2024-06-09 21:27:49 ET
Summary
- FedEx is set to report its Q4 fiscal year earnings on June 25th. Wall Street is expecting GAAP EPS of $5.22 on revenues of $22.15 billion.
- The company has been underperforming the S&P 500 this year due to a slowing global economy, higher costs, and a decline in shipping volumes.
- FedEx is now entering the lower end of its historical valuation range, now trading at a forward P/E ratio under 12x.
- I believe FedEx is well positioned for the next market upturn in the transport industry, and could potentially generate significant margin expansion.
Summary
FedEx Corporation (FDX) is scheduled to report its Q4 fiscal year 2024 earnings on June 25th, after the market close. The stock has been decimated since the start of April, underperforming the S&P 500 by a wide margin year-to-date. However, I believe FedEx's stock is entering oversold territory due to short-term macro challenges and higher CAPEX associated with its cost-saving programs. Wall Street is estimating that FedEx's revenue growth will turn positive again over the next few years, which bodes well for shareholders. In summary, there are 3 key things to consider now before investing: ...
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FedEx: Beaten Down Stock That Deserves Patience