FedEx Stock (NYSE:FDX), Trade Ideas

FedEx

FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.

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ATSG

LOUISVILLE, Ky. — The exhibit hall at the Omni Hotel here was filled in mid-February with booths representing airlines, logistics providers, airports, truck delivery companies and technology vendors marketing their capabilities to industry peers attending the AirCargo 2024 conference.

ABX Air Pilots Choose Cooperation Over Confrontation

Postal Service&#39;s Air Cargo Shift to UPS Makes Everyone a Winner

SKYW

Shares of FedEx Corporation (NYSE: FDX) declined 3.32% on Apr 1 to $280.13 per share from $289.74 on Mar 28. This downside was mainly due to the non-renewal of the air-cargo contract with United States Postal Service or USPS. The current contract with FedEx will expire on Sep 29, 2024.

FedEx (FDX) Stock Down in Yesterday&#39;s Trading: Here&#39;s Why

FedEx Corp

FENDX TECHNOLOGIES INC by Fendx Technologies Inc.

FendX Technologies Inc

<p>Financial giants have made a conspicuous bullish move on FedEx. Our analysis of options history for FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) revealed 9 unusual trades.</p>
<p>Delving into the details, we found 66% of traders were bullish, while 33% showed bearish tendencies. Out of all the trades we spotted, 4 were puts, with a value of $248,115, and 5 were calls, valued at $150,054.</p>
<h3>What's The Price Target?</h3>
<p>After evaluating the trading volumes and Open Interest, it's evident that the major market movers are focusing on a price band between $200.0 and $300.0 for FedEx, spanning the last three months.</p>
<h3>Insights into Volume &amp; Open Interest</h3>
<p>Assessing the volume and open interest is a strategic step in options trading. These metrics shed light on the liquidity and investor interest in FedEx's options at specified strike prices. The forthcoming data visualizes the fluctuation in volume and open interest for both calls and puts, linked to FedEx's substantial trades, within a strike price spectrum from $200.0 to $300.0 over the preceding 30 days.</p>
<h3>FedEx Option Volume And Open Interest Over Last 30 Days</h3>
<p><img src="https://www.benzinga.com/files/images/story/2024/1713281488_0.png" alt="Options Call Chart" /></p>
<h3>Significant Options Trades Detected:</h3>
<p>
<table>
<thead>
<tr>
<th><strong>Symbol</strong></th>
<th><strong>PUT/CALL</strong></th>
<th><strong>Trade Type</strong></th>
<th><strong>Sentiment</strong></th>
<th><strong>Exp. Date</strong></th>
<th><strong>Ask</strong></th>
<th><strong>Bid</strong></th>
<th><strong>Price</strong></th>
<th><strong>Strike Price</strong></th>
<th><strong>Total Trade Price</strong></th>
<th><strong>Open Interest</strong></th>
<th style="text-align: right;"><strong>Volume</strong></th>
</tr>
</thead>
<tbody>
<tr>
<td>FDX</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>01/17/25</td>
<td>$4.4</td>
<td>$4.25</td>
<td>$4.25</td>
<td>$200.00</td>
<td>$127.5K</td>
<td>1.8K</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>FDX</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>05/17/24</td>
<td>$16.55</td>
<td>$16.35</td>
<td>$16.35</td>
<td>$280.00</td>
<td>$60.4K</td>
<td>1.9K</td>
<td style="text-align: right;">1</td>
</tr>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>01/17/25</td>
<td>$17.45</td>
<td>$16.55</td>
<td>$17.1</td>
<td>$290.00</td>
<td>$34.2K</td>
<td>506</td>
<td style="text-align: right;">20</td>
</tr>
<tr>
<td>FDX</td>
<td>PUT</td>
<td>TRADE</td>
<td>BEARISH</td>
<td>09/19/25</td>
<td>$19.45</td>
<td>$19.25</td>
<td>$19.45</td>
<td>$240.00</td>
<td>$31.1K</td>
<td>496</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>04/26/24</td>
<td>$6.75</td>
<td>$6.55</td>
<td>$6.55</td>
<td>$260.00</td>
<td>$30.1K</td>
<td>87</td>
<td style="text-align: right;">46</td>
</tr>
</tbody>
</table>
</p>
<h3>About FedEx</h3>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<p>Having examined the options trading patterns of FedEx, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance</p>
<h3>Where Is FedEx Standing Right Now?</h3>
<ul>
<li>Trading volume stands at 211,080, with FDX's price down by 0.0%, positioned at $266.74.</li>
<li>RSI indicators show the stock to be may be approaching overbought.</li>
<li>Earnings announcement expected in 63 days.</li>
</ul>
<p>Options are a riskier asset compared to just trading the stock, but they have higher profit potential. Serious options traders manage this risk by educating themselves daily, scaling in and out of trades, following more than one indicator, and following the markets closely.</p>
<p>If you want to stay updated on the latest options trades for FedEx, <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a> gives you real-time options trades alerts.</p>


