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FedEx Shares Slip After Fiscal Q4 Earnings: ETFs in Focus

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After the closing bell on June 24, transport bellwether FedEx (FDX - Free Report) reported strong fourth-quarter fiscal 2025 results, wherein it beat both earnings and revenue estimates. However, the courier company provided a dismal outlook and cautious commentary, sending its shares down more than 5% in after-market close. 

The sluggish trading is likely to be felt in the ETF world, especially for those with the highest allocation to FedEx. These include ProShares Supply Chain Logistics ETF (SUPL - Free Report) , iShares U.S. Transportation ETF (IYT - Free Report) , First Trust Nasdaq Transportation ETF (FTXR - Free Report) and Pacer Industrials and Logistics ETF (SHPP - Free Report) .

FedEx earnings per share came in at $6.07, surpassing the Zacks Consensus Estimate of $5.93 and improving from the year-ago earnings of $5.41. Revenues inched up 0.5% year over year to $22.2 billion and edged past the consensus estimate of $21.7 billion (see: all the Industrials ETFs here).

For the current fiscal first-quarter 2026, the  parcel company expects revenues to be flat or increase up to 2% and adjusted earnings per share to be in the range of $3.40-$4.00. The Zacks Consensus Estimate for revenues indicates growth of 0.21%, while the same for earnings per share is pegged at $4.05.

FedEx did not provide earnings and revenue forecasts for fiscal 2026, citing uncertainty surrounding U.S. trade policies, particularly those involving China, the world’s largest exporter. The company remains significantly more exposed to trade with China than its chief rival, United Parcel Services (UPS - Free Report) . However, the company announced it had achieved its $4 billion cost-cutting goal and will aim to trim another $1 billion in its upcoming fiscal year.

ETFs in Focus

Let’s delve into each ETF below:

ProShares Supply Chain Logistics ETF (SUPL - Free Report)

ProShares Supply Chain Logistics ETF is the first ETF focused exclusively on companies that deal with raw materials and merchandise shipping and delivery. It follows the FactSet Supply Chain Logistics Index, charging investors 58 bps in annual fees. 

ProShares Supply Chain Logistics ETF holds 40 stocks in its basket, with FedEx taking the top spot with 4.6% of the assets. It has amassed $0.9 million in its asset base and trades in a volume of 100 shares per day. It charges 58 bps in fees per year from investors.

iShares U.S. Transportation ETF (IYT - Free Report)

iShares U.S. Transportation ETF tracks the S&P Transportation Select Industry FMC Capped Index, giving investors exposure to a small basket of 44 securities. Of these, FedEx takes the fifth spot and makes up 4.5% of the assets. Within the transportation sector, rail transportation takes the top spot with a 26.1% share, while passenger ground transportation (23.8%), air freight and logistics (16.5%), and passenger airlines (16.3%) round off the next three.

iShares U.S. Transportation ETF has $657.1 million in AUM while seeing a good trading volume of around 386,000 shares a day. The fund charges 39 bps in fees per year and has a Zacks ETF Rank #3 (Hold) with a High risk outlook (read: Uber VS. Lyft Earnings: ETFs in Focus). 

First Trust Nasdaq Transportation ETF (FTXR - Free Report)

First Trust Nasdaq Transportation ETF offers exposure to the 38 most-liquid U.S. transportation securities based on volatility, value and growth by tracking the Nasdaq US Smart Transportation Index. FedEx accounts for a 3.6% share in the basket. Automobiles, airlines and railroads are the top three industries in the ETF and make up for double-digit allocations each. 

First Trust Nasdaq Transportation ETF has amassed $28.4 million in its asset base and charges 60 bps in annual fees. The average trading volume is light at 1,000 shares. FTXR has a Zacks ETF Rank #3.

Pacer Industrials and Logistics ETF (SHPP - Free Report)

Pacer Industrials and Logistics ETF tracks the Pacer Global Supply Chain Infrastructure Index, which aims to offer investors exposure to globally listed stocks and depositary receipts involved in the support and functioning of global distribution supply chains. It holds 109 stocks in its basket, with FedEx accounting for a 3.1% share.

Pacer Industrials and Logistics ETF has accumulated $1.6 million in its asset base. It trades in a meager volume of 2,500 shares and charges 61 bps in annual fees.
 

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