FedEx (FDX) closed the most recent trading day at $294.68, moving -1.54% from the previous trading session. This change lagged the S&P 500's 0.54% loss on the day.
Coming into today, shares of the package delivery company had lost 2.21% in the past month. In that same time, the Transportation sector lost 2.39%, while the S&P 500 gained 1.91%.
FDX will be looking to display strength as it nears its next earnings release, which is expected to be June 24, 2021. In that report, analysts expect FDX to post earnings of $4.99 per share. This would mark year-over-year growth of 97.23%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $21.43 billion, up 23.45% from the year-ago period.
Any recent changes to analyst estimates for FDX should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 3.96% higher within the past month. FDX is currently a Zacks Rank #2 (Buy).
In terms of valuation, FDX is currently trading at a Forward P/E ratio of 14.53. This represents a no noticeable deviation compared to its industry's average Forward P/E of 14.53.
Investors should also note that FDX has a PEG ratio of 1.21 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Air Freight and Cargo was holding an average PEG ratio of 1.39 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 9, which puts it in the top 4% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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