FedEx (NYSE:FDX) Trading 2.3% Higher – Here’s Why

FedEx Co. (NYSE:FDX)’s share price shot up 2.3% during trading on Wednesday . The company traded as high as $272.90 and last traded at $271.98. 396,567 shares were traded during trading, a decline of 79% from the average session volume of 1,847,788 shares. The stock had previously closed at $265.92.

Wall Street Analyst Weigh In

A number of research firms have recently commented on FDX. Daiwa America downgraded shares of FedEx from a “moderate buy” rating to a “hold” rating in a research note on Wednesday, September 11th. Morgan Stanley downgraded shares of FedEx from an “equal weight” rating to an “underweight” rating and reduced their price objective for the stock from $215.00 to $200.00 in a research note on Friday, September 20th. Bernstein Bank increased their price objective on shares of FedEx from $305.00 to $337.00 and gave the stock an “overweight” rating in a research note on Friday, September 20th. Argus increased their price objective on shares of FedEx from $325.00 to $335.00 and gave the stock a “buy” rating in a research note on Thursday, June 27th. Finally, Raymond James reduced their price objective on shares of FedEx from $335.00 to $330.00 and set a “buy” rating for the company in a research note on Friday, September 20th. Two investment analysts have rated the stock with a sell rating, nine have given a hold rating and seventeen have assigned a buy rating to the stock. According to MarketBeat, the company has a consensus rating of “Moderate Buy” and an average target price of $314.17.

FedEx Trading Up 2.2 %

The firm has a market capitalization of $66.85 billion, a price-to-earnings ratio of 15.79, a P/E/G ratio of 1.06 and a beta of 1.17. The company has a debt-to-equity ratio of 0.72, a current ratio of 1.28 and a quick ratio of 1.24. The firm’s 50-day simple moving average is $280.37 and its 200 day simple moving average is $275.07.

FedEx (NYSE:FDX) last posted its earnings results on Thursday, September 19th. The shipping service provider reported $3.60 earnings per share for the quarter, missing analysts’ consensus estimates of $4.82 by ($1.22). The company had revenue of $21.58 billion for the quarter, compared to the consensus estimate of $21.87 billion. FedEx had a return on equity of 15.61% and a net margin of 4.62%. The business’s quarterly revenue was down .5% compared to the same quarter last year. During the same period in the previous year, the firm posted $4.55 EPS. Equities analysts expect that FedEx Co. will post 19.6 earnings per share for the current year.

FedEx Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, October 1st. Shareholders of record on Monday, September 9th were paid a dividend of $1.38 per share. The ex-dividend date of this dividend was Monday, September 9th. This represents a $5.52 dividend on an annualized basis and a dividend yield of 2.03%. FedEx’s payout ratio is presently 32.04%.

Insider Buying and Selling

In related news, EVP Brie Carere sold 1,958 shares of the business’s stock in a transaction on Thursday, July 18th. The shares were sold at an average price of $310.43, for a total value of $607,821.94. Following the sale, the executive vice president now owns 19,937 shares of the company’s stock, valued at $6,189,042.91. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. 8.73% of the stock is currently owned by insiders.

Institutional Trading of FedEx

Institutional investors have recently modified their holdings of the business. Capital International Investors lifted its holdings in FedEx by 32.5% in the first quarter. Capital International Investors now owns 8,831,084 shares of the shipping service provider’s stock valued at $2,558,718,000 after buying an additional 2,163,622 shares during the period. Vanguard Group Inc. lifted its holdings in FedEx by 5.6% in the first quarter. Vanguard Group Inc. now owns 19,868,165 shares of the shipping service provider’s stock valued at $5,756,602,000 after buying an additional 1,056,061 shares during the period. Mawer Investment Management Ltd. lifted its holdings in FedEx by 43.5% in the first quarter. Mawer Investment Management Ltd. now owns 2,258,579 shares of the shipping service provider’s stock valued at $654,401,000 after buying an additional 684,679 shares during the period. Ameriprise Financial Inc. lifted its holdings in FedEx by 34.6% in the second quarter. Ameriprise Financial Inc. now owns 2,248,137 shares of the shipping service provider’s stock valued at $674,336,000 after buying an additional 578,350 shares during the period. Finally, Empyrean Capital Partners LP acquired a new position in FedEx in the second quarter valued at $46,475,000. Institutional investors own 84.47% of the company’s stock.

FedEx Company Profile

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.