Shares of FedEx Corporation (NYSE:FDX) are trading up $5.21 or 3.5% in after hours this afternoon after the company reported better than expected earnings for their fiscal second quarter. Earnings were reported moments ago at $2.44 per share. This compares to a diluted EPS of $2.31 a year ago. The company has also reaffirmed their guidance for 2016, with an EPS outlook of $10.40 to $10.90 for the year.
“FedEx Corp. posted solid earnings despite continued weakness in industrial production and global trade, and we are making impressive progress toward our goals to increase margins, earnings per share, cash flows, and returns on invested capital,” said Frederick W. Smith, FedEx Corp. chairman, president and chief executive officer. “A record number of holiday shipments – fueled by the steady rise of e-commerce – are flowing through the FedEx global networks, and we greatly appreciate the dedication of our 340,000 team members around the world who are delivering outstanding service to our customers.”
The stock increased 2.86% or $4.14 during the last trading session, hitting $148.83. About 2.69 million shares traded hands or up 51.12% from the average. FDX has declined 15.84% since May 13, 2015 and is currently downtrending. It has underperformed the S&P500 by 12.17%.
From a total of 18 analysts covering FedEx (NYSE:FDX) stock, 8 rate it a “Buy”, 1 a “Sell”, and 9 a “Hold”. This means that 44% of the ratings are positive. The highest target price is $206.0 while the lowest target price is $15.50. The mean of all analyst targets is $151.83 which is 2.02% above today’s ($148.83) stock price. FedEx was the topic of 24 analyst reports since August 14, 2015 according to the firm StockzIntelligence Inc. Raymond James downgraded shares on December 14 to a “Mkt Perform” rating. RBC Capital Markets maintained shares with a”Sector Perform” rating and a $157 target share price in their report from a September 17. Wolfe Research downgraded FDX stock in a recent report from November 30 to a “Peer Perform” rating. Oppenheimer maintained the rating on September 17. Oppenheimer has a “Outperform” rating and a $180 price target on shares. Finally, Stifel Nicolaus upgraded the stock to a “Buy” rating in a report they issued on an October 6.
The institutional sentiment increased to 1.06 in Q2 2015. It’s up 0.05, from 1.01 in 2015Q2. The ratio is positive, as 100 funds sold all their FedEx Corporation shares they owned while 303 reduced their positions. 82 funds bought stakes while 346 increased their total positions. Institutions now own 217.16 million shares which is 2.94% more than the previous share count of 210.94 million in 2015Q2.
Greenhaven Associates Inc holds 13.01% of its total portfolio in FedEx Corporation, equating to 4.52 million shares. 12Th Street Asset Management Company Llc owns 183,406 shares representing 9.68% of their total US portfolio. Moreover, Marianas Fund Management Llc has 7.76% of their total portfolio invested in the company, equating to 273,900 shares. The Tennessee-based Southeastern Asset Management Inc Tn has a total of 7.76% of their portfolio invested in the stock. Lakewood Capital Management Lp, a New York-based fund reported 1.05 million shares owned.
Since May 8, 2015, the stock had 0 buys, and 1 sale for a total of $228,251 in net activity. Edwardson John A sold 1,572 shares worth $228,251. Walsh Paul S sold 4,400 shares worth $763,608.
FedEx Corporation provides a portfolio of transportation, e-commerce and business services under the FedEx brand. The company has a market cap of $40.87 billion. The Firm offers its services through companies constituting four business divisions: FedEx Express, FedEx Ground, FedEx Freight and FedEx Services. It has 38.22 P/E ratio. FedEx Express offers a range of domestic and international shipping services for delivery of packages and freight.