FedEx (NYSE:FDX) Updates FY24 Earnings Guidance

FedEx (NYSE:FDXGet Free Report) updated its FY24 earnings guidance on Thursday. The company provided earnings per share (EPS) guidance of $17.25-18.25 for the period, compared to the consensus estimate of $17.35. The company issued revenue guidance of low single digit decline, compared to the consensus revenue estimate of $88.21 billion. FedEx also updated its FY 2024 guidance to 17.250-18.250 EPS.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the stock. Bank Of America (Bofa) raised their price objective on shares of FedEx from $330.00 to $334.00 in a research note on Wednesday, December 20th. TD Cowen raised their price objective on shares of FedEx from $293.00 to $320.00 and gave the stock an outperform rating in a research note on Friday. Oppenheimer reaffirmed a market perform rating on shares of FedEx in a research note on Friday. BMO Capital Markets raised their price objective on shares of FedEx from $290.00 to $310.00 and gave the stock a market perform rating in a research note on Friday. Finally, Morgan Stanley increased their target price on shares of FedEx from $195.00 to $210.00 and gave the stock an equal weight rating in a research report on Friday. Seven analysts have rated the stock with a hold rating and nineteen have issued a buy rating to the company. Based on data from MarketBeat.com, FedEx has a consensus rating of Moderate Buy and a consensus target price of $299.41.

Get Our Latest Stock Report on FedEx

FedEx Stock Performance

Shares of FDX opened at $284.31 on Friday. The company has a market capitalization of $71.05 billion, a PE ratio of 16.40, a price-to-earnings-growth ratio of 1.26 and a beta of 1.20. FedEx has a one year low of $213.80 and a one year high of $291.27. The company has a debt-to-equity ratio of 0.75, a current ratio of 1.34 and a quick ratio of 1.30. The company’s fifty day moving average price is $246.47 and its 200 day moving average price is $251.55.

FedEx (NYSE:FDXGet Free Report) last posted its quarterly earnings results on Thursday, March 21st. The shipping service provider reported $3.86 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.49 by $0.37. The company had revenue of $21.70 billion for the quarter, compared to analyst estimates of $21.95 billion. FedEx had a net margin of 5.02% and a return on equity of 16.59%. The business’s quarterly revenue was down 2.1% on a year-over-year basis. During the same period last year, the business posted $3.41 EPS. As a group, analysts expect that FedEx will post 17.46 earnings per share for the current year.

FedEx Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, April 1st. Shareholders of record on Monday, March 11th will be given a $1.26 dividend. The ex-dividend date of this dividend is Friday, March 8th. This represents a $5.04 annualized dividend and a yield of 1.77%. FedEx’s dividend payout ratio is 29.07%.

FedEx announced that its board has initiated a stock repurchase program on Thursday, March 21st that authorizes the company to repurchase $5.00 billion in outstanding shares. This repurchase authorization authorizes the shipping service provider to purchase up to 7.6% of its stock through open market purchases. Stock repurchase programs are generally a sign that the company’s board of directors believes its stock is undervalued.

Insiders Place Their Bets

In other FedEx news, EVP John W. Dietrich bought 1,000 shares of the firm’s stock in a transaction dated Thursday, December 28th. The shares were acquired at an average cost of $252.02 per share, for a total transaction of $252,020.00. Following the transaction, the executive vice president now owns 4,745 shares in the company, valued at $1,195,834.90. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. In other FedEx news, EVP John W. Dietrich bought 1,000 shares of the firm’s stock in a transaction dated Thursday, December 28th. The shares were acquired at an average cost of $252.02 per share, for a total transaction of $252,020.00. Following the transaction, the executive vice president now owns 4,745 shares in the company, valued at $1,195,834.90. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Amy B. Lane bought 200 shares of the firm’s stock in a transaction dated Tuesday, December 26th. The shares were acquired at an average price of $253.22 per share, for a total transaction of $50,644.00. Following the completion of the transaction, the director now owns 3,304 shares in the company, valued at approximately $836,638.88. The disclosure for this purchase can be found here. Company insiders own 8.73% of the company’s stock.

Hedge Funds Weigh In On FedEx

A number of institutional investors and hedge funds have recently added to or reduced their stakes in FDX. Global Wealth Management Investment Advisory Inc. acquired a new position in FedEx in the first quarter valued at about $35,000. Resurgent Financial Advisors LLC acquired a new position in FedEx in the fourth quarter valued at about $41,000. Worth Asset Management LLC acquired a new position in FedEx in the first quarter valued at about $41,000. Coppell Advisory Solutions LLC bought a new position in shares of FedEx in the second quarter worth about $45,000. Finally, Industrial Alliance Investment Management Inc. bought a new position in shares of FedEx in the fourth quarter worth about $52,000. 73.61% of the stock is currently owned by institutional investors and hedge funds.

About FedEx

(Get Free Report)

FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. It operates through FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services segments. The FedEx Express segment offers express transportation, small-package ground delivery, and freight transportation services; and time-critical transportation services.

Further Reading

Earnings History and Estimates for FedEx (NYSE:FDX)

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