FedEx Fiscal Fourth-Quarter Results
FedEx (NYSE: FDX) will release its fiscal fourth-quarter results on Tuesday, June 23, following the market’s close. This report is significant as it marks the first update since the Federal Reserve’s decision to maintain interest rates on June 17, signaling potential rate hikes later this year. Investors will be closely monitoring FedEx’s performance as a barometer of economic health, particularly in light of increased borrowing costs.
In its fiscal third quarter, FedEx reported an 8% increase in revenue year-over-year, reaching $24 billion, with adjusted earnings per share climbing 16% to $5.25. The company has recently spun off its less-than-truckload freight business, which had seen a 5% revenue decline due to reduced shipment volumes. Notably, FedEx’s adjusted earnings guidance for the fourth quarter stands at approximately $5.80 per share, its strongest projection for the year.
As of now, FedEx shares are trading around $326, reflecting a valuation of about 17 times its anticipated adjusted earnings. However, recent competitive pressures from Amazon and a softer overall freight market present concerns for future growth. Investors are advised to exercise caution ahead of the results, considering the current economic landscape.
5 Stocks Our Experts Predict Could Double In the Next Year
By submitting your email, you'll also get a free pivot & flow membership. A free daily market overview. You can unsubscribe at any time.
