FedEx (NYSE:FDX) Updates FY 2027 Earnings Guidance

Key Points

• FedEx updated its FY 2027 guidance, projecting EPS of 16.90 to 18.10 versus Wall Street’s 19.92 estimate. The company also guided revenue to $97.6 billion, above the consensus estimate of $91.0 billion.
• FDX shares fell sharply after the update, trading down $9.72 to $319.06 in midday trading. Volume was above average, suggesting a strong market reaction to the guidance.
• Analysts remain generally constructive on the stock despite some recent mixed calls, with 18 Buy ratings, nine Holds, and two Sells. MarketBeat reports an average target price of $358.14 and a “Moderate Buy” rating.

FedEx (NYSE:FDX - Get Free Report) updated its FY 2027 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of 16.900-18.100 for the period, compared to the consensus earnings per share estimate of 19.920. The company issued revenue guidance of $97.6 billion-$97.6 billion, compared to the consensus revenue estimate of $91.0 billion.

FedEx Stock Performance

FDX stock traded down $9.72 during mid-day trading on Tuesday, hitting $319.06. 3,146,314 shares of the company were exchanged, compared to its average volume of 2,258,613. FedEx has a 1-year low of $172.88 and a 1-year high of $345.36. The stock has a market capitalization of $76.13 billion, a PE ratio of 16.98, a price-to-earnings-growth ratio of 1.48 and a beta of 1.28. The business has a 50 day simple moving average of $367.67 and a 200-day simple moving average of $345.54. The company has a current ratio of 1.47, a quick ratio of 1.44 and a debt-to-equity ratio of 0.77.

FedEx Cuts Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, July 7th. Investors of record on Monday, June 22nd will be given a dividend of $1.22 per share. This represents a $4.88 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend is Monday, June 22nd. FedEx's dividend payout ratio (DPR) is currently 30.87%.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the company. Zacks Research cut FedEx from a "strong-buy" rating to a "hold" rating in a research note on Wednesday, March 18th. Barclays lowered their price objective on FedEx from $450.00 to $425.00 and set an "overweight" rating on the stock in a research note on Wednesday, June 17th. TD Cowen upped their price objective on shares of FedEx from $383.00 to $426.00 and gave the stock a "buy" rating in a research report on Friday, March 20th. Sanford C. Bernstein reiterated a "buy" rating on shares of FedEx in a research note on Monday. Finally, UBS Group began coverage on shares of FedEx in a report on Wednesday, May 27th. They issued a "buy" rating and a $445.00 target price on the stock. Eighteen research analysts have rated the stock with a Buy rating, nine have assigned a Hold rating and two have given a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average target price of $358.14.

Insider Activity at FedEx

In other news, EVP Kawal Preet sold 4,900 shares of the firm's stock in a transaction that occurred on Tuesday, April 14th. The shares were sold at an average price of $367.89, for a total value of $1,802,661.00. Following the sale, the executive vice president directly owned 10,953 shares in the company, valued at approximately $4,029,499.17. This trade represents a 30.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, EVP Tracy B. Brightman sold 16,959 shares of FedEx stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $363.47, for a total transaction of $6,164,087.73. Following the sale, the executive vice president directly owned 11,052 shares in the company, valued at $4,017,070.44. This trade represents a 60.54% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 48,104 shares of company stock worth $17,599,006 over the last three months. 0.53% of the stock is owned by insiders.

FedEx News Roundup

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx is heading into earnings with analysts expecting solid profit and revenue growth, and some market watchers see the stock as a turnaround story with further upside potential. FedEx (FDX) Earnings Preview: First Report as Standalone Parcel Company
• Positive Sentiment: Investor interest remains high ahead of the report, with commentary suggesting FedEx could be in position for a fresh high if results and guidance impress. Here's How Much FedEx Stock Is Expected to Move After Earnings
• Neutral Sentiment: FedEx is one of several major companies on the earnings calendar this week, so the stock may be trading on anticipation rather than company-specific news alone. Cerebras, FedEx, Carnival: Earnings to watch on Tuesday
• Negative Sentiment: Broader market weakness, especially the tech-led sell-off and softer futures, is creating a cautious tone that can spill over into FedEx shares. AI Selling Overseas Reaches Pre-Market Futures

Institutional Trading of FedEx

A number of hedge funds have recently made changes to their positions in FDX. EFG International AG acquired a new position in shares of FedEx in the fourth quarter valued at approximately $27,000. Wealth Watch Advisors INC bought a new stake in FedEx during the 3rd quarter worth approximately $28,000. Wilkerson Advisory Group LLC acquired a new position in FedEx in the 4th quarter valued at approximately $29,000. Intesa Sanpaolo Wealth Management bought a new position in shares of FedEx during the fourth quarter valued at $33,000. Finally, Uniplan Investment Counsel Inc. bought a new position in FedEx during the 4th quarter worth $36,000. 84.47% of the stock is owned by institutional investors and hedge funds.

About FedEx

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.

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