Summit Asset Management LLC Acquires New Holdings in FedEx Corporation $FDX

Key Points

• Summit Asset Management acquired 7,915 FedEx shares in the second quarter, valued at approximately $2.48 million. Institutional investors collectively own 84.47% of FedEx.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $350.54, despite mixed updates including reduced targets from Wells Fargo and UBS.
• FedEx shares opened at $334.56, while the company reported $5.88 in quarterly EPS on $23.26 billion in revenue and paid a quarterly dividend of $1.22 per share.

Summit Asset Management LLC bought a new stake in shares of FedEx Corporation (NYSE:FDX - Free Report) in the second quarter, according to its most recent Form 13F filing with the SEC. The fund bought 7,915 shares of the shipping service provider's stock, valued at approximately $2,478,000.

Several other institutional investors and hedge funds have also recently bought and sold shares of the company. Hollencrest Capital Management bought a new stake in shares of FedEx during the first quarter valued at approximately $25,000. Bayban acquired a new position in shares of FedEx during the first quarter worth approximately $26,000. Cedar Mountain Advisors LLC grew its holdings in FedEx by 77.4% in the 1st quarter. Cedar Mountain Advisors LLC now owns 94 shares of the shipping service provider's stock worth $33,000 after buying an additional 41 shares in the last quarter. EFG International AG bought a new position in FedEx in the 4th quarter worth approximately $27,000. Finally, Tucker Asset Management LLC acquired a new stake in FedEx in the 4th quarter valued at approximately $29,000. Institutional investors own 84.47% of the company's stock.

Insiders Place Their Bets

In other news, Director Paul S. Walsh sold 5,042 shares of the firm's stock in a transaction dated Tuesday, June 30th. The shares were sold at an average price of $324.56, for a total transaction of $1,636,431.52. Following the completion of the transaction, the director owned 16,359 shares in the company, valued at approximately $5,309,477.04. This trade represents a 23.56% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this link. Insiders own 0.53% of the company's stock.

Analyst Ratings Changes

Several analysts have weighed in on FDX shares. Citigroup initiated coverage on FedEx in a research note on Wednesday, July 15th. They set an "outperform" rating on the stock. BMO Capital Markets reissued a "market perform" rating on shares of FedEx in a research note on Wednesday, June 24th. Wells Fargo & Company lowered their price target on FedEx from $450.00 to $425.00 and set an "overweight" rating on the stock in a report on Wednesday, June 17th. UBS Group cut their price objective on shares of FedEx from $445.00 to $350.00 and set a "buy" rating on the stock in a research note on Wednesday, June 24th. Finally, Jefferies Financial Group initiated coverage on shares of FedEx in a report on Tuesday, June 23rd. They issued a "buy" rating and a $200.00 price objective for the company. One analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating, ten have assigned a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and a consensus target price of $350.54.

Key FedEx News

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: Automation strategy supports efficiency: FedEx is sharpening its focus on automation to improve productivity and reduce costs, which could support margins over time. FedEx Automation Strategy Sharpens Focus on Efficiency
• Positive Sentiment: Industry shipping constraints may improve pricing: Capacity limitations, delays and higher prices reported by major ocean carriers could benefit parcel and freight operators such as FedEx if customers shift transportation modes or accept higher shipping rates. Walmart, Tesla, FedEx, and More Winners and Losers From Shipping's Rough Seas
• Neutral Sentiment: Call-option activity signals bullish speculation: Investors purchased a high volume of FedEx call options, indicating increased expectations for a rebound, although options activity does not guarantee fundamental improvement. Investors Purchase High Volume of Call Options on FedEx
• Neutral Sentiment: FedEx Freight’s upbeat debut is separate from FDX: Newly independent FedEx Freight Holding Company NASDAQ: FDXF attracted favorable analyst coverage, with reported targets above its trading level and fiscal fourth-quarter revenue of $2.4 billion. The development may highlight value unlocked by FedEx’s freight separation, but FDXF now trades as a separate company.
• Negative Sentiment: Tariff refunds will not provide a lasting earnings boost: FedEx reportedly plans to return approximately $800 million in tariff refunds to customers after courts invalidated the tariffs. Passing the funds through limits the benefit to FedEx’s profits and could create administrative costs or temporary cash-flow pressure. Nike, FedEx Reap Billions From Tariff Refunds
• Negative Sentiment: Southern California closures and layoffs underscore cost pressure: FedEx is among employers announcing more than 500 job cuts in the region, including facility closures in Palm Springs and Victorville. While potentially supportive of restructuring savings, the actions point to softer demand and ongoing network rationalization. FedEx and Others Announce Layoffs in Southern California

FedEx Stock Down 1.4%

FDX opened at $334.56 on Friday. FedEx Corporation has a one year low of $177.05 and a one year high of $345.36. The company has a debt-to-equity ratio of 0.74, a quick ratio of 1.44 and a current ratio of 1.48. The stock's fifty day moving average is $319.39 and its 200-day moving average is $351.07. The company has a market capitalization of $79.15 billion, a PE ratio of 18.07, a P/E/G ratio of 1.72 and a beta of 1.30.

FedEx (NYSE:FDX - Get Free Report) last announced its quarterly earnings data on Tuesday, July 21st. The shipping service provider reported $5.88 earnings per share for the quarter. FedEx had a return on equity of 16.49% and a net margin of 4.68%.The business had revenue of $23.26 billion during the quarter. On average, equities analysts predict that FedEx Corporation will post 17.6 EPS for the current fiscal year.

FedEx Cuts Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, July 7th. Shareholders of record on Monday, June 22nd were issued a $1.22 dividend. This represents a $4.88 dividend on an annualized basis and a yield of 1.5%. The ex-dividend date of this dividend was Monday, June 22nd. FedEx's dividend payout ratio is presently 26.36%.

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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