FedEx Corporation (FDX)
NYSE:FDX
Want to see FDX full AI Analyst Report?
Top Page
FedEx
(NYSE:FDX)
Select Model
Select Model
Rating:73Outperform
Price Target:
$369.00
▼(-5.96% Downside)
Action:Reiterated
Date:06/09/26
FDX scores well overall driven primarily by solid financial performance (stronger cash generation and improved gross margin) and supportive technicals (price above key moving averages with positive MACD). The earnings call adds upside via raised EPS and revenue guidance, while leverage/balance-sheet visibility and only moderate valuation and yield temper the score.
Positive Factors
Strong cash generation
FedEx converts a meaningful portion of earnings into cash: TTM operating cash flow and rapidly growing free cash flow give the company durable capital allocation flexibility. This supports reinvestment in network transformation, disciplined capex, dividends, debt paydown or buybacks over the medium term.
Negative Factors
Meaningful leverage
FedEx operates a capital-intensive model with material leverage. A debt-to-equity ~1.33 raises sensitivity to demand slowdowns or rising rates, constrains financial flexibility for incremental investments, and increases interest burden risk, which could limit medium-term returns and strategic optionality.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong cash generation
FedEx converts a meaningful portion of earnings into cash: TTM operating cash flow and rapidly growing free cash flow give the company durable capital allocation flexibility. This supports reinvestment in network transformation, disciplined capex, dividends, debt paydown or buybacks over the medium term.
Read all positive factors
FedEx Key Performance Indicators (KPIs)
Any
Revenue by Segment
Shows revenue distribution across different business units, highlighting which segments drive growth and profitability.
Shows revenue distribution across different business units, highlighting which segments drive growth and profitability.
Data provided by:
The Fly
The FlyFedEx (FDX) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$80.65B
Dividend Yield1.94%
Average Volume (3M)1.74M
Price to Earnings (P/E)18.3
Beta (1Y)0.92
Revenue Growth4.69%
EPS Growth17.55%
CountryUS
Employees306,000
SectorIndustrials
Sector Strength72
IndustryIntegrated Freight & Logistics
Share Statistics
EPS (TTM)18.68
Shares Outstanding238,606,750
10 Day Avg. Volume2,160,565
30 Day Avg. Volume1,741,473
Financial Highlights & Ratios
PEG Ratio-3.79
Price to Book (P/B)1.52
Price to Sales (P/S)0.49
P/FCF Ratio14.32
Enterprise Value/Market Cap1.64
Enterprise Value/Revenue1.44
Enterprise Value/Gross Profit5.89
Enterprise Value/Ebitda12.62
Forecast
1Y Price Target
$413.70Price Target Upside5.43% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering21
EPS Forecast (FY)22.57
Revenue Forecast (FY)$98.51B
FedEx Business Overview & Revenue Model
Company Description
FedEx Corporation is a prominent global entity that delivers an extensive array of services encompassing transportation, e-commerce solutions, and diverse business support, catering to clients both within the United States and across international...
How the Company Makes Money
FedEx primarily makes money by charging businesses and consumers to transport packages and freight domestically and internationally, and by selling logistics solutions that manage or optimize customers’ supply chains.
Key revenue streams include:...
FedEx Earnings Call Summary
Earnings Call Date:Mar 19, 2026
(Q3-2026)
| % Change Since: |
Next Earnings Date:Jun 23, 2026
Earnings Call Sentiment Positive
The call emphasized strong operational execution at FEC with double-digit revenue growth, margin expansion, improved yields, raised EPS guidance and meaningful progress on Network 2.0, cost savings and product innovation—leading to an upgraded outlook and improved cash-flow/capex discipline. Offsetting this are persistent challenges in FedEx Freight (revenue and profit pressure, separation costs), MD-11 grounding charges, sizable variable compensation and external headwinds from global trade policy and geopolitical uncertainty. On balance, the positive operational momentum, guidance raise, and transformation progress outweighed the near-term Freight and other headwinds.Positive Updates
Consolidated Revenue Growth
Consolidated revenue increased 8% year-over-year in Q3, driven by yield and volume strength across nearly all package services; FY '26 consolidated revenue growth outlook raised to 6%–6.5% (prior 5%–6%).
