NYSE:FDX

Stock Analysis Report

Executive Summary

FedEx Corporation provides transportation, e-commerce, and business services worldwide.

Snowflake

Fundamentals

Average dividend payer with moderate growth potential.


Similar Companies

Share Price & News

How has FedEx's share price performed over time and what events caused price changes?


Latest Share Price and Events


Market Performance


7 Day Return

-3.8%

NYSE:FDX

-1.1%

US Logistics

-0.7%

US Market


1 Year Return

-36.8%

NYSE:FDX

-16.6%

US Logistics

-0.5%

US Market

FDX underperformed the Logistics industry which returned -16.4% over the past year.

FDX underperformed the Market in United States of America which returned -0.4% over the past year.


Share holder returns

FDXIndustryMarket
7 Day-3.8%-1.1%-0.7%
30 Day-6.7%3.4%-3.0%
90 Day-7.3%6.8%0.9%
1 Year-36.0%-36.8%-14.7%-16.6%1.7%-0.5%
3 Year-4.5%-7.5%13.2%5.7%39.5%30.4%
5 Year9.1%4.4%32.7%19.0%54.1%37.0%

Price Volatility Vs. Market

How volatile is FedEx's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is FedEx undervalued based on future cash flows and its price relative to the stock market?

20%

Discount to future cash flow value


Intrinsic Value Based on Future Cash Flows

FedEx's share price is below the future cash flow value, and at a moderate discount (> 20%).

FedEx's share price is below the future cash flow value, but not at a substantial discount (< 40%).


Price Based on Earnings

FedEx is overvalued based on earnings compared to the US Logistics industry average.

FedEx is overvalued based on earnings compared to the United States of America market.


Price Based on Expected Growth

FedEx is poor value based on expected growth next year.


Price Based on Value of Assets

FedEx is good value based on assets compared to the US Logistics industry average.


Next Steps

Future Growth

How is FedEx expected to perform in the next 1 to 3 years based on estimates from 22 analysts?

31.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Estimates


Future Annual Growth Analysis

FedEx's revenue is expected to grow by 4% yearly, however this is not considered high growth (20% yearly).

FedEx's earnings are expected to grow significantly at over 20% yearly.

FedEx's revenue growth is positive but not above the United States of America market average.

FedEx's earnings growth is expected to exceed the United States of America market average.

FedEx's earnings growth is expected to exceed the low risk savings rate of 2.7%.


Earnings per Share Growth Estimates


Future Return on Equity

FedEx is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).


Next Steps

Past Performance

How has FedEx performed over the past 5 years?

15.8%

Historical annual earnings growth


Earnings and Revenue History


Past Earnings Growth Analysis

FedEx's year on year earnings growth rate has been positive over the past 5 years, however the most recent earnings are below average.

FedEx's 1-year earnings growth is negative, it can't be compared to the 5-year average.

FedEx's 1-year earnings growth is negative, it can't be compared to the US Logistics industry average.


Return on Equity

FedEx has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).


Return on Assets

FedEx used its assets less efficiently than the US Logistics industry average last year based on Return on Assets.


Return on Capital Employed

FedEx's use of capital deteriorated last year versus 3 years ago (Return on Capital Employed).


Next Steps

Financial Health

How is FedEx's financial position?


Financial Position Analysis

FedEx is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.

FedEx's long term commitments exceed its cash and other short term assets.


Debt to Equity History and Analysis

FedEx's level of debt (99%) compared to net worth is high (greater than 40%).

The level of debt compared to net worth has increased over the past 5 years (31% vs 99% today).

Debt is well covered by operating cash flow (31.9%, greater than 20% of total debt).

Interest payments on debt are not well covered by earnings (EBIT is 3x annual interest expense, ideally 3x coverage).


Balance Sheet

High level of physical assets or inventory.

Debt is not covered by short term assets, assets are 0.7x debt.


Next Steps

Dividend

What is FedEx's current dividend yield, its reliability and sustainability?

1.88%

Expected Dividend Yield


Dividend Yield and Payments Analysis

FedEx's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.49%).

FedEx's dividend is below the markets top 25% of dividend payers in United States of America (3.84%).

Dividends per share have been stable in the past 10 years.

Dividends per share have increased over the past 10 years.


Current Payout to Shareholders

Dividends paid are not well covered by earnings (0.8x coverage).


Future Payout to Shareholders

Dividends after 3 years are expected to be well covered by earnings (5.7x coverage).


Next Steps

Management

What is the CEO of FedEx's salary, the management and board of directors tenure and is there insider trading?

4.0yrs

Average management tenure


CEO

Frederick Smith (75yo)

21.6yrs

Tenure

US$15,961,974

Compensation

Mr. Frederick W. Smith has been Chairman of FedEx Express since 1975. Mr. Smith has been the Chief Executive Officer of FedEx Corporation since January 1998 and served as its President from January 1998 to ...


CEO Compensation Analysis

Frederick's remuneration is higher than average for companies of similar size in United States of America.

Frederick's compensation has been consistent with company performance over the past year, both up more than 20%.


