FedEx (FDX - Free Report) closed the most recent trading day at $179.51, moving +1.32% from the previous trading session. This change outpaced the S&P 500's 0.7% gain on the day. At the same time, the Dow added 0.58%, and the tech-heavy Nasdaq gained 0.69%.
Prior to today's trading, shares of the package delivery company had lost 4.46% over the past month. This has lagged the Transportation sector's loss of 0.9% and the S&P 500's gain of 1.95% in that time.
Investors will be hoping for strength from FDX as it approaches its next earnings release, which is expected to be March 19, 2019. The company is expected to report EPS of $3.10, down 16.67% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $17.68 billion, up 7.01% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $15.91 per share and revenue of $70.92 billion. These totals would mark changes of +3.92% and +8.35%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for FDX. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about 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 has moved 0.09% lower. FDX is currently sporting a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that FDX has a Forward P/E ratio of 11.14 right now. For comparison, its industry has an average Forward P/E of 12.34, which means FDX is trading at a discount to the group.
Also, we should mention that FDX has a PEG ratio of 0.87. 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 1.25 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 12, which puts it in the top 5% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.