Stifel Nicolaus Has Lowered Expectations for FedEx (NYSE:FDX) Stock Price

Key Points

• Stifel Nicolaus cut its price target on FedEx from $442 to $326 while keeping a buy rating, implying only modest upside from the current share price.
• FedEx’s latest quarterly results beat expectations, with EPS of $6.31 and revenue of $25.01 billion, both ahead of analyst estimates and up 12.5% year over year.
• Despite the strong quarter, investors are focused on FedEx’s fiscal 2027 guidance, which came in below expectations and has raised concerns about future earnings growth and margin pressure after the freight spinoff.

FedEx (NYSE:FDX - Get Free Report) had its price objective lowered by investment analysts at Stifel Nicolaus from $442.00 to $326.00 in a research report issued on Wednesday,MarketScreener reports. The brokerage currently has a "buy" rating on the shipping service provider's stock. Stifel Nicolaus' price objective suggests a potential upside of 4.45% from the company's current price.

FDX has been the topic of several other reports. Seaport Research Partners started coverage on shares of FedEx in a research note on Wednesday, May 27th. They set a "buy" rating on the stock. Sanford C. Bernstein reaffirmed a "buy" rating on shares of FedEx in a report on Monday. Susquehanna increased their price target on FedEx from $410.00 to $455.00 and gave the stock a "positive" rating in a research report on Friday, March 20th. Argus raised their price objective on FedEx from $350.00 to $400.00 and gave the company a "buy" rating in a report on Monday, April 6th. Finally, Jefferies Financial Group assumed coverage on FedEx in a research report on Tuesday. They issued a "buy" rating and a $200.00 price objective for the company. Eighteen research analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have assigned a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $355.87.

FedEx Stock Performance

FDX opened at $312.11 on Wednesday. The firm has a fifty day moving average price of $366.57 and a 200 day moving average price of $345.88. FedEx has a 1 year low of $172.88 and a 1 year high of $345.36. The stock has a market cap of $74.47 billion, a P/E ratio of 16.61, a P/E/G ratio of 1.49 and a beta of 1.28. The company has a debt-to-equity ratio of 0.77, a current ratio of 1.47 and a quick ratio of 1.44.

FedEx (NYSE:FDX - Get Free Report) last released its quarterly earnings results on Tuesday, June 23rd. The shipping service provider reported $6.31 EPS for the quarter, beating the consensus estimate of $5.91 by $0.40. FedEx had a net margin of 4.88% and a return on equity of 16.76%. The company had revenue of $25.01 billion for the quarter, compared to analyst estimates of $24.04 billion. During the same quarter last year, the business earned $6.07 earnings per share. The firm's revenue was up 12.5% on a year-over-year basis. FedEx has set its FY 2027 guidance at 16.900-18.100 EPS. Equities research analysts anticipate that FedEx will post 19.78 earnings per share for the current year.

Insider Activity at FedEx

In related news, EVP Gina F. Adams sold 20,450 shares of FedEx stock in a transaction dated Tuesday, April 14th. The stock was sold at an average price of $366.45, for a total value of $7,493,902.50. Following the sale, the executive vice president directly owned 19,403 shares in the company, valued at approximately $7,110,229.35. The trade was a 51.31% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, EVP Kawal Preet sold 4,900 shares of the business's stock in a transaction that occurred on Tuesday, April 14th. The stock was sold at an average price of $367.89, for a total value of $1,802,661.00. Following the sale, the executive vice president owned 10,953 shares of the company's stock, valued at approximately $4,029,499.17. This trade represents a 30.91% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders sold 48,104 shares of company stock valued at $17,599,006. 0.53% of the stock is owned by corporate insiders.

Institutional Trading of FedEx

Large investors have recently made changes to their positions in the company. Hollencrest Capital Management purchased a new position in FedEx in the 1st quarter valued at $25,000. Bayban acquired a new stake in FedEx during the 1st quarter worth $26,000. Cedar Mountain Advisors LLC grew its holdings in shares of FedEx by 77.4% during the first 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 purchased a new stake in shares of FedEx during the fourth quarter worth $27,000. Finally, Ulland Investment Advisors LLC acquired a new stake in shares of FedEx in the fourth quarter valued at about $29,000. 84.47% of the stock is currently owned by hedge funds and other institutional investors.

Key FedEx News

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx posted a strong fiscal Q4 with revenue and EPS ahead of estimates, supported by higher package volumes and improved cash generation. FedEx Reports Strong Fourth Quarter and Full-Year Results
• Positive Sentiment: Management said its premium parcel strategy, cost cuts, and network optimization are helping improve the business after the FedEx Freight spinoff. FedEx Revenue Rises on Growth in Package Yields, Volume
• Neutral Sentiment: Analysts continue to view FedEx as fairly valued to moderately positive on longer-term fundamentals, though estimates vary widely. FDX Fairly Valued by DCF at $249
• Neutral Sentiment: Several notes framed the quarter as a transition period after the freight spinoff, with investors waiting to see how the standalone parcel business performs. FedEx posts strong earnings results in last quarter with freight business
• Negative Sentiment: FedEx shares are falling because its fiscal 2027 EPS guidance came in below expectations, raising concerns about earnings growth ahead. FedEx shares drop on weak profit forecast as Q4 results top estimates
• Negative Sentiment: Investors are also worried that FedEx’s adjusted operating margin declined, suggesting profitability pressure in the core delivery business after the freight spinoff. FedEx drops on margin hit as investors gauge freight spin-off fortunes

FedEx Company 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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