BMO Capital analyst Fadi Chamoun raised the firm’s price target on FedEx (FDX) to $290 from $265 but keeps a Market Perform rating on the shares. The company’s Q2 topped estimates, though its revised guidance suggests softer FY26 performance driven by ongoing Freight/LTL weakness, higher variable incentive compensation, and costs related to MD-11 aircraft grounding, the analyst tells investors in a research note. Based on current LTL shipment run rates and muted demand trends, Freight/LTL guidance remains at risk of further downside over the next several quarters, which could weigh on valuation, the firm added.
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