Rothschild & Co Redburn Has Lowered Expectations for FedEx (NYSE:FDX) Stock Price

FedEx (NYSE:FDX) had its price target cut by Rothschild & Co Redburn from $375.00 to $344.00 in a report released on Tuesday,MarketScreener reports. The firm presently has a “neutral” rating on the shipping service provider’s stock. Rothschild & Co Redburn’s price target suggests a potential upside of 4.47% from the company’s previous close.

A number of other research firms also recently weighed in on FDX. BMO Capital Markets dropped their price target on shares of FedEx from $410.00 to $340.00 and set a “market perform” rating on the stock in a research note on Monday. Barclays upgraded FedEx from an “overweight” rating to an “overweight” rating in a research note on Wednesday, May 27th. Citigroup assumed coverage on FedEx in a report on Thursday, May 21st. They set a “buy” rating and a $443.00 price objective on the stock. HSBC cut their target price on FedEx from $360.00 to $289.89 and set a “hold” rating for the company in a research report on Monday. Finally, Truist Financial set a $155.00 price target on FedEx in a report on Tuesday. Eighteen investment analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat, FedEx presently has an average rating of “Moderate Buy” and an average target price of $383.72.

FedEx Stock Down 20.0%

Shares of FedEx stock traded down $82.46 during midday trading on Tuesday, hitting $329.29. The company’s stock had a trading volume of 2,398,089 shares, compared to its average volume of 1,615,251. FedEx has a 1-year low of $214.82 and a 1-year high of $413.87. The company has a quick ratio of 1.44, a current ratio of 1.47 and a debt-to-equity ratio of 0.77. The firm has a market capitalization of $78.57 billion, a P/E ratio of 17.83, a PEG ratio of 1.57 and a beta of 1.28. The stock has a 50-day simple moving average of $376.08 and a 200-day simple moving average of $339.12.

FedEx (NYSE:FDX) last announced its quarterly earnings data on Thursday, March 19th. The shipping service provider reported $5.25 EPS for the quarter, topping analysts’ consensus estimates of $4.12 by $1.13. The firm had revenue of $24 billion during the quarter, compared to analyst estimates of $23.44 billion. FedEx had a return on equity of 16.76% and a net margin of 4.88%.The business’s quarterly revenue was up 8.3% compared to the same quarter last year. During the same period last year, the company posted $4.51 EPS. As a group, sell-side analysts expect that FedEx will post 19.63 earnings per share for the current year.

Insider Transactions at FedEx

In related news, EVP Gina F. Adams sold 20,450 shares of FedEx stock in a transaction that occurred on Tuesday, April 14th. The stock was sold at an average price of $366.45, for a total transaction of $7,493,902.50. Following the completion of the sale, the executive vice president directly owned 19,403 shares of the company’s stock, valued at approximately $7,110,229.35. This trade represents a 51.31% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, Director Susan C. Schwab sold 5,795 shares of the business’s stock in a transaction on Wednesday, April 15th. The shares were sold at an average price of $369.00, for a total value of $2,138,355.00. Following the completion of the sale, the director owned 10,038 shares of the company’s stock, valued at $3,704,022. This trade represents a 36.60% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 48,104 shares of company stock worth $17,599,006 over the last three months. Company insiders own 0.53% of the company’s stock.

Institutional Trading of FedEx

Several hedge funds and other institutional investors have recently bought and sold shares of the business. Norges Bank bought a new position in FedEx in the 4th quarter valued at approximately $859,085,000. Vanguard Group Inc. lifted its position in shares of FedEx by 13.2% during the 3rd quarter. Vanguard Group Inc. now owns 23,442,049 shares of the shipping service provider’s stock valued at $5,527,870,000 after acquiring an additional 2,741,723 shares during the period. Boston Partners acquired a new position in shares of FedEx during the third quarter valued at about $468,195,000. Dodge & Cox boosted its holdings in FedEx by 12.0% during the third quarter. Dodge & Cox now owns 16,225,160 shares of the shipping service provider’s stock worth $3,826,055,000 after purchasing an additional 1,742,666 shares during the last quarter. Finally, AQR Capital Management LLC boosted its position in FedEx by 169.2% in the third quarter. AQR Capital Management LLC now owns 2,733,905 shares of the shipping service provider’s stock worth $638,203,000 after purchasing an additional 1,718,278 shares during the last quarter. Institutional investors and hedge funds own 84.47% of the company’s stock.

More FedEx News

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx completed the spin-off of FedEx Freight, creating a separate publicly traded LTL carrier that could unlock value and let both businesses pursue more focused strategies. FedEx Completes Spin-Off of FedEx Freight
• Positive Sentiment: FedEx Freight management said the standalone company can invest more aggressively in growth and aims to reach a 15% operating margin by 2029, which supports the long-term value case for the restructuring. FedEx Freight CEO says the spinoff will help the company ‘leapfrog’ competitors
• Positive Sentiment: FedEx still has support from some analysts after the split, with Goldman Sachs maintaining a Buy rating even after trimming its target price. Goldman Sachs adjusts price target on FedEx
• Neutral Sentiment: FedEx Freight began trading independently under ticker FDXF, and coverage focused on how investors may value the new entity versus the remaining parent. FedEx Freight Stock Starts Trading June 1
• Neutral Sentiment: Several articles frame the move as a strategic transformation and discuss future earnings potential, but they do not point to an immediate operational change for FedEx itself. Why FedEx Stock Just Dropped
• Negative Sentiment: Analysts cut price targets after the spin-off, including HSBC lowering its target to $289.89 and BMO cutting to $340, signaling concerns that the parent stock may have less upside after the separation. HSBC adjusts price target on FedEx

FedEx Company Profile

FedEx Corporation (NYSE: FDX) is a global logistics and courier company headquartered in Memphis, Tennessee. Founded by Frederick W. Smith in 1971 and beginning operations in the early 1970s, the company pioneered overnight express shipping and has since expanded into a diversified portfolio of transportation, e-commerce and supply-chain services. FedEx operates an integrated air-and-ground network that moves parcels, freight and documents for businesses and consumers worldwide.

FedEx’s core operating segments include express parcel delivery via its FedEx Express division, domestic and residential parcel delivery through FedEx Ground, less-than-truckload (LTL) freight services, and logistics and supply-chain management solutions.