On CNBC's "Trading Nation," Steve Chiavarone of Federated Hermes said the rise in e-commerce — and what he said is the economy's exit from recession and move into recovery — is going to be good for deliveries in general and it is going to be specifically good for both FedEx Corporation FDX and United Parcel Service, Inc. UPS.
Chiavarone sees additional upside potential for these companies if they can harness technology to reduce cost and achieve higher margins on their deliveries.
Craig Johnson of Piper Sandler said both FedEx and United Parcel Service could be winners, but if he had to pick one, he would pick FedEx.
UPS has been lagging FedEx over the last month, Johnson said. He also thinks the UPS chart is very extended, with a lot of good news is already priced in — which he said is not the case with FedEx.
FedEx looks like a great downtrend reversal and it looks like it is setting up to retest the old highs. Johnson would be a buyer of FedEx, heading into the earnings print.
FedEx is going to report earnings on Sept. 15.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
