FedEx (NYSE:FDX) Releases Quarterly Earnings Results, Beats Expectations By $0.74 EPS

Posted by Samantha Reynolds on Mar 18th, 2023

FedEx (NYSE:FDX – Get Rating) announced its quarterly earnings data on Thursday. The shipping service provider reported $3.41 earnings per share for the quarter, topping the consensus estimate of $2.67 by $0.74, RTT News reports. FedEx had a return on equity of 19.17% and a net margin of 3.54%. The company had revenue of $22.17 billion for the quarter, compared to analyst estimates of $22.74 billion. During the same quarter last year, the firm earned $4.59 EPS. FedEx’s revenue for the quarter was down 6.2% compared to the same quarter last year. FedEx updated its FY23 guidance to $13.80-14.40 EPS and its FY 2023 guidance to $14.60-$15.20 EPS.

FedEx Price Performance

FDX opened at $220.31 on Friday. The company has a fifty day moving average price of $201.14 and a two-hundred day moving average price of $181.63. The company has a debt-to-equity ratio of 0.83, a quick ratio of 1.25 and a current ratio of 1.30. The firm has a market capitalization of $55.61 billion, a PE ratio of 17.31, a P/E/G ratio of 1.22 and a beta of 1.31. FedEx has a 52 week low of $141.92 and a 52 week high of $248.76.

FedEx Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, April 3rd. Investors of record on Monday, March 13th will be issued a $1.15 dividend. The ex-dividend date is Friday, March 10th. This represents a $4.60 annualized dividend and a yield of 2.09%. FedEx’s dividend payout ratio is currently 36.14%.

Insider Activity

In related news, Director Amy B. Lane acquired 280 shares of the company’s stock in a transaction that occurred on Tuesday, January 3rd. The stock was acquired at an average price of $175.83 per share, for a total transaction of $49,232.40. Following the completion of the acquisition, the director now owns 1,529 shares of the company’s stock, valued at approximately $268,844.07. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 8.62% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On FedEx

Several institutional investors and hedge funds have recently made changes to their positions in FDX. Global Wealth Management Investment Advisory Inc. bought a new position in FedEx during the first quarter worth about $35,000. Resurgent Financial Advisors LLC bought a new position in shares of FedEx during the 4th quarter valued at about $41,000. Worth Asset Management LLC acquired a new position in shares of FedEx in the 1st quarter valued at approximately $41,000. Industrial Alliance Investment Management Inc. bought a new stake in FedEx during the 4th quarter worth approximately $52,000. Finally, Loomis Sayles & Co. L P raised its holdings in FedEx by 553.3% during the 1st quarter. Loomis Sayles & Co. L P now owns 392 shares of the shipping service provider’s stock worth $91,000 after buying an additional 332 shares during the period. Institutional investors and hedge funds own 72.02% of the company’s stock.

Analyst Upgrades and Downgrades

Several analysts have recently weighed in on the company. StockNews.com assumed coverage on FedEx in a report on Thursday. They set a “hold” rating on the stock. BMO Capital Markets raised their target price on FedEx from $180.00 to $210.00 and gave the stock a “market perform” rating in a research report on Monday, March 13th. Citigroup raised their target price on FedEx from $250.00 to $275.00 and gave the stock a “buy” rating in a research report on Friday. Stifel Nicolaus raised their target price on FedEx from $222.00 to $242.00 in a research report on Friday. Finally, The Goldman Sachs Group raised their target price on FedEx from $218.00 to $250.00 and gave the stock a “buy” rating in a research report on Friday. Ten analysts have rated the stock with a hold rating and fourteen have assigned a buy rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $230.75.

FedEx Company Profile

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FedEx Corp. provides a broad portfolio of transportation, e-commerce and business services under the FedEx brand. It operates through the following segments: FedEx Express, FedEx Ground, FedEx Freight, FedEx Services, and Corporate, Other & Eliminations. The FedEx Express segment consists of domestic and international shipping services for delivery of packages and freight.