What is going on with XPO?
XPO Logistics, Inc. (XPO) stock is lower today after the truck brokerage provider announced a milestone in the adoption of its XPO Connect digital brokerage marketplace.
The company disclosed that the platform’s Drive XPO mobile app reached app downloads of over 600,000 at year-end 2021 - more than doubling the cumulative count in 12 months.
Additionally, XPO stated it had a 74% year-over-year increase in weekly average carrier users on XPO Connect in the fourth quarter.
Shares of XPO declined 1.59% to $65.56 as of Monday at 11:14am.
What does this mean for XPO Logistics?
XPO's new digital platform is significant for recent introductions, which include an expanded API offering that allows shippers to access XPO Connect via Oracle’s Transportation Management cloud system.
The app also includes end-to-end tracking automation for carriers that requires almost no driver interaction.
Drew Wilkerson, XPO’s president of North American transportation, commented, “XPO has prioritized the development of truck brokerage automation for over a decade, leading to our premier XPO Connect offering."
"Now that digital transactions have become a defining trend in our industry, our investments ahead of the curve are attracting significant freight volumes to our platform.”
XPO Connect uses machine learning to analyze historical data and market conditions, helping shippers and carriers buy and sell freight capacity more efficiently in real time.
The app is free to download from iOS and Android stores.
XPO has a Fundamental Rank of 66. Find out what this means to you and get the rest of the rankings on XPO!
XPO Logistics is a diversified trucking and logistics company, built mostly via acquisition (until 2016). Following the third-quarter 2021 spin-off of its global contract logistics division (outsourced warehousing and supply-chain services), XPO's portfolio reflects its transportation operations--asset-based less-than-truckload shipping (33% of gross revenue), asset-light freight brokerage including intermodal and truck brokerage (29%), heavy goods last mile delivery (8%), and its European truckload and LTL operations (24%). The remainder of revenue stems from managed transportation and global forwarding services.
