FedEx (NYSE:FDX) Issues FY 2027 Earnings Guidance

FedEx (NYSE:FDX) issued an update on its FY 2027 earnings guidance on Tuesday. The company provided earnings per share guidance of 16.900-18.100 for the period, compared to the consensus EPS estimate of 19.920. The company issued revenue guidance of $97.6 billion-$97.6 billion, compared to the consensus revenue estimate of $91.0 billion.

FedEx Price Performance

FDX stock opened at $319.06 on Wednesday. The company’s fifty day simple moving average is $366.57 and its 200 day simple moving average is $345.88. The company has a quick ratio of 1.44, a current ratio of 1.47 and a debt-to-equity ratio of 0.77. The firm has a market cap of $76.13 billion, a price-to-earnings ratio of 16.98, a PEG ratio of 1.49 and a beta of 1.28. FedEx has a 12-month low of $172.88 and a 12-month high of $345.36.

FedEx (NYSE:FDX) last posted its quarterly earnings data on Tuesday, June 23rd. The shipping service provider reported $6.31 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.91 by $0.40. The business had revenue of $25.01 billion during the quarter, compared to the consensus estimate of $24.04 billion. FedEx had a net margin of 4.88% and a return on equity of 16.76%. The firm’s quarterly revenue was up 12.5% compared to the same quarter last year. During the same quarter last year, the company posted $6.07 earnings per share. FedEx has set its FY 2027 guidance at 16.900-18.100 EPS. On average, analysts expect that FedEx will post 19.78 earnings per share for the current year.

FedEx Cuts Dividend

The business also recently announced 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 yield of 1.5%. The ex-dividend date of this dividend is Monday, June 22nd. FedEx’s dividend payout ratio (DPR) is currently 25.97%.

Wall Street Analysts Forecast Growth

A number of research firms recently commented on FDX. HSBC dropped their price target on shares of FedEx from $360.00 to $289.89 and set a “hold” rating for the company in a research note on Monday, June 1st. Argus lifted their price target on FedEx from $350.00 to $400.00 and gave the stock a “buy” rating in a research report on Monday, April 6th. Truist Financial set a $155.00 price target on FedEx in a research report on Tuesday, June 2nd. The Goldman Sachs Group decreased their price target on FedEx from $405.00 to $375.00 and set a “buy” rating for the company in a report on Monday, June 1st. Finally, Weiss Ratings lowered FedEx from a “buy (b)” rating to a “buy (b-)” rating in a research report on Wednesday, June 3rd. Eighteen analysts have rated the stock with a Buy rating, nine have issued a Hold rating and two have issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $358.14.

Insider Buying and Selling at FedEx

In related news, 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 value of $1,802,661.00. Following the completion of the transaction, the executive vice president owned 10,953 shares of the company’s stock, valued at $4,029,499.17. The trade was a 30.91% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Susan C. Schwab sold 5,795 shares of the stock in a transaction dated Wednesday, April 15th. The stock was sold at an average price of $369.00, for a total transaction of $2,138,355.00. Following the sale, the director owned 10,038 shares in the company, valued at $3,704,022. The trade was a 36.60% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 48,104 shares of company stock valued at $17,599,006. 0.53% of the stock is currently owned by corporate insiders.

Key Stories Impacting FedEx

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx delivered a solid fiscal Q4 beat, reporting revenue of about $25.0 billion and EPS above estimates, supported by stronger package volumes, premium revenue growth, and better cash flow. FedEx Reports Strong Fourth Quarter and Full-Year Results
• Positive Sentiment: Management highlighted cost savings, margin-improvement efforts, and the ability to grow revenue despite tariff and trade headwinds, suggesting the company’s turnaround strategy is still working. FedEx Revenue Rises on Growth in Package Yields, Volume
• Neutral Sentiment: FedEx is entering a “new phase” after spinning off its freight business, and investors are evaluating whether the remaining parcel business can sustain growth and efficiency gains on its own. FedEx drops on margin hit as investors gauge freight spin-off fortunes
• Negative Sentiment: The main drag on the stock is FedEx’s fiscal 2027 EPS guidance, which came in below analyst expectations, raising concerns that profit growth may slow after a strong quarter. FedEx shares drop on weak profit forecast as Q4 results top estimates
• Negative Sentiment: Some investors are also worried about a margin squeeze at the core delivery segment and complications tied to the freight spinoff, which could make the transition period choppier than expected. FedEx drops on margin hit as investors gauge freight spin-off fortunes

Institutional Inflows and Outflows

Several hedge funds have recently made changes to their positions in the business. Compound Planning Inc. increased its position in shares of FedEx by 14.1% during the fourth quarter. Compound Planning Inc. now owns 3,824 shares of the shipping service provider’s stock valued at $1,105,000 after acquiring an additional 472 shares during the last quarter. Claris Financial LLC bought a new position in FedEx in the 4th quarter worth about $352,000. Corient Private Wealth LLC increased its holdings in FedEx by 228.6% in the 4th quarter. Corient Private Wealth LLC now owns 312,725 shares of the shipping service provider’s stock valued at $90,334,000 after acquiring an additional 217,565 shares during the last quarter. Mercer Global Advisors Inc. ADV lifted its stake in FedEx by 203.8% in the 4th quarter. Mercer Global Advisors Inc. ADV now owns 307,496 shares of the shipping service provider’s stock worth $88,828,000 after purchasing an additional 206,295 shares in the last quarter. Finally, Summit Global Investments bought a new position in shares of FedEx during the 4th quarter valued at about $291,000. 84.47% of the stock is owned by institutional investors.

About FedEx

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.