Negative Updates
FedEx Freight Revenue and Profit Pressure
FedEx Freight revenue declined 5% year-over-year with shipments down ~6%; FedEx Freight adjusted operating income declined $127 million YoY. Company now expects FY '26 Freight revenue down low single digits and Q4 revenue flat to down slightly, with an incremental $400 million decline in Freight adjusted operating income vs prior expectations.
Read all updates
Q3-2026 Updates
Positive
Negative
Consolidated Revenue Growth
Consolidated revenue increased 8% year-over-year in Q3, driven by yield and volume strength across nearly all package services; FY '26 consolidated revenue growth outlook raised to 6%–6.5% (prior 5%–6%).
Read all positive updates
Company Guidance
The company raised FY‑2026 adjusted EPS to $19.30–$20.10 (prior $17.80–$19.00) with the midpoint implying Q4 adjusted EPS of about $5.80, and now expects consolidated revenue growth of 6.0%–6.5% for FY‑26 (previously 5%–6%) and 6%–7.5% in Q4; FEC revenue is expected to be roughly +8% at the midpoint for FY‑26 and ~8% in Q4, while FedEx Freight revenue is expected down low single digits for FY‑26 and flat to down slightly in Q4. Management’s midpoint scenario implies full‑year adjusted operating income of $6.5B (up $300M), including a $600M FEC volume tailwind, a $3.2B FEC yield tailwind, a $1.6B assumed base expense increase, a now‑$400M Freight operating income decline (vs. $300M prior), and an $800M variable incentive compensation headwind; MD‑11 grounding impacted Q3 by ~$120M and could be up to ~$55M in Q4. CapEx is capped at no more than $4.1B (aircraft ≤ $1B), adjusted FCF has upside to the prior $3.8B assumption with a $6B 2029 target (ex‑Freight), spin‑off of Freight remains on track for 6/1/2026 (Freight completed a $3.7B debt offering and incurred ~ $60M separation costs not excluded), and the outlook embeds a modest Middle East headwind, a Q4 share count of ~242M (FY‑26 avg ~239M) and an embedded ~$0.10 EPS headwind from higher share count and interest.FedEx Financial Statement Overview
Summary
Income Statement
72
Positive
Balance Sheet
58
Neutral
Cash Flow
76
Positive
| Breakdown | TTM | May 2025 | May 2024 | May 2023 | May 2022 | May 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 91.93B | 87.93B | 87.69B | 90.16B | 93.51B | 83.79B |
| Gross Profit | 22.44B | 19.00B | 18.95B | 19.17B | 20.17B | 17.79B |
| EBITDA | 10.48B | 10.49B | 10.87B | 10.23B | 9.55B | 11.26B |
| Net Income | 4.48B | 4.09B | 4.33B | 3.97B | 3.83B | 5.23B |
Balance Sheet | ||||||
| Total Assets | 94.73B | 87.63B | 87.01B | 87.11B | 85.99B | 82.78B |
| Cash, Cash Equivalents and Short-Term Investments | 8.01B | 5.57B | 6.50B | 6.86B | 6.90B | 7.09B |
| Total Debt | 42.02B | 37.42B | 37.72B | 38.33B | 37.19B | 36.46B |
| Total Liabilities | 64.93B | 59.55B | 59.42B | 61.05B | 61.05B | 58.61B |
| Stockholders Equity | 29.80B | 28.07B | 27.58B | 26.09B | 24.94B | 24.17B |
Cash Flow | ||||||
| Free Cash Flow | 4.37B | 2.98B | 3.14B | 2.64B | 3.07B | 4.25B |
| Operating Cash Flow | 8.18B | 7.04B | 8.31B | 8.81B | 9.83B | 10.13B |
| Investing Cash Flow | -3.87B | -4.09B | -5.20B | -6.17B | -6.82B | -6.01B |
| Financing Cash Flow | 2.03B | -4.02B | -3.43B | -2.60B | -3.02B | -2.09B |
FedEx Technical Analysis
Positive
392.38
Price Trends
311.33
Positive
298.55
Positive
252.84
Positive
Market Momentum
6.56
Negative
61.38
Neutral
32.32
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FDX, the sentiment is Positive. The current price of 392.38 is above the 20-day moving average (MA) of 321.85, above the 50-day MA of 311.33, and above the 200-day MA of 252.84, indicating a bullish trend. The MACD of 6.56 indicates Negative momentum. The RSI at 61.38 is Neutral, neither overbought nor oversold. The STOCH value of 32.32 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDX.
