Back to top

Image: Bigstock

FedEx (FDX) Stock Moves -0.41%: What You Should Know

Read MoreHide Full Article

In the latest trading session, FedEx (FDX - Free Report) closed at $208.62, marking a -0.41% move from the previous day. This change was narrower than the S&P 500's daily loss of 0.88%. At the same time, the Dow lost 0.73%, and the tech-heavy Nasdaq lost 4.59%.

Prior to today's trading, shares of the package delivery company had gained 8.99% over the past month. This has outpaced the Transportation sector's gain of 7.13% and the S&P 500's gain of 5.83% in that time.

Investors will be hoping for strength from FedEx as it approaches its next earnings release, which is expected to be March 16, 2023. In that report, analysts expect FedEx to post earnings of $2.72 per share. This would mark a year-over-year decline of 40.74%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $22.63 billion, down 4.26% from the year-ago period.

FDX's full-year Zacks Consensus Estimates are calling for earnings of $13.60 per share and revenue of $91.93 billion. These results would represent year-over-year changes of -34.01% and -1.7%, respectively.

Any recent changes to analyst estimates for FedEx should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. FedEx is holding a Zacks Rank of #3 (Hold) right now.

Digging into valuation, FedEx currently has a Forward P/E ratio of 15.41. For comparison, its industry has an average Forward P/E of 15.41, which means FedEx is trading at a no noticeable deviation to the group.

Investors should also note that FDX has a PEG ratio of 1.28 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. FDX's industry had an average PEG ratio of 1.87 as of yesterday's close.

The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 234, putting it in the bottom 8% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


FedEx Corporation (FDX) - free report >>

Published in