XPO Logistics Beats Stock Drop Suit Over Amazon Relationship

XPO Logistics Inc. shook off a proposed securities class action alleging the transportation and logistics company made misrepresentations about revenue growth and concealed the intent of Amazon, its largest customer, to sever ties after the District of Connecticut found the shareholders failed to show the company made false or misleading statements.

The court dismissed the Securities Exchange Act of 1934 allegations filed by plaintiffs seeking to represent purchasers of XPO stock between Feb. 12, 2018, and Feb. 14, 2019.

The company’s statements that its revenue growth in the first quarter of 2018 “reflected a healthy diversification of customer verticals and ...