FedEx (NYSE:FDX) Releases Quarterly Earnings Results

FedEx (NYSE:FDX) released its quarterly earnings results on Tuesday. The shipping service provider reported $6.31 earnings per share for the quarter, beating analysts’ consensus estimates of $5.91 by $0.40, Zacks reports. FedEx had a net margin of 4.68% and a return on equity of 16.93%. The business had revenue of $25.01 billion for the quarter, compared to analysts’ expectations of $24.04 billion. During the same period last year, the business earned $6.07 EPS. The company’s revenue was up 12.5% compared to the same quarter last year. FedEx updated its FY 2027 guidance to 16.900-18.100 EPS.

Here are the key takeaways from FedEx’s conference call:

• FedEx reported a strong FY2026, with revenue and adjusted operating income both up 8% for the year and adjusted EPS of $20.24, while Q4 adjusted EPS of $6.31 came in above the high end of guidance.
• The company said its transformation efforts are paying off, noting it exceeded the $1 billion transformation-savings target and remains on track for $2 billion of savings by CY2027.
• Management highlighted continued strength in premium business-to-business and high-value consumer segments, with FEC revenue up 14% in Q4 and gains across healthcare, automotive, aerospace, and data center-related demand.
• FedEx initiated calendar-year 2026 guidance for adjusted EPS of $16.90 to $18.10, implying about 20% growth in the June-to-December transition period, and expects revenue growth of roughly 11%.
• FedEx Freight was spun off on June 1, and the company said it expects to monetize its remaining stake tax-efficiently within 24 months while separately addressing stranded costs and other transition items over time.

FedEx Stock Down 0.1%

Shares of NYSE FDX opened at $316.89 on Thursday. The company’s 50-day simple moving average is $365.49 and its 200-day simple moving average is $346.18. FedEx has a 52-week low of $172.88 and a 52-week high of $345.36. The firm has a market cap of $75.61 billion, a price-to-earnings ratio of 17.12, a price-to-earnings-growth ratio of 1.44 and a beta of 1.28. The company has a quick ratio of 1.44, a current ratio of 1.47 and a debt-to-equity ratio of 0.77.

FedEx Cuts Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, July 7th. Shareholders of record on Monday, June 22nd will be issued a dividend of $1.22 per share. This represents a $4.88 annualized dividend and a yield of 1.5%. The ex-dividend date of this dividend is Monday, June 22nd. FedEx’s dividend payout ratio (DPR) is presently 25.97%.

Analysts Set New Price Targets

A number of equities analysts recently issued reports on the company. Jefferies Financial Group began coverage on FedEx in a research note on Tuesday. They issued a “buy” rating and a $200.00 target price for the company. Wolfe Research dropped their target price on FedEx from $427.00 to $423.00 and set an “outperform” rating on the stock in a research report on Tuesday, April 7th. Raymond James Financial reduced their price target on shares of FedEx from $415.00 to $330.00 and set an “outperform” rating for the company in a research report on Wednesday. Zacks Research cut shares of FedEx from a “strong-buy” rating to a “hold” rating in a report on Wednesday, March 18th. Finally, Wall Street Zen raised FedEx from a “buy” rating to a “strong-buy” rating in a report on Saturday, June 6th. Eighteen equities research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, FedEx presently has a consensus rating of “Moderate Buy” and an average target price of $351.60.

Insider Activity at FedEx

In other news, EVP Gina F. Adams sold 20,450 shares of the firm’s stock in a transaction dated Tuesday, April 14th. The shares were sold at an average price of $366.45, for a total value of $7,493,902.50. Following the transaction, the executive vice president directly owned 19,403 shares of the company’s stock, valued at approximately $7,110,229.35. This trade represents a 51.31% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at this link. Also, EVP Kawal Preet sold 4,900 shares of FedEx stock in a transaction that occurred on Tuesday, April 14th. The stock was sold at an average price of $367.89, for a total value of $1,802,661.00. Following the transaction, the executive vice president owned 10,953 shares in the company, valued at approximately $4,029,499.17. The trade was a 30.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 48,104 shares of company stock worth $17,599,006 in the last quarter. Company insiders own 0.53% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Compound Planning Inc. lifted its holdings in FedEx by 14.1% in the fourth quarter. Compound Planning Inc. now owns 3,824 shares of the shipping service provider’s stock valued at $1,105,000 after acquiring an additional 472 shares during the last quarter. Claris Financial LLC purchased a new stake in FedEx in the 4th quarter valued at about $352,000. Corient Private Wealth LLC lifted its position in FedEx by 228.6% in the fourth quarter. Corient Private Wealth LLC now owns 312,725 shares of the shipping service provider’s stock valued at $90,334,000 after buying an additional 217,565 shares during the last quarter. Mercer Global Advisors Inc. ADV boosted its stake in FedEx by 203.8% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 307,496 shares of the shipping service provider’s stock worth $88,828,000 after buying an additional 206,295 shares during the period. Finally, Summit Global Investments acquired a new stake in shares of FedEx during the fourth quarter valued at about $291,000. Hedge funds and other institutional investors own 84.47% of the company’s stock.

More FedEx News

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx topped Q4 estimates with adjusted EPS of $6.31 and revenue of about $25.0 billion, both above Wall Street forecasts, while revenue rose 12.5% year over year. FedEx Reports Strong Fourth Quarter and Full-Year Results
• Positive Sentiment: Management highlighted strong underlying momentum, including premium parcel growth, cost savings, improved cash flow, and benefits from the freight spin-off, which Bank of America said points to solid operating execution. FedEx strong underlying momentum highlighted by Bank of America, as shares fall on near-term noise
• Neutral Sentiment: FedEx completed the separation of FedEx Freight, and several updates suggest the company is redeploying assets and simplifying its network, which may help long-term efficiency but adds near-term transition noise. More FedEx MD-11 cargo jets return to service, others are retired
• Negative Sentiment: Shares are falling because FY2027 adjusted EPS guidance of $16.90 to $18.10 came in below consensus, and analysts said the calendar-year reporting shift made the outlook harder to interpret. FedEx’s Calendar Shift Sparked Confusion: Analyst
• Negative Sentiment: Multiple reports said investors were disappointed by margin pressure in the core delivery business, with lower operating margin and “near-term noise” outweighing the earnings beat in the stock reaction. FedEx drops on margin hit as investors gauge freight spin-off fortunes

FedEx Company Profile

FedEx Corporation (NYSE: FDX) is a global logistics and courier company headquartered in Memphis, Tennessee. Founded by Frederick W. Smith in 1971 and beginning operations in the early 1970s, the company pioneered overnight express shipping and has since expanded into a diversified portfolio of transportation, e-commerce and supply-chain services. FedEx operates an integrated air-and-ground network that moves parcels, freight and documents for businesses and consumers worldwide.

FedEx’s core operating segments include express parcel delivery via its FedEx Express division, domestic and residential parcel delivery through FedEx Ground, less-than-truckload (LTL) freight services, and logistics and supply-chain management solutions.