Head-To-Head Analysis: Hafnia (NYSE:HAFN) & RXO (NYSE:RXO)

RXO (NYSE:RXO) and Hafnia (NYSE:HAFN) are both mid-cap transportation companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, earnings, valuation, dividends, institutional ownership, profitability and risk.

Analyst Recommendations

This is a summary of recent ratings and price targets for RXO and Hafnia, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RXO	2	10	3	0	2.07
Hafnia	0	0	2	0	3.00

RXO presently has a consensus price target of $26.85, suggesting a potential upside of 6.45%. Hafnia has a consensus price target of $8.25, suggesting a potential upside of 48.11%. Given Hafnia’s stronger consensus rating and higher possible upside, analysts clearly believe Hafnia is more favorable than RXO.

Institutional and Insider Ownership

92.7% of RXO shares are held by institutional investors. 1.5% of RXO shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares RXO and Hafnia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RXO	-6.81%	1.64%	0.63%
Hafnia	53.44%	36.90%	22.38%

Earnings & Valuation

This table compares RXO and Hafnia”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RXO	$3.86 billion	1.05	$4.00 million	($1.98)	-12.74
Hafnia	$3.04 billion	0.93	$793.28 million	$1.70	3.28

Hafnia has lower revenue, but higher earnings than RXO. RXO is trading at a lower price-to-earnings ratio than Hafnia, indicating that it is currently the more affordable of the two stocks.

Summary

Hafnia beats RXO on 8 of the 13 factors compared between the two stocks.

About RXO

RXO, Inc. provides full truckload freight transportation brokering services. It also offers brokered services for managed transportation, last mile, and freight forwarding. The company was incorporated in 2022 and is based in Charlotte, North Carolina.

About Hafnia

Hafnia Limited owns and operates oil product tankers in Bermuda. It operates through Long Range II, Long Range I, Medium Range (MR), Handy size, and Specialized segments. The company transports clean and dirty, refined oil products, vegetable oil, and easy chemicals to national and international oil companies, and chemical companies, as well as trading and utility companies; and owns and operates 200 vessels. It provides ship owning, ship-management, investment, management, corporate support, and agency office services. In addition, the company provides integrated shipping platform, including technical management, commercial and chartering services, pool management, and large-scale bunker desk services. Hafnia Limited is based in Hamilton, Bermuda.