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FedEx (FDX) Dips More Than Broader Markets: What You Should Know
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FedEx (FDX - Free Report) closed the most recent trading day at $224.97, moving -1.77% from the previous trading session. This change lagged the S&P 500's 0.43% loss on the day. At the same time, the Dow lost 0.18%, and the tech-heavy Nasdaq lost 0.18%.
Prior to today's trading, shares of the package delivery company had gained 2.15% over the past month. This has lagged the Transportation sector's gain of 9.57% and the S&P 500's gain of 6.28% in that time.
Investors will be hoping for strength from FedEx as it approaches its next earnings release, which is expected to be September 22, 2022. In that report, analysts expect FedEx to post earnings of $5.08 per share. This would mark year-over-year growth of 16.25%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.63 billion, up 7.41% from the year-ago period.
FDX's full-year Zacks Consensus Estimates are calling for earnings of $23.16 per share and revenue of $98.91 billion. These results would represent year-over-year changes of +12.37% and +5.77%, respectively.
Investors should also note any recent changes to analyst estimates for FedEx. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating 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).
In terms of valuation, FedEx is currently trading at a Forward P/E ratio of 9.89. Its industry sports an average Forward P/E of 14.87, so we one might conclude that FedEx is trading at a discount comparatively.
Meanwhile, FDX's PEG ratio is currently 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Transportation - Air Freight and Cargo was holding an average PEG ratio of 1.45 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 48, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.
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FedEx (FDX) Dips More Than Broader Markets: What You Should Know
FedEx (FDX - Free Report) closed the most recent trading day at $224.97, moving -1.77% from the previous trading session. This change lagged the S&P 500's 0.43% loss on the day. At the same time, the Dow lost 0.18%, and the tech-heavy Nasdaq lost 0.18%.
Prior to today's trading, shares of the package delivery company had gained 2.15% over the past month. This has lagged the Transportation sector's gain of 9.57% and the S&P 500's gain of 6.28% in that time.
Investors will be hoping for strength from FedEx as it approaches its next earnings release, which is expected to be September 22, 2022. In that report, analysts expect FedEx to post earnings of $5.08 per share. This would mark year-over-year growth of 16.25%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.63 billion, up 7.41% from the year-ago period.
FDX's full-year Zacks Consensus Estimates are calling for earnings of $23.16 per share and revenue of $98.91 billion. These results would represent year-over-year changes of +12.37% and +5.77%, respectively.
Investors should also note any recent changes to analyst estimates for FedEx. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating 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).
In terms of valuation, FedEx is currently trading at a Forward P/E ratio of 9.89. Its industry sports an average Forward P/E of 14.87, so we one might conclude that FedEx is trading at a discount comparatively.
Meanwhile, FDX's PEG ratio is currently 0.82. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Transportation - Air Freight and Cargo was holding an average PEG ratio of 1.45 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 48, which puts it in the top 20% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual 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.
You can find more information on all of these metrics, and much more, on Zacks.com.