FedEx (NYSE:FDX) Lifted to Hold at Wells Fargo & Company

Wells Fargo & Company upgraded shares of FedEx (NYSE:FDX) to a hold rating in a research report released on Tuesday morning, Zacks.com reports.

A number of other equities research analysts have also recently weighed in on the company. BMO Capital Markets raised their price target on FedEx from $290.00 to $310.00 and gave the company a market perform rating in a report on Friday, March 22nd. JPMorgan Chase & Co. cut their price target on FedEx from $301.00 to $296.00 and set a neutral rating on the stock in a report on Friday, May 24th. The Goldman Sachs Group boosted their price target on FedEx from $291.00 to $324.00 and gave the stock a buy rating in a research report on Friday, March 22nd. Oppenheimer reaffirmed a market perform rating on shares of FedEx in a research report on Friday, March 22nd. Finally, TD Cowen boosted their price target on FedEx from $293.00 to $320.00 and gave the company an outperform rating in a research note on Friday, March 22nd. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating and seventeen have assigned a buy rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of Moderate Buy and a consensus target price of $304.21.

FedEx Stock Performance

Shares of FDX stock opened at $253.67 on Tuesday. The company has a debt-to-equity ratio of 0.76, a current ratio of 1.31 and a quick ratio of 1.26. The firm has a market cap of $62.42 billion, a P/E ratio of 14.63, a PEG ratio of 0.90 and a beta of 1.16. The stock’s 50-day moving average is $256.50 and its two-hundred day moving average is $256.06. FedEx has a fifty-two week low of $224.40 and a fifty-two week high of $291.27.

FedEx (NYSE:FDX) last announced its earnings results on Thursday, March 21st. The shipping service provider reported $3.86 earnings per share for the quarter, beating the consensus estimate of $3.49 by $0.37. FedEx had a return on equity of 16.60% and a net margin of 5.02%. The firm had revenue of $21.70 billion during the quarter, compared to the consensus estimate of $21.95 billion. During the same quarter in the prior year, the company earned $3.41 EPS. The firm’s revenue for the quarter was down 2.1% compared to the same quarter last year. Analysts predict that FedEx will post 17.76 earnings per share for the current fiscal year.

FedEx declared that its board has initiated a share buyback program on Thursday, March 21st that authorizes the company to buyback $5.00 billion in outstanding shares. This buyback authorization authorizes the shipping service provider to reacquire up to 7.6% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

FedEx Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, July 9th. Shareholders of record on Monday, June 24th will be issued a dividend of $1.38 per share. This is an increase from FedEx’s previous quarterly dividend of $1.26. This represents a $5.52 dividend on an annualized basis and a yield of 2.18%. The ex-dividend date is Monday, June 24th. FedEx’s dividend payout ratio (DPR) is presently 29.07%.

Insider Activity at FedEx

In other FedEx news, VP Guy M. Erwin II sold 2,749 shares of FedEx stock in a transaction that occurred on Tuesday, March 26th. The shares were sold at an average price of $289.11, for a total transaction of $794,763.39. Following the transaction, the vice president now owns 486 shares of the company’s stock, valued at approximately $140,507.46. The transaction was disclosed in a legal filing with the SEC, which is available through this link. In related news, CEO Sriram Krishnasamy sold 354 shares of FedEx stock in a transaction that occurred on Thursday, March 28th. The shares were sold at an average price of $289.19, for a total value of $102,373.26. Following the completion of the transaction, the chief executive officer now directly owns 11,147 shares in the company, valued at approximately $3,223,600.93. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, VP Guy M. Erwin II sold 2,749 shares of the business’s stock in a transaction on Tuesday, March 26th. The shares were sold at an average price of $289.11, for a total transaction of $794,763.39. Following the transaction, the vice president now owns 486 shares of the company’s stock, valued at $140,507.46. The disclosure for this sale can be found here. In the last quarter, insiders have sold 136,668 shares of company stock valued at $37,758,773. 8.73% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the company. Keynote Financial Services LLC purchased a new position in shares of FedEx in the first quarter valued at about $288,000. EverSource Wealth Advisors LLC grew its holdings in FedEx by 0.4% in the first quarter. EverSource Wealth Advisors LLC now owns 12,496 shares of the shipping service provider’s stock worth $3,621,000 after purchasing an additional 45 shares during the period. DekaBank Deutsche Girozentrale lifted its stake in shares of FedEx by 45.2% in the first quarter. DekaBank Deutsche Girozentrale now owns 148,573 shares of the shipping service provider’s stock worth $42,610,000 after buying an additional 46,244 shares in the last quarter. Pathway Financial Advisers LLC bought a new stake in shares of FedEx during the first quarter valued at approximately $89,000. Finally, Alexander Labrunerie & CO. Inc. bought a new stake in shares of FedEx during the first quarter valued at approximately $324,000. 84.47% of the stock is currently owned by hedge funds and other institutional investors.

About FedEx

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.