FedEx (NYSE:FDX) Hits New 1-Year Low After Earnings Miss

Shares of FedEx Co. (NYSE:FDX) reached a new 52-week low on Friday following a dissappointing earnings announcement. The stock traded as low as $217.22 and last traded at $220.35, with a volume of 2202379 shares changing hands. The stock had previously closed at $246.21.

The shipping service provider reported $4.51 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.56 by ($0.05). The firm had revenue of $22.16 billion during the quarter, compared to the consensus estimate of $21.96 billion. FedEx had a return on equity of 15.59% and a net margin of 4.45%. FedEx’s revenue was up 1.9% compared to the same quarter last year. During the same quarter last year, the business posted $3.86 EPS.

FedEx Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, April 1st. Stockholders of record on Monday, March 10th will be issued a $1.38 dividend. The ex-dividend date of this dividend is Monday, March 10th. This represents a $5.52 annualized dividend and a dividend yield of 2.40%. FedEx’s payout ratio is 35.18%.

Analyst Upgrades and Downgrades

FDX has been the topic of a number of recent analyst reports. BMO Capital Markets reduced their target price on FedEx from $330.00 to $275.00 and set a “market perform” rating on the stock in a research note on Friday. JPMorgan Chase & Co. reduced their price target on shares of FedEx from $323.00 to $280.00 and set an “overweight” rating on the stock in a research note on Friday. Sanford C. Bernstein cut shares of FedEx from an “outperform” rating to a “market perform” rating and lowered their price objective for the company from $337.00 to $316.00 in a research report on Tuesday, December 3rd. Stifel Nicolaus reduced their target price on shares of FedEx from $364.00 to $354.00 and set a “buy” rating on the stock in a research report on Friday. Finally, Oppenheimer reiterated a “market perform” rating on shares of FedEx in a report on Friday. Two analysts have rated the stock with a sell rating, eight have issued a hold rating, eighteen have issued a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $301.67.

Insider Transactions at FedEx

In related news, Director Amy B. Lane acquired 333 shares of the stock in a transaction dated Thursday, December 26th. The stock was acquired at an average cost of $276.06 per share, for a total transaction of $91,927.98. Following the completion of the purchase, the director now owns 333 shares of the company’s stock, valued at approximately $91,927.98. This represents a ∞ increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Susan C. Schwab sold 3,980 shares of the company’s stock in a transaction on Tuesday, January 14th. The shares were sold at an average price of $276.45, for a total value of $1,100,271.00. Following the completion of the transaction, the director now directly owns 8,904 shares in the company, valued at approximately $2,461,510.80. The trade was a 30.89 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 8.87% of the company’s stock.

Institutional Investors Weigh In On FedEx

A number of large investors have recently bought and sold shares of the company. Vanguard Group Inc. lifted its stake in FedEx by 0.3% during the 4th quarter. Vanguard Group Inc. now owns 20,199,506 shares of the shipping service provider’s stock valued at $5,682,727,000 after acquiring an additional 56,236 shares during the period. Dodge & Cox lifted its position in FedEx by 5.6% during the fourth quarter. Dodge & Cox now owns 13,889,624 shares of the shipping service provider’s stock valued at $3,907,568,000 after purchasing an additional 734,268 shares during the period. Geode Capital Management LLC boosted its holdings in FedEx by 2.3% in the fourth quarter. Geode Capital Management LLC now owns 4,798,797 shares of the shipping service provider’s stock valued at $1,350,686,000 after purchasing an additional 109,006 shares during the last quarter. Franklin Resources Inc. grew its position in FedEx by 8.1% during the 4th quarter. Franklin Resources Inc. now owns 4,298,646 shares of the shipping service provider’s stock worth $1,209,338,000 after purchasing an additional 323,115 shares during the period. Finally, Invesco Ltd. raised its stake in shares of FedEx by 4.1% during the 4th quarter. Invesco Ltd. now owns 3,221,004 shares of the shipping service provider’s stock valued at $906,165,000 after buying an additional 127,044 shares during the last quarter. Hedge funds and other institutional investors own 84.47% of the company’s stock.

FedEx Trading Down 6.5 %

The company has a current ratio of 1.23, a quick ratio of 1.19 and a debt-to-equity ratio of 0.73. The firm has a market cap of $55.46 billion, a price-to-earnings ratio of 14.68, a PEG ratio of 1.11 and a beta of 1.23. The company has a fifty day moving average price of $259.95 and a 200-day moving average price of $272.49.

FedEx Company Profile

FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. It operates through FedEx Express, FedEx Ground, FedEx Freight, and FedEx Services segments. The FedEx Express segment offers express transportation, small-package ground delivery, and freight transportation services; and time-critical transportation services.