Options

Spotlight on FedEx: Analyzing the Surge in Options Activity

<p>A significant insider transaction involving the exercise of company stock options was reported on April 9, by <strong>Frederick W Smith</strong>, Executive Chairman at <strong>FedEx</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>), as per the latest SEC filing.</p>
<p><strong>What Happened:</strong> A notable Form 4 filing on Tuesday with the <a href="https://www.sec.gov/Archives/edgar/data/0001048911/000112760224012720//Archives/edgar/data/1048911/000112760224012720/0001127602-24-012720-index.htm">U.S. Securities and Exchange Commission</a> revealed that Smith, Executive Chairman at FedEx, exercised stock options for 159,485 shares of FDX, resulting in a transaction value of $20,564,793.</p>
<p><strong>FedEx</strong> shares are trading down 2.2% at $270.3 at the time of this writing on Wednesday morning. Since the current price is $270.3, this makes Smith's 159,485 shares worth $20,564,793.</p>
<h3>Delving into FedEx's Background</h3>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<h3>A Deep Dive into FedEx's Financials</h3>
<p><strong>Revenue Challenges:</strong> FedEx's revenue growth over 3 months faced difficulties. As of 29 February, 2024, the company experienced a decline of approximately <strong>-1.94%</strong>. This indicates a decrease in top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.</p>
<p><strong>Evaluating Earnings Performance:</strong></p>
<ul>
<li>
<p><strong>Gross Margin:</strong> With a high gross margin of <strong>20.88%</strong>, the company demonstrates effective cost control and strong profitability relative to its peers.</p>
</li>
<li>
<p><strong>Earnings per Share (EPS):</strong> FedEx's EPS is notably higher than the industry average. The company achieved a positive bottom-line trend with a current EPS of <strong>3.55</strong>.</p>
</li>
</ul>
<p><strong>Debt Management:</strong> FedEx's debt-to-equity ratio surpasses industry norms, standing at <strong>1.42</strong>. This suggests the company carries a substantial amount of debt, posing potential financial challenges.</p>
<p><strong>In-Depth Valuation Examination:</strong></p>
<ul>
<li>
<p><strong>Price to Earnings (P/E) Ratio:</strong> The current P/E ratio of <strong>15.95</strong> is below industry norms, indicating potential undervaluation and presenting an investment opportunity.</p>
</li>
<li>
<p><strong>Price to Sales (P/S) Ratio:</strong> The Price to Sales ratio is <b><strong>0.8</strong></b>, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.</p>
</li>
<li>
<p><strong>EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization):</strong> Indicated by a lower-than-industry-average EV/EBITDA ratio of <strong>9.02</strong>, the company suggests a potential undervaluation, which might be advantageous for value-focused investors.</p>
</li>
</ul>
<p><strong>Market Capitalization:</strong> Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.</p>
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<h3>The Importance of Insider Transactions</h3>
<p>Insider transactions, although significant, should be considered within the larger context of market analysis and trends.</p>
<p>Considering the legal perspective, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, according to Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.</p>
<p>Pointing towards optimism, a company insider's new purchase signals their positive anticipation for the stock to rise.</p>
<p>Nevertheless, insider sells may not necessarily indicate a bearish view and can be influenced by various factors.</p>
<h3>Exploring Key Transaction Codes</h3>
<p><a href="https://www.benzinga.com/money/investing-tools">Investors</a> prefer focusing on transactions that take place in the open market, indicated in Table I of the Form 4 filing. A  <strong>P</strong> in Box 3 indicates a purchase, while  <strong>S</strong> indicates a sale. Transaction code <strong>C</strong> indicates the conversion of an option, and transaction code <strong>A</strong> indicates grant, award or other acquisition of securities from the company.</p>
<p><a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0001048911"><strong>Check Out The Full List Of FedEx's Insider Trades.</strong></a></p>
<p><em>This article was generated by Benzinga's automated content engine and reviewed by an editor.</em></p>