Management Age and Tenure

4.0yrs

Average Tenure

61yo

Average Age

The tenure for the FedEx management team is about average.


Board Age and Tenure

10.2yrs

Average Tenure

64yo

Average Age

The average tenure for the FedEx board of directors is over 10 years, this suggests they are a seasoned and experienced board.


Insider Trading

More shares have been bought than sold by FedEx individual insiders in the past 3 months.


Recent Insider Transactions

BuyUS$100,61415 Jul 19
John Inglis
EntityIndividual
Role
Member of the Board of Directors
Independent Director
Shares600
Max PriceUS$167.69
BuyUS$1,140,44604 Jan 19
David Steiner
EntityIndividual
Role
Lead Director
Lead Independent Director
Shares7,000
Max PriceUS$162.92
BuyUS$225,15618 Oct 18
Susan Griffith
EntityIndividual
Shares1,000
Max PriceUS$225.16

Ownership Breakdown


Management Team

  • Alan Graf (65yo)

    Executive VP & CFO

    • Tenure: 21.6yrs
    • Compensation: US$5.34m
  • Rob Carter (59yo)

    Executive VP of FedEx Information Services & Chief Information Officer

    • Tenure: 19.2yrs
    • Compensation: US$5.96m
  • Frederick Smith (75yo)

    Founder

    • Tenure: 21.6yrs
    • Compensation: US$15.96m
  • John Merino

    Corporate VP & Principal Accounting Officer

    • Tenure: 0.0yrs
  • Raj Subramaniam (53yo)

    President & COO

    • Tenure: 0.4yrs
  • Henry Maier (65yo)

    President & CEO of Fedex Ground

    • Tenure: 6.2yrs
    • Compensation: US$4.72m
  • Mark Allen (63yo)

    Executive VP

    • Tenure: 1.8yrs
    • Compensation: US$4.79m
  • Mickey Foster

    Staff Vice President of Investor Relations

    • Tenure: 0.0yrs
  • Brie Carere (41yo)

    Executive VP and Chief Marketing & Communications Officer

    • Tenure: 0.6yrs
  • Jill Brannon (55yo)

    Executive VP & Chief Sales Officer

    • Tenure: 0.4yrs

Board Members

  • John Edwardson (70yo)

    Independent Director

    • Tenure: 16.2yrs
    • Compensation: US$331.37k
  • Frederick Smith (75yo)

    Founder

    • Tenure: 21.6yrs
    • Compensation: US$15.96m
  • Paul Walsh (64yo)

    Independent Director

    • Tenure: 23.6yrs
    • Compensation: US$315.37k
  • Shirley Jackson (72yo)

    Independent Director

    • Tenure: 20.6yrs
    • Compensation: US$300.37k
  • Susan Schwab (64yo)

    Independent Director

    • Tenure: 10.2yrs
    • Compensation: US$300.37k
  • David Steiner (59yo)

    Lead Independent Director

    • Tenure: 0.0yrs
    • Compensation: US$321.37k
  • R. Martin (67yo)

    Independent Director

    • Tenure: 7.9yrs
    • Compensation: US$300.37k
  • Joshua Ramo (50yo)

    Independent Director

    • Tenure: 7.9yrs
    • Compensation: US$300.37k
  • Kim Jabal (50yo)

    Independent Director

    • Tenure: 5.7yrs
    • Compensation: US$306.37k
  • Chris Inglis (64yo)

    Independent Director

    • Tenure: 3.8yrs
    • Compensation: US$315.37k

Company Information

FedEx Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: FedEx Corporation
  • Ticker: FDX
  • Exchange: NYSE
  • Founded: 1971
  • Industry: Air Freight and Logistics
  • Sector: Transportation
  • Market Cap: US$40.695b
  • Shares outstanding: 260.87m
  • Website: https://www.fedex.com

Number of Employees


Location

  • FedEx Corporation
  • 942 South Shady Grove Road
  • Memphis
  • Tennessee
  • 38120
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
FDXNYSE (New York Stock Exchange)YesCommon StockUSUSDJan 1992
FDX *BMV (Bolsa Mexicana de Valores)YesCommon StockMXMXNJan 1992
FDXDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992
FDXXTRA (XETRA Trading Platform)YesCommon StockDEEURJan 1992
FDXSWX (SIX Swiss Exchange)YesCommon StockCHCHFJan 1992
0QZXLSE (London Stock Exchange)YesCommon StockGBUSDJan 1992
FDXWBAG (Wiener Boerse AG)YesCommon StockATEURJan 1992
FDXB34BOVESPA (Bolsa de Valores de Sao Paulo)BDR EACH REPR 1 COM USD0.10BRBRLAug 2012

Biography

FedEx Corporation provides transportation, e-commerce, and business services worldwide. The company’s FedEx Express segment offers shipping services for delivery of packages and freight. Its FedEx Ground s ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2019/08/18 23:37
End of Day Share Price2019/08/16 00:00
Earnings2019/05/31
Annual Earnings2019/05/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.