FedEx Risk Analysis
FedEx disclosed 3 risk factors in its most recent earnings report. FedEx reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
FedEx Peers Comparison
UnderperformOutperform
Sector (63)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
78 Outperform | $16.84B | 12.87 | 14.20% | 2.98% | 15.87% | 1.18% | |
77 Outperform | $21.77B | 26.57 | 36.71% | 1.02% | 1.13% | 2.62% | |
73 Outperform | $80.65B | 18.32 | 15.76% | 1.94% | 4.69% | 17.55% | |
64 Neutral | $25.39B | 72.71 | 19.04% | ― | 3.63% | -11.81% | |
63 Neutral | $10.79B | 15.43 | 7.44% | 2.01% | 2.89% | -14.66% | |
60 Neutral | $22.53B | 38.22 | 33.32% | 1.51% | -6.68% | 18.19% | |
58 Neutral | $92.35B | 17.59 | 33.03% | 6.55% | -2.59% | -9.78% |
* Industrials Sector Average
FDX
FedEx
338.00
160.76
90.70%
CHRW
CH Robinson
191.11
97.59
104.35%
EXPD
Expeditors International
166.44
53.05
46.78%
XPO
XPO
227.65
105.41
86.23%
UPS
United Parcel
108.65
14.22
15.06%
ZTO
ZTO Express
22.51
5.26
30.51%
FedEx Corporate Events
Business Operations and StrategyExecutive/Board Changes
FedEx Adds Independent Director to Lead Audit Oversight
Positive
Jun 8, 2026
On June 8, 2026, FedEx Corp. appointed former Deloitte vice chairman and senior partner Mark A. Edmunds to its board of directors, naming him chair of the Audit and Finance Committee and a member of the Cyber and Technology Oversight Committee. Ed...
Business Operations and StrategyDelistings and Listing ChangesM&A TransactionsPrivate Placements and Financing
FedEx Completes Spin-Off of FedEx Freight Unit
Positive
Jun 1, 2026
On June 1, 2026, FedEx completed the spin-off of FedEx Freight Holding Company, establishing it as an independent, publicly traded less-than-truckload carrier focused on North America. FedEx Freight common stock began regular-way trading that day ...
Business Operations and StrategyPrivate Placements and Financing
FedEx Redeems Euro Notes, Optimizing Long-Term Debt Profile
Positive
May 22, 2026
FedEx said that on May 13, 2026 it notified holders of its €354.9 million 1.300% Notes due 2031 that the securities will be fully redeemed on May 28, 2026, at a price based on the higher of par or a make-whole amount tied to a comparable gov...
Business Operations and StrategyDelistings and Listing ChangesDividendsM&A TransactionsPrivate Placements and FinancingRegulatory Filings and Compliance
FedEx advances spin-off of FedEx Freight unit
Positive
May 13, 2026
On May 11 and May 13, 2026, FedEx advanced the planned spin-off of its FedEx Freight unit, as the SEC declared effective FedEx Freight’s Form 10 registration and the FedEx board approved a pro rata dividend of 80.1% of FedEx Freight’s ...
Executive/Board Changes
FedEx Announces CFO Transition and Interim Leadership Appointment
Neutral
Apr 13, 2026
On April 13, 2026, FedEx announced that Executive Vice President and Chief Financial Officer John W. Dietrich will step down from the CFO role on June 1, 2026 and leave the company on July 31, 2026, with the company emphasizing that his departure ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.