Alberta Investment Management Corp Has $10.39 Million Holdings in FedEx Corporation (NYSE:FDX)

Key Points

• Alberta Investment Management Corp increased its stake in FedEx by 18.0%, now holding 42,600 shares worth approximately $10.4 million after purchasing an additional 6,500 shares in Q1.
• FedEx announced a quarterly dividend increase from $1.38 to $1.45 per share, resulting in an annualized dividend of $5.80 and a yield of 2.7%.
• Wall Street analysts have mixed sentiments on FedEx, with ratings ranging from two sell ratings to one strong buy, and a current average target price of $283.25.

Alberta Investment Management Corp raised its stake in FedEx Corporation (NYSE:FDX - Free Report) by 18.0% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 42,600 shares of the shipping service provider's stock after buying an additional 6,500 shares during the period. Alberta Investment Management Corp's holdings in FedEx were worth $10,385,000 at the end of the most recent reporting period.

A number of other hedge funds also recently added to or reduced their stakes in the stock. Transce3nd LLC purchased a new position in shares of FedEx during the 4th quarter worth approximately $26,000. Pilgrim Partners Asia Pte Ltd purchased a new stake in FedEx in the 4th quarter worth approximately $28,000. Accredited Wealth Management LLC purchased a new stake in FedEx in the 4th quarter worth approximately $35,000. Abound Financial LLC purchased a new stake in FedEx in the 1st quarter worth approximately $38,000. Finally, Optiver Holding B.V. purchased a new stake in FedEx in the 4th quarter worth approximately $39,000. 84.47% of the stock is owned by hedge funds and other institutional investors.

FedEx Stock Performance

FedEx stock traded up $0.40 during midday trading on Monday, reaching $217.50. 1,819,189 shares of the stock traded hands, compared to its average volume of 1,961,724. FedEx Corporation has a fifty-two week low of $194.29 and a fifty-two week high of $308.53. The firm has a market cap of $51.31 billion, a price-to-earnings ratio of 12.89, a PEG ratio of 1.13 and a beta of 1.30. The firm has a fifty day moving average price of $227.85 and a two-hundred day moving average price of $234.90. The company has a current ratio of 1.19, a quick ratio of 1.15 and a debt-to-equity ratio of 0.68.

FedEx (NYSE:FDX - Get Free Report) last released its quarterly earnings results on Tuesday, June 24th. The shipping service provider reported $6.07 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $5.98 by $0.09. The business had revenue of $22.20 billion for the quarter, compared to analyst estimates of $21.86 billion. FedEx had a net margin of 4.65% and a return on equity of 16.34%. During the same quarter in the previous year, the business earned $5.41 earnings per share. On average, equities research analysts forecast that FedEx Corporation will post 19.14 earnings per share for the current year.

FedEx Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, July 8th. Investors of record on Monday, June 23rd were issued a dividend of $1.45 per share. The ex-dividend date of this dividend was Monday, June 23rd. This represents a $5.80 annualized dividend and a dividend yield of 2.7%. This is an increase from FedEx's previous quarterly dividend of $1.38. FedEx's payout ratio is currently 34.36%.

Wall Street Analyst Weigh In

A number of equities analysts have weighed in on the stock. Raymond James Financial reiterated an "outperform" rating and issued a $260.00 price target (down previously from $275.00) on shares of FedEx in a report on Wednesday, June 25th. TD Cowen reduced their target price on shares of FedEx from $310.00 to $269.00 and set a "buy" rating on the stock in a report on Wednesday, June 25th. Susquehanna lifted their target price on shares of FedEx from $290.00 to $295.00 and gave the company a "positive" rating in a report on Wednesday, June 25th. BMO Capital Markets reduced their target price on shares of FedEx from $275.00 to $260.00 and set a "market perform" rating on the stock in a report on Monday, May 19th. Finally, Barclays restated an "overweight" rating and set a $320.00 target price (down previously from $330.00) on shares of FedEx in a report on Wednesday, June 25th. Two research analysts have rated the stock with a sell rating, nine have assigned a hold rating, nineteen have assigned a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $283.25.

Insider Buying and Selling

In other FedEx news, Director Paul S. Walsh sold 3,610 shares of the stock in a transaction on Tuesday, July 8th. The shares were sold at an average price of $238.29, for a total value of $860,226.90. Following the completion of the sale, the director directly owned 15,513 shares of the company's stock, valued at $3,696,592.77. This represents a 18.88% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, Director R Brad Martin sold 2,123 shares of the stock in a transaction on Monday, July 7th. The shares were sold at an average price of $241.75, for a total transaction of $513,235.25. Following the completion of the sale, the director directly owned 8,935 shares of the company's stock, valued at approximately $2,160,036.25. This trade represents a 19.20% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 9,343 shares of company stock valued at $2,228,816. Company insiders own 8.87% of the company's stock.

About FedEx

FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. It operates through FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services segments. The FedEx Express segment offers express transportation, small-package ground delivery, and freight transportation services; and time-critical transportation services.