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UPDATE: Oppenheimer Initiates FedEx Corporation with Outperform Rating on Anticipated Revenue Growth

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In a report published Tuesday, Oppenheimer initiated coverage on FedEx Corporation (NYSE: FDX) with an Outperform rating and $124.00 price target.

Oppenheimer noted, “We're initiating coverage of FedEx, a global leader in parcel/freight services, with an Outperform rating/$124 PT. We anticipate mid- to high-single-digit revenue growth over the coming years & operating margin expanding above 10% by CY15 from 7.4% in CY12. Resulting in ~20% adj'd EPS growth annually in FY14-FY16 following a lackluster FY13, drivers include improving US/global economic activity, secular e-commerce growth boosting B2C volumes & increased operational efficiency via FedEx's recently announced restructuring plan targeted at improving annual profitability by $1.65B by FY16. Investors appear to be discounting FedEx's potential to deliver revenue growth/restructuring profitability goals. We anticipate significant appreciation potential as FedEx demonstrates progress over the coming year(s).”

FedEx Corporation closed on Tuesday at $107.91.

Latest Ratings for FDX

DateFirmActionFromTo
Dec 2016Aegis CapitalInitiates Coverage OnBuy
Dec 2016JP MorganInitiates Coverage OnOverweight
Nov 2016BMO CapitalInitiates Coverage OnMarket Perform

View More Analyst Ratings for FDX
View the Latest Analyst Ratings

Posted-In: OppenheimerAnalyst Color Initiation Analyst Ratings

 

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