Insider Trades

Witnessing An Insider Decision, Frederick W Smith Exercises Options Valued At $20.56M At FedEx

<div>LOUISVILLE, Ky. — The exhibit hall at the Omni Hotel here was filled in mid-February with booths representing airlines, logistics providers, airports, truck delivery companies and technology vendors marketing their capabilities to industry peers attending the AirCargo 2024 conference. The stall with a handful of ABX Air pilots from the Teamsters union stood out.</div>

<p>Pilots never attend air logistics conferences, let alone rent space for a display. Why would they? They don't have anything to sell. They fly the planes. But here they were selling a precious commodity: good will.</p>

<p>Friction is common between unionized labor and employers. That's especially true in the airline industry, where contract negotiations with pilots take years and unions often raise the prospect of going on strike for better pay. The rise in tensions is currently playing out with pilots at <strong>FedEx</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>) Express and <strong>Air Transport International</strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/atsg#NASDAQ">ATSG</a>). Both groups have authorized leaders to call a strike if they ever exhaust strict bargaining procedures under U.S. law.</p>

<p>The pilots at cargo airline ABX Air are trying to break the cycle of adversarial relations in the airline industry and lay the groundwork for a favorable contract by drumming up business for the company.<br /><script type="text/javascript">
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<p>"We feel that if we present a positive image with our customers at these events it will garner some recognition for our commitment to their service" said Andrew Whobrey, a Boeing 767 freighter captain and leader in the Teamsters-run Airline Professionals Association, in an interview. "We're pledging that there will be no delays and we'll do everything we can to serve the customer to the utmost of our ability."</p>

<p>ABX Air operates about 25 aircraft — a mix of Boeing 767-200 and 767-300 converted freighters — and has about 300 pilots. The bulk of the fleet supports DHL Express, with about four aircraft providing dedicated transport for Amazon's air network. </p>

<p>ABX and Air Transport International are owned by the same company — Air Transport Services Group — but the ATI pilots are represented by the Air Line Pilots Association. </p>

<p>Building a cooperative relationship with management is an approach rarely seen in the airline industry. The company's perspective is to save money and boost shareholder returns. Pilots account for a large share of labor costs at airlines. Unions want to get as much compensation for their workers as the market will support.<br /><script type="text/javascript">
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<p>Ken Jacobs, co-chair of the University of California-Berkeley's Center for Labor Research and Education, said there's a long history of unions promoting good union employers. Hotel workers' union Unite Here!, for example, lists good union employers on its local websites. "They want to drive people to employers that do right by their workers," he said.</p>

<p>That level of collegiality is not frequently seen in the airline industry, Jacobs acknowledged. </p>

<div><img alt="" src="https://www.freightwaves.com/wp-content/uploads/2024/04/09/ABX-Air-pilots_4-1200x675.jpg" /><p><em>Capt. Andrew Whobrey, a member of the ABX Executive Council, second from right. (Photo: Airforwarders Ass.)</em></p>
</div>

<p>The ABX pilots have internalized the English proverb that you catch more flies with honey than vinegar. The philosophy that there is a better chance of winning over management to their contract expectations by playing nice is born from the repercussions of a work stoppage nearly eight years ago.</p>

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<p>Pilots walked off the job days before the Black Friday shopping weekend in November 2016, forcing dozens of flights to be canceled. But a judge ordered them back to work one day later after determining the strike would cause severe economic harm. He also rejected the union's claim that ATSG had violated the collective bargaining agreement by not allowing pilots compensatory time or to take earned vacation after asking them to work overtime for two years. </p>

