FedEx Corp FDX shares are trading higher Thursday after multiple analyst firms upgraded the stock and raised their respective price targets following the company's workforce reductions.
- Citigroup analyst Christian Wetherbee upgraded FedEx from Neutral to Buy and raised the price target from $190 to $240.
- BofA Securities analyst Ken Hoexter upgraded FedEx from Neutral to Buy and raised the price target from $204 to $233.
What Happened: On Wednesday, FedEx announced organizational changes that included a more than 10% cut to the company's officer and director team, as well as the consolidation of other teams and functions.
"As you know, we have embarked on a transformation effort to create the world’s most flexible, efficient, and intelligent supply chain for our customers. This process is critical to ensure we remain competitive in a rapidly changing environment," president and CEO Raj Subramaniam said.
"Saying goodbye to longtime colleagues and friends whom we value and respect is extraordinarily difficult. Unfortunately, this was a necessary action to become a more efficient, agile organization," he added.
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FDX Price Action: FedEx has a 52-week high of $251.38 and a 52-week low of $141.92.
The stock was up 5.76% at $213.71 at time of publication, according to Benzinga Pro.
Photo: courtesy of FedEx.
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