FedEx Corporation FDX Upgraded to Strong-Buy Status by StockNews.com Analysts

FedEx Corporation FDX, the globally recognized American package delivery giant, has received an optimistic update from analysts at StockNews.com on November 12th, 2023. Moving up from a "buy" rating, FedEx has been elevated to a "strong-buy" rating, signaling heightened confidence from the research entity in the company's stock performance potential.

Analyst Consensus and Price Objectives

Several analysts have recently provided their perspectives on FDX. Notably, UBS Group raised their price objective from $312.00 to $323.00, backing the stock with a "buy" rating. Likewise, Wells Fargo & Company increased their target price from $270.00 to $280.00, maintaining an "equal weight" rating. Evercore ISI elevated their price target slightly from $275.00 to $276.00 and offered an "outperform" rating, while Loop Capital boosted their objective from $255.00 to $275.00, opting to stick with a "hold" rating. In a similar vein, Deutsche Bank Aktiengesellschaft lifted their target from $255.00 to $295.00, also recommending a "buy".

Collectively, FedEx has been awarded one "strong buy" rating, sixteen "buy" ratings, and seven "hold" ratings, according to MarketBeat’s compiled data. The consensus rating appears to be a "Moderate Buy," with an average price target set at $282.54, indicative of the strong performance anticipated by the market experts.

Recent Performance and Earnings

FedEx has shown notable performance with share prices commencing at $246.03 as trading opened on the day of the rating publication. Holding a market cap of $61.86 billion, the company has seen a 52 week range between $162.61 and $270.95, embodying significant volatility within the period. Financial indicators such as a P/E ratio of 15.00, a PEG ratio of 1.11, and a beta of 1.34 further paint the fiscal standing of FDX. Regarding liquidity, FedEx maintains a quick ratio of 1.32 and a current ratio of 1.37, alongside a debt-to-equity ratio of 0.76. The company has also disclosed a net margin of 4.71% and a return on equity of 16.14%, reflecting its profitable operations and efficient equity use respectively.

The most recent quarterly earnings report, dated September 20th, revealed a $4.55 EPS, outperforming the consensus estimate by $0.84. With a quarterly revenue of $21.68 billion, the results marginally fell short of the $21.74 billion expectation. FedEx's revenue for the quarter was down 6.5% year over year, nonetheless, the EPS saw an increase from the previous year's $3.44. Looking forward, analysts project a promising EPS of 18.14 for the current fiscal year.

Insider and Institutional Engagement

Recent insider activity has shown that VP Jennifer L. Johnson sold 13,348 shares, transacting at an average of $258.25, culminating to a total value of $3,447,121.00. Following this sale, the VP now directly holds 3,428 shares valued at approximately $885,281. Insider ownership stands at about 8.73% for FDX, emphasizing significant internal investment.

On the institutional front, changes in holdings have been noted across various firms. Hedge funds and other institutional investors currently own 73.61% of the company’s stock, indicating robust external confidence in FedEx’s financial trajectory.

About FedEx Corporation

FedEx Corporation FDX is renowned for providing a wide range of transportation, e-commerce, and business services both domestically and across the globe. With its comprehensive operation segments encompassing FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services, the corporation caters to an extensive client base with its express transportation, package delivery, and freight services, among others.

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