FedEx (NYSE:FDX) Rating Lowered to Buy at Wall Street Zen

by · The Markets Daily

FedEx (NYSE:FDX – Get Free Report) was downgraded by investment analysts at Wall Street Zen from a “strong-buy” rating to a “buy” rating in a report issued on Saturday.

FDX has been the topic of a number of other reports. Stifel Nicolaus set a $412.00 price objective on FedEx in a research note on Friday, February 13th. Citigroup raised their target price on FedEx from $327.00 to $401.00 and gave the company a “buy” rating in a report on Thursday, February 5th. Wells Fargo & Company increased their price objective on FedEx from $380.00 to $430.00 and gave the company an “overweight” rating in a research report on Friday, February 13th. Bank of America raised their price objective on shares of FedEx from $408.00 to $414.00 and gave the stock a “buy” rating in a research note on Tuesday, February 10th. Finally, Wolfe Research raised their price target on shares of FedEx from $355.00 to $394.00 and gave the stock an “outperform” rating in a research report on Tuesday, February 10th. Two equities research analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, nine have issued a Hold rating and three have given a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $371.19.

Get Our Latest Research Report on FedEx

FedEx Price Performance

NYSE FDX opened at $352.09 on Friday. FedEx has a 1 year low of $194.29 and a 1 year high of $392.86. The company has a fifty day simple moving average of $346.49 and a 200 day simple moving average of $287.34. The company has a current ratio of 1.27, a quick ratio of 1.23 and a debt-to-equity ratio of 0.72. The company has a market cap of $82.78 billion, a P/E ratio of 19.41, a P/E/G ratio of 1.67 and a beta of 1.29.

FedEx (NYSE:FDX – Get Free Report) last announced its earnings results on Thursday, December 18th. The shipping service provider reported $4.82 EPS for the quarter, topping the consensus estimate of $4.02 by $0.80. FedEx had a net margin of 4.81% and a return on equity of 16.63%. The firm had revenue of $23.47 billion for the quarter, compared to the consensus estimate of $22.79 billion. During the same quarter last year, the firm posted $4.05 EPS. The business’s quarterly revenue was up 6.8% on a year-over-year basis. FedEx has set its FY 2026 guidance at 17.800-19.000 EPS. On average, sell-side analysts predict that FedEx will post 19.14 EPS for the current year.

Hedge Funds Weigh In On FedEx

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Brighton Jones LLC lifted its stake in FedEx by 12.8% during the fourth quarter. Brighton Jones LLC now owns 1,825 shares of the shipping service provider’s stock worth $514,000 after purchasing an additional 207 shares during the period. Empowered Funds LLC raised its holdings in shares of FedEx by 78.9% in the 1st quarter. Empowered Funds LLC now owns 10,311 shares of the shipping service provider’s stock worth $2,514,000 after buying an additional 4,548 shares in the last quarter. Sivia Capital Partners LLC acquired a new position in shares of FedEx in the 2nd quarter worth approximately $586,000. Connor Clark & Lunn Investment Management Ltd. bought a new position in shares of FedEx during the 2nd quarter worth approximately $3,121,000. Finally, Bailard Inc. boosted its stake in FedEx by 120.5% in the 2nd quarter. Bailard Inc. now owns 1,945 shares of the shipping service provider’s stock valued at $442,000 after buying an additional 1,063 shares in the last quarter. 84.47% of the stock is owned by institutional investors.

Key Stories Impacting FedEx

Here are the key news stories impacting FedEx this week:

  • Positive Sentiment: FedEx is accelerating an AI overhaul — the company plans to replace legacy systems and deploy AI “agents” in >50% of core workflows by 2028, aiming to boost productivity and cut operating costs if execution goes smoothly. FedEx Replaces Legacy Tech to Empower AI Agents
  • Positive Sentiment: Analyst optimism: JPMorgan is forecasting strong price appreciation for FDX, supporting buyer interest and helping justify the recent run-up. JPMorgan Forecasts Strong Price Appreciation for FedEx
  • Positive Sentiment: Street expects FedEx to beat upcoming earnings; consensus commentary highlights revenue leverage and margin upside, which can sustain momentum into the report. FedEx Expected to Beat Earnings Estimates
  • Positive Sentiment: Product/ESG initiative: FedEx is offering reusable packaging for closed-loop B2B shipping — a small but positive signal for cost savings and sustainability-focused customers. FedEx Offers Reusable Packaging
  • Neutral Sentiment: Investor day materials and slides have been published, giving more transparency on strategy (AI, margins, capital allocation) but much depends on execution and updated guidance. Analyst/Investor Day Slideshow
  • Negative Sentiment: Legal risk: FedEx is suing the U.S. government to limit exposure to multibillion-dollar class-action suits over surcharge collections — ongoing litigation could create headline risk and potential liabilities. Why FedEx Is Suing US Government
  • Negative Sentiment: Valuation concerns: some analysts argue the stock’s >50% one‑year rally leaves limited margin of safety and that valuation may be extended — this is weighing on more value‑oriented investors. Valuation Has Already Traveled Quite Too Far
  • Negative Sentiment: Macro/trade risk: reports that the U.S. is considering higher tariffs add uncertainty for global volumes and costs, a potential headwind for freight demand and margins. Trump Tariffs Live Updates

About FedEx

(Get Free Report)

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.

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