<p>Airlines fall under restrictive labor rules designed to prevent damage to interstate commerce that could have a widespread economic impact. Any impasse in collective bargaining has to go through a lengthy process, including mediation and arbitration, before either side can take unilateral action.</p>

<p>The short-lived strike raised concerns at DHL and Amazon about ABX Air's reliability. It took several years before the express carriers requested additional flying from ABX. </p>

<p>Six years after the prior contract was eligible for amendment in 2014, the ABX pilots finally ratified a six-year contract on Dec. 30, 2020. </p>

<p>The bruises from that battle have motivated the pilots to act as brand ambassadors for ABX and ATSG.<br /><script type="text/javascript">
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<p>"It was a long road to a collective bargaining agreement. It was a very lean time," Whobrey said. "If we can help ABX grow and get business, that's good for the pilots. Because a rising tide raises all boats."</p>

<p>In addition to AirCargo 2024, the Airline Professionals Association, also known as Teamsters Local 1224, has attended symposiums for freighter operators and manufacturers held in San Diego and Amsterdam since last summer. </p>

<p>The number of freighters ABX flies for Amazon has recently declined with lease expirations on 767-200s that have reached the end of their life cycle. Whobrey expressed hope that Amazon will eventually lease newer 767-300s from ATSG and place the aircraft on ABX's operating certificate. </p>

<p>The collective bargaining agreement with ABX and ATSG is eligible to be updated at the start of 2026. The Teamster pilots would look for improvements based on market conditions and for parity with peer airlines, but aren't seeking pay scales like those at <strong>United Airlines</strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/ual#NASDAQ">UAL</a>) or <strong>UPS</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ups#NYSE">UPS</a>). </p>

<p>"We don't feel like we have to be the highest paid, but we don't want to be the lowest paid" Whobrey said.</p>

<p>Pilots at sister carrier Air Transport International have been locked in talks for three and a half years. Union leadership recently blamed ATSG for slow-walking negotiations until the company's contract with Amazon is renewed in two years. Meanwhile, FedEx Express pilots last year rejected a tentative agreement and recently replaced key union leaders with ones willing to take a more uncompromising stance. </p>

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<p>Whobrey said it makes sense for ATSG to wait and see what happens with the Amazon contract because they have to know what their potential revenue is going to be before giving pilots an increase.</p>

<p>He predicted other airline unions will follow the Airline Professionals Association's path if ABX grows and economic benefits flow to the pilots.</p>

<p>"We want to be part of the solution, not part of the problem."</p>

<h2 id="h-recommended-reading">The post <a href="https://www.freightwaves.com/news/abx-air-pilots-choose-cooperation-over-confrontation">ABX Air pilots choose cooperation over confrontation </a> appeared first on <a href="https://www.freightwaves.com">FreightWaves</a>.</h2>

<div>The U.S. Postal Service's decision this week not to renew a contract with <strong>FedEx</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>), worth more than $1.5 billion per year, for domestic air transport and award it to UPS after more than two decades actually benefits all three parties, according to industry analysts. </div>

<p>At face value, the arrangement seems a blow for FedEx, which will lose one its biggest customers when the existing contract expires on Sept. 29. And it raises questions about how <strong>UPS</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ups#NYSE">UPS</a>) can make a decent profit flying mail if rival FedEx was struggling to do so. </p>

<p>But experts said the change meets the needs of the three organizations, each of which is undergoing substantial transformation in a shifting parcel environment. For FedEx Express, losing the postal business means it now has the freedom to aggressively move ahead with shrinking its large air network in conjunction with a huge corporate initiative to control costs.</p>

<p>The new agreement has a minimum base term of five and a half years, under which UPS will transport first-class mail, Priority Mail and Priority Express Mail.<br /><script type="text/javascript">
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<p>"It's a win-win-win" said Satish Jindel, president of parcel shipping consultancy ShipMatrix, told Freightwaves.</p>

