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FedEx (FDX) Gains But Lags Market: What You Should Know
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FedEx (FDX - Free Report) closed the most recent trading day at $213.04, moving +0.17% from the previous trading session. This change lagged the S&P 500's 0.28% gain on the day. Meanwhile, the Dow gained 0.11%, and the Nasdaq, a tech-heavy index, added 3.77%.
Coming into today, shares of the package delivery company had gained 13.04% in the past month. In that same time, the Transportation sector gained 3.41%, while the S&P 500 gained 3.54%.
FedEx will be looking to display strength as it nears 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 recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 currently a Zacks Rank #3 (Hold).
Digging into valuation, FedEx currently has a Forward P/E ratio of 15.64. For comparison, its industry has an average Forward P/E of 15.64, which means FedEx is trading at a no noticeable deviation to the group.
Investors should also note that FDX has a PEG ratio of 1.3 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Air Freight and Cargo industry currently had an average PEG ratio of 1.83 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 236, which puts it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FDX in the coming trading sessions, be sure to utilize Zacks.com.
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FedEx (FDX) Gains But Lags Market: What You Should Know
FedEx (FDX - Free Report) closed the most recent trading day at $213.04, moving +0.17% from the previous trading session. This change lagged the S&P 500's 0.28% gain on the day. Meanwhile, the Dow gained 0.11%, and the Nasdaq, a tech-heavy index, added 3.77%.
Coming into today, shares of the package delivery company had gained 13.04% in the past month. In that same time, the Transportation sector gained 3.41%, while the S&P 500 gained 3.54%.
FedEx will be looking to display strength as it nears 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 recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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 currently a Zacks Rank #3 (Hold).
Digging into valuation, FedEx currently has a Forward P/E ratio of 15.64. For comparison, its industry has an average Forward P/E of 15.64, which means FedEx is trading at a no noticeable deviation to the group.
Investors should also note that FDX has a PEG ratio of 1.3 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Air Freight and Cargo industry currently had an average PEG ratio of 1.83 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 236, which puts it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow FDX in the coming trading sessions, be sure to utilize Zacks.com.