FedEx (NYSE:FDX) Issues Earnings Results

Posted by Renee Jackson on Mar 18th, 2023

FedEx (NYSE:FDX – Get Rating) announced its earnings results on Thursday. The shipping service provider reported $3.41 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.67 by $0.74, RTT News reports. The company had revenue of $22.17 billion for the quarter, compared to analyst estimates of $22.74 billion. FedEx had a return on equity of 19.17% and a net margin of 3.54%. The firm’s quarterly revenue was down 6.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $4.59 earnings per share. FedEx updated its FY23 guidance to $13.80-14.40 EPS and its FY 2023 guidance to $14.60-$15.20 EPS.

FedEx Stock Up 8.0 %

NYSE FDX opened at $220.31 on Friday. FedEx has a 12 month low of $141.92 and a 12 month high of $248.76. The company’s 50 day simple moving average is $201.14 and its 200 day simple moving average is $181.63. The company has a debt-to-equity ratio of 0.83, a current ratio of 1.30 and a quick ratio of 1.25. The company has a market capitalization of $55.61 billion, a P/E ratio of 17.31, a PEG ratio of 1.22 and a beta of 1.31.

FedEx Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Monday, April 3rd. Investors of record on Monday, March 13th will be issued a $1.15 dividend. The ex-dividend date of this dividend is Friday, March 10th. This represents a $4.60 dividend on an annualized basis and a dividend yield of 2.09%. FedEx’s payout ratio is currently 36.14%.

Wall Street Analysts Forecast Growth

A number of equities analysts recently commented on the stock. Wells Fargo & Company boosted their target price on shares of FedEx from $225.00 to $240.00 and gave the stock an “equal weight” rating in a research note on Friday. JPMorgan Chase & Co. increased their target price on shares of FedEx from $199.00 to $233.00 in a research note on Friday. Stifel Nicolaus increased their price target on shares of FedEx from $222.00 to $242.00 in a report on Friday. BMO Capital Markets increased their target price on shares of FedEx from $180.00 to $210.00 and gave the company a “market perform” rating in a report on Monday, March 13th. Finally, Deutsche Bank Aktiengesellschaft increased their target price on shares of FedEx from $190.00 to $217.00 in a report on Monday, November 28th. Ten analysts have rated the stock with a hold rating and fourteen have given a buy rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $230.75.

Insider Activity

In related news, Director Amy B. Lane acquired 280 shares of the stock in a transaction that occurred on Tuesday, January 3rd. The shares were purchased at an average cost of $175.83 per share, with a total value of $49,232.40. Following the completion of the transaction, the director now owns 1,529 shares of the company’s stock, valued at approximately $268,844.07. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this link. 8.62% of the stock is owned by company insiders.

Institutional Trading of FedEx

Several large investors have recently modified their holdings of the company. Chimera Capital Management LLC acquired a new position in shares of FedEx in the 4th quarter valued at $250,000. CIC Wealth LLC acquired a new stake in shares of FedEx during the 4th quarter worth about $248,000. Fort Sheridan Advisors LLC acquired a new stake in shares of FedEx during the 4th quarter worth about $232,000. Momentum Advisors LLC bought a new stake in FedEx during the 4th quarter worth about $216,000. Finally, Geller Advisors LLC bought a new stake in FedEx during the 1st quarter worth about $203,000. 72.02% of the stock is owned by institutional investors.

FedEx Company Profile

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FedEx Corp. provides a broad portfolio of transportation, e-commerce and business services under the FedEx brand. It operates through the following segments: FedEx Express, FedEx Ground, FedEx Freight, FedEx Services, and Corporate, Other & Eliminations. The FedEx Express segment consists of domestic and international shipping services for delivery of packages and freight.