FedEx (FDX) Gains But Lags Market: What You Should Know
FedEx (FDX) closed at $266.90 in the latest trading session, marking a +0.13% move from the prior day.
FedEx (FDX) closed the most recent trading day at $266.90, moving +0.13% from the previous trading session. This move lagged the S&P 500's daily gain of 0.85%.
Coming into today, shares of the package delivery company had lost 10.27% in the past month. In that same time, the Transportation sector lost 0.75%, while the S&P 500 gained 2.85%.
FDX will be looking to display strength as it nears its next earnings release, which is expected to be September 21, 2021. On that day, FDX is projected to report earnings of $5.07 per share, which would represent year-over-year growth of 4.11%. Our most recent consensus estimate is calling for quarterly revenue of $21.56 billion, up 11.61% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $21.28 per share and revenue of $89.39 billion. These totals would mark changes of +17.12% and +6.46%, respectively, from last year.
Investors might also notice recent changes to analyst estimates for FDX. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. FDX currently has a Zacks Rank of #3 (Hold).
Digging into valuation, FDX currently has a Forward P/E ratio of 12.52. This represents a discount compared to its industry's average Forward P/E of 16.9.
We can also see that FDX currently has a PEG ratio of 1.04. 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. The Transportation - Air Freight and Cargo industry currently had an average PEG ratio of 1.49 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 93, which puts it in the top 37% 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.
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