FedEx Corp. (NYSE:FDX) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued to investors on Thursday.
According to Zacks, “FedEx Corporation reported better-than-expected earnings and revenues in the first quarter of fiscal 2017. The top line and bottom line also improved year over year. The outperformance was supported by strong sales at the company’s express, ground and freight divisions as well as inclusion of the results of TNT Express, acquired in this May year. Including the impact of the TNT Express buyout, the company expects fiscal 2017 earnings in the band of $10.85–$11.35 per share, on an adjusted basis. We expect FedEx’s strong product portfolio to support its guidance. We are also encouraged by the company’s decision to hike its quarterly dividend payout earlier in the year. During the quarter, FedEx incurred significant costs toward TNT Express integration and Outlook restructuring program. Apart from the costs, competitive threats, legal hassles and pension headwinds are likely to pose challenges going forward.”
Several other equities research analysts also recently weighed in on FDX. Cowen and Company reaffirmed a “buy” rating and set a $180.00 target price on shares of FedEx Corp. in a research note on Saturday, June 18th. Vetr raised shares of FedEx Corp. from a “buy” rating to a “strong-buy” rating and set a $179.94 target price on the stock in a research note on Tuesday, August 2nd. Robert W. Baird reaffirmed a “buy” rating and set a $176.00 target price on shares of FedEx Corp. in a research note on Thursday, June 23rd. Stifel Nicolaus upped their target price on shares of FedEx Corp. from $179.00 to $186.00 and gave the stock a “buy” rating in a research note on Wednesday, September 21st. Finally, Bank of America Corp. reaffirmed a “buy” rating on shares of FedEx Corp. in a research note on Thursday, June 16th. Nine analysts have rated the stock with a hold rating, twelve have given a buy rating and one has issued a strong buy rating to the stock. The company has an average rating of “Buy” and a consensus price target of $176.41.
Shares of FedEx Corp. (NYSE:FDX) opened at 174.39 on Thursday. The stock’s 50 day moving average is $165.36 and its 200 day moving average is $161.49. The firm has a market capitalization of $46.91 billion, a P/E ratio of 26.08 and a beta of 1.35. FedEx Corp. has a 1-year low of $119.71 and a 1-year high of $175.38.
FedEx Corp. (NYSE:FDX) last issued its quarterly earnings data on Tuesday, September 20th. The shipping service provider reported $2.90 EPS for the quarter, topping the consensus estimate of $2.81 by $0.09. FedEx Corp. had a net margin of 3.61% and a return on equity of 20.62%. The firm had revenue of $14.70 billion for the quarter. During the same quarter in the prior year, the company posted $2.42 earnings per share. The business’s revenue was up 19.5% compared to the same quarter last year. Equities analysts predict that FedEx Corp. will post $12.15 earnings per share for the current year.
The company also recently announced a quarterly dividend, which will be paid on Monday, October 3rd. Stockholders of record on Monday, September 12th will be paid a $0.40 dividend. This represents a $1.60 annualized dividend and a dividend yield of 0.92%. The ex-dividend date of this dividend is Thursday, September 8th. FedEx Corp.’s dividend payout ratio (DPR) is presently 23.99%.
In other news, EVP Robert B. Carter sold 5,000 shares of the stock in a transaction dated Thursday, August 11th. The shares were sold at an average price of $164.51, for a total value of $822,550.00. Following the completion of the transaction, the executive vice president now owns 53,399 shares in the company, valued at approximately $8,784,669.49. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Alan B. Graf, Jr. sold 7,400 shares of the stock in a transaction dated Tuesday, August 2nd. The shares were sold at an average price of $159.43, for a total transaction of $1,179,782.00. Following the completion of the transaction, the executive vice president now owns 150,665 shares of the company’s stock, valued at approximately $24,020,520.95. The disclosure for this sale can be found here. 8.67% of the stock is currently owned by insiders.
Institutional investors have recently made changes to their positions in the stock. Ferguson Wellman Capital Management Inc. increased its position in shares of FedEx Corp. by 1.1% in the second quarter. Ferguson Wellman Capital Management Inc. now owns 115,921 shares of the shipping service provider’s stock worth $17,594,000 after buying an additional 1,230 shares in the last quarter. Legal & General Group Plc increased its position in shares of FedEx Corp. by 2.0% in the first quarter. Legal & General Group Plc now owns 1,159,796 shares of the shipping service provider’s stock worth $188,709,000 after buying an additional 22,819 shares in the last quarter. Southpoint Capital Advisors LP bought a new position in shares of FedEx Corp. during the first quarter worth about $90,607,000. Prudential PLC increased its position in shares of FedEx Corp. by 7.5% in the first quarter. Prudential PLC now owns 45,245 shares of the shipping service provider’s stock worth $7,362,000 after buying an additional 3,163 shares in the last quarter. Finally, Trust Co. of Vermont increased its position in shares of FedEx Corp. by 2.1% in the second quarter. Trust Co. of Vermont now owns 13,697 shares of the shipping service provider’s stock worth $2,079,000 after buying an additional 278 shares in the last quarter. Institutional investors and hedge funds own 73.78% of the company’s stock.
About FedEx Corp.
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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