Rakuten Investment Management Inc. Acquires 22,077 Shares of FedEx Corporation $FDX

Key Points

• Rakuten Investment Management boosted its FedEx stake by 325.6% in the fourth quarter, buying 22,077 additional shares and bringing its total holding to 28,857 shares worth about $8.45 million.
• Institutional interest in FedEx remains heavy, with investors such as Vanguard, Norges Bank, and Dodge & Cox also holding large positions; overall, institutions own 84.47% of the company.
• Wall Street sentiment is still constructive, with FedEx carrying a Moderate Buy consensus and an average price target of $371.45, even as insiders have sold shares and analysts weigh margin improvements against tariff and freight-business concerns.

Rakuten Investment Management Inc. raised its holdings in shares of FedEx Corporation (NYSE:FDX - Free Report) by 325.6% in the fourth quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 28,857 shares of the shipping service provider's stock after purchasing an additional 22,077 shares during the quarter. Rakuten Investment Management Inc.'s holdings in FedEx were worth $8,452,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also bought and sold shares of FDX. Norges Bank bought a new stake in FedEx during the 4th quarter valued at $859,085,000. Vanguard Group Inc. increased its stake in FedEx by 13.2% during the 3rd quarter. Vanguard Group Inc. now owns 23,442,049 shares of the shipping service provider's stock valued at $5,527,870,000 after purchasing an additional 2,741,723 shares in the last quarter. Boston Partners bought a new stake in FedEx during the 3rd quarter valued at $468,195,000. Dodge & Cox increased its stake in FedEx by 12.0% during the 3rd quarter. Dodge & Cox now owns 16,225,160 shares of the shipping service provider's stock valued at $3,826,055,000 after purchasing an additional 1,742,666 shares in the last quarter. Finally, AQR Capital Management LLC increased its stake in FedEx by 169.2% during the 3rd quarter. AQR Capital Management LLC now owns 2,733,905 shares of the shipping service provider's stock valued at $638,203,000 after purchasing an additional 1,718,278 shares in the last quarter. Institutional investors own 84.47% of the company's stock.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on FDX. Truist Financial set a $155.00 target price on shares of FedEx in a research note on Tuesday, June 2nd. Jefferies Financial Group upped their target price on shares of FedEx from $425.00 to $450.00 and gave the stock a "buy" rating in a research note on Tuesday, March 3rd. Argus upped their target price on shares of FedEx from $350.00 to $400.00 and gave the stock a "buy" rating in a research note on Monday, April 6th. Morgan Stanley upped their target price on shares of FedEx from $220.00 to $230.00 and gave the stock an "underweight" rating in a research note on Friday, March 20th. Finally, Bank of America reduced their target price on shares of FedEx from $440.00 to $376.00 and set a "buy" rating for the company in a research note on Tuesday, June 2nd. Eighteen research analysts have rated the stock with a Buy rating, nine have given a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat, FedEx has an average rating of "Moderate Buy" and a consensus price target of $371.45.

Insider Activity at FedEx

In related news, Director Susan C. Schwab sold 5,795 shares of the business's stock in a transaction dated Wednesday, April 15th. The shares were sold at an average price of $369.00, for a total value of $2,138,355.00. Following the transaction, the director directly owned 10,038 shares of the company's stock, valued at approximately $3,704,022. The trade was a 36.60% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Kawal Preet sold 4,900 shares of the business's stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $367.89, for a total transaction of $1,802,661.00. Following the completion of the transaction, the executive vice president directly owned 10,953 shares in the company, valued at $4,029,499.17. This trade represents a 30.91% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 48,104 shares of company stock valued at $17,599,006 over the last quarter. Corporate insiders own 0.53% of the company's stock.

FedEx Price Performance

Shares of NYSE:FDX opened at $335.42 on Wednesday. The company's 50-day moving average is $370.85 and its 200 day moving average is $344.04. The company has a debt-to-equity ratio of 0.77, a quick ratio of 1.44 and a current ratio of 1.47. The company has a market capitalization of $80.03 billion, a P/E ratio of 17.85, a price-to-earnings-growth ratio of 1.54 and a beta of 1.28. FedEx Corporation has a fifty-two week low of $172.88 and a fifty-two week high of $345.36.

FedEx (NYSE:FDX - Get Free Report) last issued its quarterly earnings results on Thursday, March 19th. The shipping service provider reported $5.25 earnings per share for the quarter, topping analysts' consensus estimates of $4.12 by $1.13. The company had revenue of $24 billion for the quarter, compared to the consensus estimate of $23.44 billion. FedEx had a net margin of 4.88% and a return on equity of 16.76%. The firm's quarterly revenue was up 8.3% on a year-over-year basis. During the same period in the previous year, the firm earned $4.51 EPS. On average, equities research analysts forecast that FedEx Corporation will post 19.78 earnings per share for the current year.

FedEx Cuts Dividend

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

Key FedEx News

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx shares have climbed to an all-time peak ahead of earnings, reflecting optimism that the company may deliver another strong report. FedEx Stock Hits All-Time Peak Before Earnings
• Positive Sentiment: Analysts expect FedEx to beat Q4 earnings estimates, citing cost cuts and AI-driven efficiency gains that could support margins and profits. FedEx (FDX) Expected to Beat Earnings Estimates: What to Know Ahead of Q4 Release
• Positive Sentiment: Recent commentary says FedEx continues to outperform the broader market, helped by tariff refunds and a view that Amazon’s logistics expansion is not a major threat to the core business. FedEx Corporation: Tariffs, Amazon Changes, And Earnings On The Horizon
• Neutral Sentiment: Market pieces frame the stock as a hold into earnings, with investors balancing efficiency gains against uncertainty from tariffs and broader demand trends. FedEx to Report Q4 Earnings: Should You Buy, Sell or Hold the Stock?
• Neutral Sentiment: FedEx also faces ongoing questions about its freight business after the spin-off, with some analysts still wary of a prolonged freight downturn. FedEx Freight: 37 Times Forward Earnings For A Fourth-Year Freight Recession
• Negative Sentiment: Tariff uncertainty remains a headwind, since any refunds or related benefits may be passed through to customers and do not fully eliminate legal and operational complexity. FedEx Corporation: Tariffs, Amazon Changes, And Earnings On The Horizon

FedEx 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.

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