FedEx Corporation (FDX) Downgraded to Sell at Zacks Investment Research
Zacks Investment Research cut shares of FedEx Corporation (NYSE:FDX) from a hold rating to a sell rating in a research report sent to investors on Tuesday.
According to Zacks, “Shares of FedEx have underperformed the industry it belongs to as well as rival United Parcel Service in the last three months. While the stock has gained 1.4%, the industry has advanced 4.7%. Shares of rival, United Parcel Service, have gained 6.3% in the period. Adding to its woes, FedEx performed disappointingly in the first quarter of fiscal 2018, reporting lower-than-expected revenues and earnings per share. Results were hurt by the cyberattack in June. Harvey and costs related to the integration process of TNT Express also dented results. We are, however, impressed by the company's decision to reward shareholders through dividend payments and share buybacks. The growth in e-commerce is also a positive.Results were&”
FDX has been the subject of a number of other research reports. UBS AG reaffirmed a buy rating and issued a $235.00 target price (up previously from $215.00) on shares of FedEx Corporation in a report on Wednesday, June 21st. Cowen and Company reaffirmed a buy rating and issued a $240.00 target price on shares of FedEx Corporation in a report on Thursday, August 10th. Bank of America Corporation reaffirmed a buy rating and issued a $247.00 target price (up previously from $240.00) on shares of FedEx Corporation in a report on Friday, October 6th. Oppenheimer Holdings, Inc. reaffirmed a buy rating and issued a $229.00 target price on shares of FedEx Corporation in a report on Wednesday, September 20th. Finally, Stifel Nicolaus reaffirmed a hold rating and issued a $221.00 target price (up previously from $216.00) on shares of FedEx Corporation in a report on Wednesday, September 20th. Two analysts have rated the stock with a sell rating, five have given a hold rating and twenty-two have given a buy rating to the company. The company has a consensus rating of Buy and an average target price of $227.14.
Shares of FedEx Corporation (NYSE:FDX) traded up 0.59% during mid-day trading on Tuesday, hitting $222.08. The stock had a trading volume of 395,239 shares. FedEx Corporation has a 1-year low of $168.00 and a 1-year high of $227.00. The company has a market capitalization of $59.55 billion, a P/E ratio of 20.93 and a beta of 1.31. The stock’s 50-day moving average price is $216.27 and its 200 day moving average price is $205.52.
FedEx Corporation (NYSE:FDX) last announced its quarterly earnings data on Tuesday, September 19th. The shipping service provider reported $2.51 earnings per share for the quarter, missing the consensus estimate of $3.17 by ($0.66). FedEx Corporation had a return on equity of 20.69% and a net margin of 4.72%. The business had revenue of $15.30 billion for the quarter, compared to the consensus estimate of $15.35 billion. During the same quarter in the prior year, the company earned $2.90 earnings per share. FedEx Corporation’s quarterly revenue was up 4.1% compared to the same quarter last year. On average, analysts predict that FedEx Corporation will post $12.47 EPS for the current fiscal year.
The business also recently announced a quarterly dividend, which was paid on Monday, October 2nd. Stockholders of record on Monday, September 11th were issued a $0.50 dividend. The ex-dividend date was Friday, September 8th. This represents a $2.00 dividend on an annualized basis and a dividend yield of 0.91%. FedEx Corporation’s dividend payout ratio is presently 18.87%.
In related news, CEO Michael L. Ducker sold 14,964 shares of the stock in a transaction that occurred on Friday, September 29th. The stock was sold at an average price of $225.85, for a total transaction of $3,379,619.40. Following the completion of the sale, the chief executive officer now directly owns 53,397 shares of the company’s stock, valued at $12,059,712.45. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, EVP Donald F. Colleran sold 10,000 shares of the stock in a transaction that occurred on Thursday, September 21st. The shares were sold at an average price of $220.00, for a total value of $2,200,000.00. Following the sale, the executive vice president now directly owns 30,499 shares of the company’s stock, valued at $6,709,780. The disclosure for this sale can be found here. Insiders have sold 27,172 shares of company stock valued at $6,039,193 over the last ninety days. 8.45% of the stock is currently owned by company insiders.
Several institutional investors and hedge funds have recently modified their holdings of the stock. Krilogy Financial LLC increased its position in shares of FedEx Corporation by 0.4% during the second quarter. Krilogy Financial LLC now owns 511 shares of the shipping service provider’s stock valued at $111,000 after acquiring an additional 2 shares during the last quarter. Cribstone Capital Management LLC increased its position in FedEx Corporation by 1.2% in the second quarter. Cribstone Capital Management LLC now owns 489 shares of the shipping service provider’s stock worth $107,000 after buying an additional 6 shares during the last quarter. Guardian Life Insurance Co. of America increased its position in FedEx Corporation by 1.0% in the first quarter. Guardian Life Insurance Co. of America now owns 943 shares of the shipping service provider’s stock worth $184,000 after buying an additional 9 shares during the last quarter. Park National Corp OH increased its position in FedEx Corporation by 0.9% in the second quarter. Park National Corp OH now owns 1,178 shares of the shipping service provider’s stock worth $256,000 after buying an additional 10 shares during the last quarter. Finally, Argent Trust Co increased its position in FedEx Corporation by 0.3% in the first quarter. Argent Trust Co now owns 4,516 shares of the shipping service provider’s stock worth $882,000 after buying an additional 12 shares during the last quarter. 75.89% of the stock is owned by institutional investors.
About FedEx Corporation
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.
Receive News & Stock Ratings for FedEx Corporation Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for FedEx Corporation and related stocks with our FREE daily email newsletter.