<p>The long-standing relationship between FedEx and the U.S. Postal Service was widely expected to change. The only question was whether FedEx would relinquish some, or all, of the air cargo business.</p>

<p>It was difficult for the express carrier to eke out a profit as the Postal Service in recent years shifted volume from air to ground transportation to improve truck utilization and reduce expenses as demand for next-day service decreased. The quasigovernmental agency implemented new delivery standards to help with that transition. It now promises Priority Mail service in one to three days instead of two days and has extended delivery windows for Ground Advantage packages. The latest goal is to cut overall transportation costs by $3 billion over the next two years. </p>

<p>A large portion of FedEx Express' air network is geared to daytime flying for the Postal Service. The company had to absorb more per-unit operating costs as the traditional postal subsidy for its fixed infrastructure slowly evaporated. FedEx's payments from the Postal Service dropped to $1.6 billion in the fiscal year that ended Sept. 30, 2023, from $1.9 billion, said David Hendel, a transportation attorney at Culhane Meadows who tracks the Postal Services' top suppliers. His report last year showed FedEx's revenue from the Postal Service was more than $2.1 billion in fiscal year 2021.<br /><script type="text/javascript">
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<p>Company executives repeatedly made clear that they were willing to walk away from the postal business unless it included more favorable terms and a smaller route structure.</p>

<p>Jindel said losing the postal contract is a blessing in disguise for FedEx, which is undergoing a watershed consolidation of its FedEx Express, Ground and Freight units into a single network – something management had long resisted and projects will provide $2 billion in annual efficiency gains. </p>

<p>"It probably makes sense for them not to be aggressive in trying to retain that business, and focus on getting the integration right. And then, when that opportunity comes up again they may be in a more cost effective position to bid on it" said Jindel, a founding member of small-package carrier RPS that FedEx acquired in 1998 and renamed FedEx Ground. </p>

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<p>FedEx's campaign to take out $4 billion in structural costs by the end of fiscal year 2025 already includes accelerating the retirement of aging aircraft, parking underutilized aircraft until demand picks up and relying more on truck feeder services. The company is also redesigning the air network to move express and deferred shipments in segregated overnight and daytime blocks to improve efficiency. </p>

<p>Barclays transportation analyst Brandon Oglenski said in a research note that FedEx is likely to remove significant capacity from its air network next year when it no longer needs infrastructure to support the Postal Service, which will help boost the Express unit's profit margins. </p>

<p>Freight experts said FedEx will be able to cut daytime flying and consolidate routes. </p>

<p>"With the U.S. Postal Service now out of the picture, and volume decreasing, FedEx will probably look to consolidate aircraft operations in small-to-medium sized markets within close proximity, to drive savings" said Dean Maciuba, managing partner at Crossroads Parcel Consulting and a longtime FedEx executive. "However, this type of operational change could also drive earlier pickup and later delivery times in the market that loses its aircraft."</p>

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<p>Anthony DeReijter, an analyst at global research firm Third Bridge, said FedEx could collapse routes for Great Falls and Billings, Montana, for example, "and take out redundant flight hours."<br />
Another way FedEx can reduce costs, Maciuba explained, is by outsourcing ground support services at smaller air stations that are currently held by more expensive employees or shrinking teams by combining duties since there will be fewer flights.</p>

<p>Savings will be less if management redeploys aircraft under the new "Tricolor" initiative to go after more deferred freight, Oglenski said. FedEx has said it plans to use international and domestic daytime flights to handle shipments common to the less-than-truckload sector, which it distinguishes from low-yielding general cargo typically handled by freight forwarders. </p>

<p>Pilots will be one of the primary losers as FedEx shrinks its airline. A FedEx executive said in a private meeting late last year, <a href="https://www.freightwaves.com/news/fedex-pilots-face-pay-cuts-buyouts-as-contract-talks-resume">reported by FreightWaves</a>, that up to 300 pilots would no longer be needed if postal flying was substantially reduced. The number of surplus pilots is likely higher than that with the contract's complete termination now confirmed. </p>

<h2 id="h-ups-to-run-different-postal-playbook"><strong>UPS to run different postal playbook</strong></h2>

