TIP822: QXO (QXO): Can One of the World's Best Consolidators Strike Lightning Again? w/ Kyle Grieve & Shawn O'Malley

You're listening to TIP. He's done it multiple times before. United Way Systems, a 55% kegger bet. XPO, a 50 bagger. Building multiple billion dollar business has been nearly automatic for Brad Jacobs.

And now he has his sight set on rolling up the fragmented roofing and building products industry with his newest business, QXO. with an audacious goal of 50 billion revenue in just a decade's time. A manager this skilled in capital allocation, finance, and integration across multiple industries only comes along a few times in a generation. But the real question is whether Jacobs can roll up a commoditized industry and defend margins that don't have obvious barriers to entry.

And that's totally fair, but here's the thing. With QXO now at $18 billion in pro-forma revenue after the top bill deal closes, QXO's procurement advantages, cross-selling capabilities, and ability to leverage technology is set to really take off. The scale benefits alone act as a weapon against smaller rivals who just lack the volume to match QXO. Well, we'll dive more into that as well as how QXO is financing this flurry of deals and what it would take for QXO to reach its goal of $50 billion in revenue with 15% eBeta margins. Since 2014, with more than 200 million downloads, we have interviewed the world's best investors, studied deeply the principles of value investing, and uncovered many compelling investment opportunities.

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