FedEx (NYSE:FDX) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a note issued to investors on Tuesday, March 13th.
According to Zacks, “Shares of FedEx have outperformed its industry over the past year. While FedEx has rallied 26.1%, the industry it belongs to has gained 9.5%. Ushering in further good news, FedEx experienced a highly successful holiday season driven by increased package volumes. In fact, the strong growth of e-commerce is a huge positive for the company. The new tax law is also expected to aid the company significantly. The company's efforts to reward its shareholders through dividend payments and share buybacks are also encouraging. However, high costs are likely to continue hurting the bottom line in the fiscal third quarter. Detailed results should be out on Mar 20. In fact, significant investments at the company's Ground unit are pushing up costs. Moreover, FedEx's operations were hurt by cyber attacks in 2017. Re-occurance of such events will hurt the stock.”
Several other research analysts have also weighed in on FDX. Goldman Sachs started coverage on shares of FedEx in a research note on Monday, November 13th. They set a “buy” rating and a $270.00 price objective on the stock. Sanford C. Bernstein set a $212.00 price target on shares of FedEx and gave the company a “hold” rating in a research note on Wednesday, November 15th. Barclays reissued an “overweight” rating and issued a $270.00 price objective (up previously from $230.00) on shares of FedEx in a research report on Thursday, November 30th. They noted that the move was a valuation call. Citigroup boosted their target price on shares of FedEx to $275.00 and gave the stock a “buy” rating in a report on Tuesday, December 12th. Finally, Credit Suisse Group reiterated an “outperform” rating and issued a $278.00 price objective (up from $233.00) on shares of FedEx in a report on Thursday, December 14th. One analyst has rated the stock with a sell rating, three have assigned a hold rating and twenty-three have given a buy rating to the stock. FedEx currently has a consensus rating of “Buy” and a consensus price target of $278.08.
Shares of FedEx stock traded up $2.79 during mid-day trading on Tuesday, reaching $252.40. 998,503 shares of the company traded hands, compared to its average volume of 1,815,609. The company has a quick ratio of 1.50, a current ratio of 1.57 and a debt-to-equity ratio of 0.89. The company has a market cap of $67,516.21, a P/E ratio of 23.25, a P/E/G ratio of 1.47 and a beta of 1.32. FedEx has a 12-month low of $182.89 and a 12-month high of $274.66.
FedEx (NYSE:FDX) last posted its quarterly earnings data on Tuesday, December 19th. The shipping service provider reported $3.18 earnings per share for the quarter, beating the consensus estimate of $2.89 by $0.29. FedEx had a net margin of 4.74% and a return on equity of 20.56%. The firm had revenue of $16.30 billion during the quarter, compared to analysts’ expectations of $15.67 billion. During the same quarter last year, the company posted $2.80 EPS. The company’s quarterly revenue was up 9.4% compared to the same quarter last year. equities research analysts predict that FedEx will post 13.49 earnings per share for the current year.
In other FedEx news, COO David J. Bronczek sold 46,555 shares of the business’s stock in a transaction that occurred on Tuesday, January 2nd. The stock was sold at an average price of $255.49, for a total value of $11,894,336.95. Following the completion of the sale, the chief operating officer now owns 48,562 shares in the company, valued at $12,407,105.38. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Robert B. Carter sold 3,970 shares of the business’s stock in a transaction that occurred on Thursday, December 21st. The shares were sold at an average price of $250.73, for a total value of $995,398.10. Following the completion of the sale, the executive vice president now owns 187,025 shares of the company’s stock, valued at approximately $46,892,778.25. The disclosure for this sale can be found here. Insiders have sold 53,541 shares of company stock valued at $13,692,142 in the last three months. 8.45% of the stock is owned by insiders.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Cambridge Investment Research Advisors Inc. lifted its holdings in shares of FedEx by 27.6% during the fourth quarter. Cambridge Investment Research Advisors Inc. now owns 17,604 shares of the shipping service provider’s stock valued at $4,393,000 after purchasing an additional 3,807 shares in the last quarter. Rehmann Capital Advisory Group lifted its holdings in FedEx by 18.7% in the fourth quarter. Rehmann Capital Advisory Group now owns 2,021 shares of the shipping service provider’s stock valued at $504,000 after acquiring an additional 318 shares during the period. Xact Kapitalforvaltning AB lifted its holdings in FedEx by 8.9% in the fourth quarter. Xact Kapitalforvaltning AB now owns 38,868 shares of the shipping service provider’s stock valued at $9,699,000 after acquiring an additional 3,166 shares during the period. Envestnet Asset Management Inc. lifted its holdings in FedEx by 38.2% in the fourth quarter. Envestnet Asset Management Inc. now owns 61,913 shares of the shipping service provider’s stock valued at $15,448,000 after acquiring an additional 17,129 shares during the period. Finally, Griffin Asset Management Inc. lifted its holdings in FedEx by 12.0% in the fourth quarter. Griffin Asset Management Inc. now owns 6,030 shares of the shipping service provider’s stock valued at $1,505,000 after acquiring an additional 645 shares during the period. 74.58% of the stock is currently owned by hedge funds and other institutional investors.
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FedEx Corporation (FedEx) provides a portfolio of transportation, e-commerce and business services through companies competing collectively, operating independently and managed collaboratively, under the FedEx brand. The Company’s segments include FedEx Express, TNT Express, FedEx Ground, FedEx Freight and FedEx Services.
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