<p>On the other side of the ledger, UPS gets a contract with a five-and-a-half-year minimum base term that adds about $1.5 billion to its top line.</p>

<p>Some investment analysts expressed concern that UPS returns from the Postal Service business will be marginal and won't help achieve the target 13% operating margin by 2026. </p>

<p>Jindel said that won't be a problem because UPS is laser-focused on costs and will save money by using its ground network to support the air cargo contract—something FedEx wasn't able to do because its air and ground networks were siloed. </p>

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<p>"UPS has been running an integrated air and ground network for over 25 to 30 years. I don't see them having to add any extra airplanes. So it helps them offset that fixed cost and spread that over another base of packages" he said. </p>

<div><img alt="" src="https://www.freightwaves.com/wp-content/uploads/2024/04/04/091821-1001-1200x675.jpg" /><p>UPS is expected to use its line haul fleet to move a portion of air cargo volumes for the U.S. Postal Service. (Photo: Jim Allen/FreightWaves)</p>
</div>

<p>Oglenski agreed, saying UPS likely offered the U.S. Postal Service cheaper line haul transportation services "by relying less on air capacity, especially between market locations that can be reached with one to two day trucking solutions." UPS might need to deploy some incremental air assets in the daytime air network because its fleet is much smaller than FedEx's, he added, but any extra costs are probably covered through the new contract. </p>

<p>Plus, the postal volumes help backfill Second-Day Air volumes UPS has lost in recent years as the retailer does more two-day delivery with its own logistics network, noted Derek Lossing, a former Amazon logistics executive who runs consulting firm Cirrus Global Advisors, on LinkedIn. UPS said average daily package volume fell 7.4% in the fourth quarter, with the deferred air product falling faster (18.9%) than next-day air or ground. </p>

<p>UPS also had an advantage in its negotiations with the Postal Service, Jindel said. For years, FedEx and UPS have offered retailers products that balance between speed and price by injecting packages in the postal network for final-mile delivery. FedEx over time shifted that last-mile delivery traffic in-house to FedEx Ground drivers, while UPS still gives 60% of SurePost packages to the Post Office. And UPS Mail Innovations gives nearly 100% of its lightweight parcels and bulk mail, such as annual reports, to the U.S. Postal Service for the last mile. </p>

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<p>"You would have to expect that the Post Office would look more favorably to them for the air service" Jindel said.</p>

<p>The post <a href="https://www.freightwaves.com/news/postal-services-air-cargo-shift-to-ups-makes-everyone-a-winner">Postal Service's air cargo shift to UPS makes everyone a winner </a> appeared first on <a href="https://www.freightwaves.com">FreightWaves</a>.</p>

Postal Service's Air Cargo Shift to UPS Makes Everyone a Winner

<p>Stifel  analyst J. Bruce Chan   maintains FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) with a Buy and lowers the price target from $306 to $303.</p>


