UPDATE: Bank of America Upgrades FedEx to Buy

Bank of America upgrades FedEx FDX to Buy from Neutral and raises its price objective on shares to $112 from $91 on valuation compared to peers. Bank of America notes, "We are raising our rating on FedEx shares to Buy from Neutral, and our price objective to $112 from $91, as we round our target multiple to 15x from 14.5x and roll forward to our F2013 EPS estimate as FedEx has passed the mid-point of its F2012 year. UPS' recent results highlight the strength of the domestic economy, a segment where FedEx is gaining market share. FDX shares are currently trading at 12.5x, a 3.1 point discount to UPS' 15.6x multiple on our 2012 EPS estimate." FDX closed at $94.54 a share on Friday.