Bank of America Corp DE Invests $579.17 Million in FedEx Corporation $FDX

Key Points

• Bank of America acquired 1.85 million FedEx shares worth approximately $579.2 million, giving it a 0.78% stake. Institutional investors collectively own 84.47% of FedEx.
• Analysts maintain a generally positive outlook, with FedEx carrying a consensus “Moderate Buy” rating and an average price target of $355.17, despite several recent target reductions.
• FedEx reported quarterly earnings of $5.88 per share on $23.26 billion in revenue and declared a quarterly dividend of $1.22 per share, equivalent to a 1.6% annualized yield.

Bank of America Corp DE bought a new stake in FedEx Corporation (NYSE:FDX - Free Report) during the second quarter, according to its most recent disclosure with the SEC. The firm bought 1,849,618 shares of the shipping service provider's stock, valued at approximately $579,171,000. Bank of America Corp DE owned about 0.78% of FedEx at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also recently bought and sold shares of FDX. BlackRock Inc. acquired a new position in FedEx in the 2nd quarter valued at about $6,508,103,000. Primecap Management Co. CA acquired a new position in shares of FedEx in the second quarter valued at approximately $2,554,138,000. Franklin Resources Inc. raised its stake in shares of FedEx by 6.6% during the fourth quarter. Franklin Resources Inc. now owns 5,133,231 shares of the shipping service provider's stock worth $1,482,785,000 after purchasing an additional 318,293 shares during the last quarter. Geode Capital Management LLC lifted its holdings in shares of FedEx by 0.9% during the fourth quarter. Geode Capital Management LLC now owns 4,985,778 shares of the shipping service provider's stock worth $1,443,666,000 after purchasing an additional 45,818 shares during the period. Finally, Norges Bank acquired a new stake in shares of FedEx during the fourth quarter worth $859,085,000. 84.47% of the stock is currently owned by institutional investors and hedge funds.

Insiders Place Their Bets

In other FedEx news, Director Paul Walsh sold 5,042 shares of the business's stock in a transaction dated Tuesday, June 30th. The stock was sold at an average price of $324.56, for a total transaction of $1,636,431.52. Following the transaction, the director owned 16,359 shares in the company, valued at $5,309,477.04. The trade was a 23.56% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Company insiders own 0.65% of the company's stock.

Analyst Upgrades and Downgrades

FDX has been the subject of several analyst reports. BNP Paribas Exane cut their price target on shares of FedEx from $335.00 to $269.76 and set a "neutral" rating for the company in a report on Tuesday, June 2nd. UBS Group lowered their price objective on FedEx from $445.00 to $350.00 and set a "buy" rating on the stock in a report on Wednesday, June 24th. The Goldman Sachs Group dropped their price objective on FedEx from $405.00 to $375.00 and set a "buy" rating on the stock in a report on Monday, June 1st. Raymond James Financial set a $330.00 price objective on FedEx in a research report on Friday, August 28th. Finally, Weiss Ratings lowered shares of FedEx from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Wednesday, September 2nd. One research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating, ten have given a Hold rating and two have issued a Sell rating to the company's stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $355.17.

FedEx Price Performance

NYSE:FDX opened at $308.31 on Wednesday. The firm has a market cap of $72.97 billion, a price-to-earnings ratio of 16.66, a price-to-earnings-growth ratio of 1.67 and a beta of 1.32. The company has a current ratio of 1.48, a quick ratio of 1.44 and a debt-to-equity ratio of 0.74. The company's 50-day moving average is $319.13 and its two-hundred day moving average is $345.46. FedEx Corporation has a 12-month low of $179.50 and a 12-month high of $345.36.

FedEx (NYSE:FDX - Get Free Report) last issued its quarterly earnings results on Tuesday, July 21st. The shipping service provider reported $5.88 earnings per share for the quarter. The company had revenue of $23.26 billion during the quarter. FedEx had a return on equity of 16.49% and a net margin of 4.68%. Research analysts expect that FedEx Corporation will post 17.55 EPS for the current year.

FedEx Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, October 1st. Investors of record on Monday, September 14th will be given a dividend of $1.22 per share. This represents a $4.88 dividend on an annualized basis and a yield of 1.6%. The ex-dividend date of this dividend is Monday, September 14th. FedEx's dividend payout ratio is 26.36%.

About FedEx

FedEx Corporation NYSE: FDX is a global transportation, e-commerce and business services company. Through its operating companies, FedEx provides package delivery, freight transportation, logistics, supply chain management and related services for businesses, governments and consumers.

The company's offerings include time-definite express shipping, ground delivery, less-than-truckload freight transportation, customs and international trade support, warehousing, fulfillment and other logistics solutions.

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