We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
FedEx (FDX) Gains But Lags Market: What You Should Know
Read MoreHide Full Article
FedEx (FDX - Free Report) closed at $232.78 in the latest trading session, marking a +1.23% move from the prior day. This move lagged the S&P 500's daily gain of 1.46%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, lost 0.17%.
Coming into today, shares of the package delivery company had gained 3.81% in the past month. In that same time, the Transportation sector lost 6.24%, while the S&P 500 lost 6.94%.
FedEx will be looking to display strength as it nears its next earnings release, which is expected to be June 23, 2022. The company is expected to report EPS of $6.86, up 36.93% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $24.4 billion, up 8.15% from the prior-year quarter.
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. 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.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. FedEx is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, FedEx is holding a Forward P/E ratio of 10.18. This valuation marks a discount compared to its industry's average Forward P/E of 13.58.
It is also worth noting that FDX currently has a PEG ratio of 0.85. 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 was holding an average PEG ratio of 1.4 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 104, putting it in the top 42% 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:
Image: Bigstock
FedEx (FDX) Gains But Lags Market: What You Should Know
FedEx (FDX - Free Report) closed at $232.78 in the latest trading session, marking a +1.23% move from the prior day. This move lagged the S&P 500's daily gain of 1.46%. Meanwhile, the Dow gained 1%, and the Nasdaq, a tech-heavy index, lost 0.17%.
Coming into today, shares of the package delivery company had gained 3.81% in the past month. In that same time, the Transportation sector lost 6.24%, while the S&P 500 lost 6.94%.
FedEx will be looking to display strength as it nears its next earnings release, which is expected to be June 23, 2022. The company is expected to report EPS of $6.86, up 36.93% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $24.4 billion, up 8.15% from the prior-year quarter.
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. 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.
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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. FedEx is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, FedEx is holding a Forward P/E ratio of 10.18. This valuation marks a discount compared to its industry's average Forward P/E of 13.58.
It is also worth noting that FDX currently has a PEG ratio of 0.85. 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 was holding an average PEG ratio of 1.4 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 104, putting it in the top 42% 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.