Comparing GXO Logistics (NYSE:GXO) and Hafnia (NYSE:HAFN)

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

Valuation and Earnings

This table compares Hafnia and GXO Logistics”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hafnia	$1.92 billion	1.64	$793.28 million	$1.57	3.95
GXO Logistics	$10.36 billion	0.70	$229.00 million	$1.39	43.97

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

Institutional and Insider Ownership

90.7% of GXO Logistics shares are held by institutional investors. 2.2% of GXO Logistics shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current recommendations for Hafnia and GXO Logistics, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hafnia	0	0	1	0	3.00
GXO Logistics	0	1	10	0	2.91

Hafnia presently has a consensus target price of $10.00, indicating a potential upside of 61.29%. GXO Logistics has a consensus target price of $66.91, indicating a potential upside of 9.47%. Given Hafnia’s stronger consensus rating and higher probable upside, research analysts plainly believe Hafnia is more favorable than GXO Logistics.

Profitability

This table compares Hafnia and GXO Logistics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hafnia	47.30%	34.28%	20.51%
GXO Logistics	1.35%	9.86%	2.91%

Summary

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

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.

About GXO Logistics

GXO Logistics, Inc., together with its subsidiaries, provides logistics services worldwide. The company provides warehousing and distribution, order fulfilment, e-commerce, reverse logistics, and other supply chain services. As of December 31, 2023, it operated in approximately 974 facilities. The company serves various customers in the e-commerce, omnichannel retail, technology and consumer electronics, food and beverage, industrial and manufacturing, consumer packaged goods, and others. GXO Logistics, Inc. was incorporated in 2021 and is headquartered in Greenwich, Connecticut.