall from here.
I think you have to say it is a decent deal. Two profitable companies, cost synergies, larger market exposure for each. All together it is a good move if they get the operations melded together in the next year or two. The market sees to think so at the stock is up nicely. In the end, the market will reward higher profits. This seems to be how you get there. Time will tell.
It will be under $10 within 2 years (about 75% less) because growing revenues and mounting losses fueled by increasing junk (sorry, "high yield") debt do not make a good long term bet. Eventually the big holders will catch on and start dumping. Maybe they already have and reflected in the recent 15% drop. As usual the little guy will be left holding all the $10 stock once the big boys have cleared out. A reasonable price for this is between $5 and $10 and then only on the hope that they can get to profitability at that point. Buyer beware.