Price Target

Analyst Ratings

Stifel Maintains Buy on FedEx, Lowers Price Target to $303

<p>Shares of <strong>FedEx Corporation</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>)&nbsp;declined 3.32% on Apr 1 to $280.13 per share from $289.74 on Mar 28. This downside was mainly due to the non-renewal of the air-cargo contract with United States Postal Service or USPS. The current contract with FedEx will expire on Sep 29, 2024.</p>
<p>While releasing its third-quarter fiscal 2024 results last month, management stated that it was negotiating for a new multi-year agreement with USPS so that FDX remains as the primary air-cargo provider for USPS. The non-renewal of the contract means that mutually acceptable terms could not be reached, thereby bringing an end to a relationship between FDX and USPS, that lasted for more than two decades.</p>
<p>The end of this long-standing relationship naturally disappointed FDX&#39;s investors, resulting in the stock price depreciation on Apr1. It, however, remains committed to provide outstanding air transportation services to USPS till Sep 29.</p>
<p>FedEx has been replaced by <strong>United Parcel Service</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ups#NYSE">UPS</a>) as USPS&#39; primary air-cargo provider. The contract, which has a minimum base term of five-and-a-half years, is scheduled to begin on Sep 30, 2024. Financial details of UPS&#39; agreement with USPS were not released.</p>
<p>Expressing delight at the development that significantly expands its existing relationship with USPS, Carol Tome, UPS&#39; CEO said, &quot;Together UPS and USPS have developed an innovative solution that is mutually beneficial and complements our unique, reliable and efficient integrated network&quot;. The finalization of the agreement with UPS is in sync with USPS&#39; goal to optimize and improve the efficiency of national as well as local transportation. USPS aims to reduce overall transportation cost by $3 billion over the next two years, including the already achieved air-freight cost savings of $1 billion.&nbsp;</p>
<h3>Zacks Rank</h3>
<p>Currently, both FDX and UPS carry a Zacks Rank #3 (Hold).</p>
<p>Investors interested in the broader&nbsp;Transportation&nbsp;sector may consider <strong>SkyWest</strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/skyw#NASDAQ">SKYW</a>),presently sporting a Zacks Rank #1 (Strong Buy).</p>
<p>SkyWest&#39;s fleet modernization efforts are commendable. Upbeat air-travel demand also supports SKYW well. The Zacks Consensus Estimate for SKYW&#39;s 2024 earnings has improved 26.3% over the past 60 days. The stock has surged 213% in the past year.</p>
<p>SKYW has an expected earnings growth rate of more than 100% for 2024. The company delivered a trailing four-quarter earnings surprise of 128.02%, on average.</p>
<p><a href="https://www.zacks.com/stock/news/2248895/fedex-fdx-stock-down-in-yesterday-s-trading-here-s-why?cid=CS-BENZ-FT-analyst_blog|company_news_-_corporate_actions-2248895">To read this article on Zacks.com click here.</a></p>


FedEx (FDX) Stock Down in Yesterday's Trading: Here's Why

<div>The collapse of Maryland's Francis Scott Key Bridge Tuesday after it was struck by a cargo ship continues to block access to the Port of Baltimore and could disrupt shipping flows across the U.S.</div>

<p>The Singapore-flagged MV Dali container ship collided with the bridge around 1:35 a.m. on Tuesday. At least six people remain unaccounted for, CNN reports. With rescue and recovery operations ongoing, it's unclear how long debris from the bridge will block the Patapsco River, which leads to the Port of Baltimore.</p>

<p>For the shipping community, the accident will affect maritime lanes as carriers must seek alternative ports of call while the collapsed bridge continues to block the river, experts said.</p>

<p>"Are any container vessels currently trapped in the bay? That is question No. 1" Sanne Manders, president of international at Flexport, told FreightWaves. "Right now, there are two vessels trapped: the ship that caused the collision and another general cargo container vessel that is currently trapped."</p>

<p>The Port of Baltimore is the deepest harbor in Maryland's Chesapeake Bay, with five public and 12 private terminals. The port administration did not immediately respond to a request for comment. Port officials posted on social media that they do not know how long ship traffic in and out of the port will be suspended, although trucks are still being processed.</p>

<p>The Francis Scott Key Bridge collapsed early Tuesday morning after being struck by the MV Dali container ship.</p>

<p>Manders said another important consideration is the scores of commercial vessels that regularly call at the Port of Baltimore.</p>

<p>"In the next few weeks, 107 vessels will not be able to call that port and will have to divert to other ports" Manders said. "The question is, are other ports able to absorb that capacity? The reality is that Baltimore is an important port, but for containerized trade, it is relatively small."</p>

<p>In 2023, the Port of Baltimore handled $80.8 billion in trade, including 1.1 million twenty-foot equivalent units, 1.3 million tons of roll-on/roll-off farm and construction machinery, 11.7 million tons of general cargo, and 847,158 shipments of cars and light trucks.</p>

<p>A number of major companies have distribution warehouses and other facilities at or near the port, including <strong>Amazon</strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/amzn#NASDAQ">AMZN</a>), <strong>FedEx</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>) and <strong>BMW</strong> (OTC: <a class="ticker" href="https://www.benzinga.com/stock/bmwyy#OTC">BMWYY</a>).</p>

