FedEx Co. (NYSE:FDX) Receives Average Recommendation of “Moderate Buy” from Brokerages

Posted by Stacy Sanders on Mar 19th, 2023

FedEx Co. (NYSE:FDX – Get Rating) has been assigned a consensus recommendation of “Moderate Buy” from the twenty-six brokerages that are covering the stock, MarketBeat reports. Seven equities research analysts have rated the stock with a hold recommendation and eight have assigned a buy recommendation to the company. The average 1 year target price among analysts that have updated their coverage on the stock in the last year is $230.75.

A number of research analysts recently weighed in on the company. Wells Fargo & Company upped their price objective on FedEx from $225.00 to $240.00 and gave the stock an “equal weight” rating 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. Credit Suisse Group boosted their target price on FedEx from $257.00 to $269.00 and gave the stock an “outperform” rating in a research report on Friday. Susquehanna raised their price target on FedEx from $170.00 to $225.00 in a research report on Friday. Finally, Stifel Nicolaus boosted their price objective on shares of FedEx from $222.00 to $242.00 in a research report on Friday.

Insider Transactions at FedEx

In related news, Director Amy B. Lane bought 280 shares of the stock in a transaction that occurred on Tuesday, January 3rd. The stock was purchased at an average cost of $175.83 per share, for a total transaction of $49,232.40. Following the completion of the acquisition, the director now owns 1,529 shares in the company, valued at $268,844.07. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Insiders own 8.62% of the company’s stock.

Hedge Funds Weigh In On FedEx

Hedge funds have recently made changes to their positions in the stock. Lakewood Asset Management LLC purchased a new position in shares of FedEx in the 4th quarter worth $26,000. CenterStar Asset Management LLC purchased a new position in shares of FedEx in the 4th quarter worth about $29,000. Coston McIsaac & Partners acquired a new position in shares of FedEx in the 2nd quarter valued at about $30,000. My Personal CFO LLC purchased a new stake in shares of FedEx during the 4th quarter worth about $31,000. Finally, Cowa LLC acquired a new stake in FedEx during the 3rd quarter worth approximately $33,000. Institutional investors and hedge funds own 72.02% of the company’s stock.

FedEx Stock Performance

Shares of FDX opened at $220.31 on Friday. The stock has a market capitalization of $55.61 billion, a P/E ratio of 17.31, a P/E/G ratio of 1.20 and a beta of 1.31. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.25 and a current ratio of 1.30. FedEx has a 1 year low of $141.92 and a 1 year high of $248.76. The company’s fifty day moving average is $201.14 and its two-hundred day moving average is $181.41.

FedEx (NYSE:FDX – Get Rating) last issued its quarterly earnings results on Thursday, March 16th. The shipping service provider reported $3.41 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.67 by $0.74. The business had revenue of $22.17 billion for the quarter, compared to analyst estimates of $22.74 billion. FedEx had a net margin of 3.54% and a return on equity of 19.17%. The business’s revenue was down 6.2% compared to the same quarter last year. During the same period in the previous year, the business posted $4.59 earnings per share. On average, sell-side analysts predict that FedEx will post 13.53 earnings per share for the current year.

FedEx Announces Dividend

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

About FedEx

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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.