What Analysts Are Saying About FedEx After Earnings
Analysts cheered the FedEx first-quarter fiscal 2021 financial results report, as many are chasing it higher with their target hikes.
After FedEx Corp. (NYSE: FDX | FDX Price Prediction) reported first-quarter fiscal 2021 financial results after markets closed Tuesday, investors sent shares to a multiyear high early Wednesday. Analysts cheered this report as well, as many are chasing FedEx higher with their target hikes.
24/7 Wall St. has included some highlights from the earnings report, as well as what analysts are saying about the stock after the fact.
FedEx reported $4.87 in earnings per share (EPS) and $19.3 billion in revenue, compared with consensus estimates that called for $2.69 in EPS and $17.55 billion in revenue. In the same period last year, the company reported $3.05 in EPS and $17.05 billion in revenue.
Management said that the earnings growth this quarter underscores the importance of its business initiatives and investments over the past several years, and, in many ways, the world has accelerated to meet these strategies.
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Operating results increased due to volume growth in FedEx International Priority and U.S. domestic residential package services, yield improvement at FedEx Ground and FedEx Freight, and one additional operating weekday. These factors were partially offset by costs to support strong demand and to expand services, variable compensation expenses and COVID-19 related costs incurred to ensure the safety of FedEx team members and customers.
Here’s what analysts had to say:
- BMO Capital Markets reiterated a Market Perform rating and raised its target to $265 from $220.
- Wells Fargo reiterated an Overweight rating and raised its price target to $286 from $221.
- Loop Capital reiterated a Buy rating and raised its price target to $372 from $248.
- UBS Group reiterated a Buy rating and raised its target price from $218 to $320.
- Raymond James reiterated an Outperform rating and raised its target to $280 from $165.
- Barclays reiterated an Equal Weight rating and raised its target price from $205 to $240.
- Goldman Sachs reiterated a Conviction Buy rating and raised its price target to $297 from $233.
- Robert Baird reiterated an Outperform rating and raised its price target to $275 from $232.
- Citigroup reiterated a Buy rating and raised its price target to $300 from $260.
- JPMorgan reiterated a Buy rating and raised its target to $298 from $265.
FedEx stock traded up about 7% Wednesday morning to $252.71, in a 52-week range of $88.69 to $256.15. The consensus price target is $224.81.
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Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