<p>In Maryland, most of the freight is regional, with about 36% of trucking tender volume staying in the state. An additional 22% goes to Pennsylvania and 15% goes to Virginia.</p>

<p>Rachel Shames, vice president of pricing and procurement for CV International, a Norfolk, Virginia-based international logistics and transportation company, wrote in a market update that the collision is expected to create a temporary increase in cargo volume at other East Coast ports.</p>

<p>"The full impacts of this disaster are not yet known, but it's likely that nearby East Coast ports, including Norfolk, Philadelphia, New York and others will absorb cargo traffic from Baltimore in the short term" Shames wrote. "This sudden increase in volume may strain operations at other ports."</p>

<p><img alt="otms.bal_.jpg" src="https://www.benzinga.com/files/u1593113/otms.bal_.jpg" /></p>

<p>Baltimore is the 24th-largest outbound trucking market in the U.S., currently totaling about 1.24% of all tractor-trailers, according to FreightWaves SONAR's Outbound Tender Market Share Index (OTMS.BWI).</p>

<p>Manders said what makes the Port of Baltimore unique is the volume of roll-on/roll-off cargo it handles, such as passenger vehicles, along with agricultural and industrial equipment.</p>

<p>"Then you're also getting into agricultural exports — rice, sugar, fertilizers, forestry products. It's pretty big in Baltimore. Then there's also a big paper industry there and construction materials" Manders said. "I do think in other commodities and cars, this will have a major impact. There are also some metal exchange warehouses for nickel, tin and copper in Baltimore. Now those can also be moved to other ports, but those are bulky materials, and they don't move them very easily."</p>

<p>Jeff Leppert, executive vice president of modal operations at Redwood Logistics, said some of the company's shipper customers have several ships currently stuck at the port.</p>

<p>"Other impacts include the Port of Baltimore's fueling depot, which is currently unable to take fueling shipments for the near future" Leppert told FreightWaves. "The stretch of I-695 that collapsed with the bridge is the only hazmat-approved bridge in the area, so those shipments will have a large diversion in the region and beyond."</p>

<p>He said all deep-water ships, vessels with a controlling depth of 50 feet, will have to be diverted to ports such as Norfolk and New York/NewJersey.</p>

<p>"We are currently working with all of our shipping customers to find solutions now and for the coming months" Leppert said.</p>

<p>The Mediterranean Shipping Co. and Zim Integrated Shipping Services Ltd. are two of the Port of Baltimore's largest shipping lines. Neither company immediately responded to a request for comment from FreightWaves.</p>

<p>Paul Brashier, vice president of drayage and intermodal at ITS Logistics, said the priority right now is to ensure clients are making plans for containers that were originally routed to Baltimore.</p>

<p>"These shipments will be discharged to other ports on the Eastern Seaboard" Brashier said. "This also means that we must prepare trucking and transload capacity to be able to transport the impacted freight to the appropriate initial location."</p>

<p>The post <a href="https://www.freightwaves.com/news/baltimore-bridge-collapse-may-cost-billions-dramatically-disrupt-supply-chains">Baltimore bridge collapse may cost billions, dramatically disrupt supply chains</a> appeared first on <a href="https://www.freightwaves.com">FreightWaves</a>.</p>
 

General

AMZN

BMWYY

Baltimore Bridge Collapse May Cost Billions, Dramatically Disrupt Supply Chains

<p>Top Wall Street analysts changed their outlook on these top names. For a complete view of all analyst rating changes, including upgrades and downgrades, please see our <a href="https://www.benzinga.com/analyst-ratings/">analyst ratings page</a>.</p>
<ul>
<li>Susquehanna boosted the price target for <strong> Taiwan Semiconductor Manufacturing Company Limited </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/tsm#NYSE">TSM</a>) from $160 to $180. Susquehanna analyst Mehdi Hosseini maintained a Positive rating. Taiwan Semiconductor shares gained 4% to close at $141.49 on Monday. <a href="https://www.benzinga.com/quote/TSM/analyst-ratings">See how other analysts view this stock</a>.</li>
<li>Seaport Global increased the price target for <strong> Nuvei Corporation </strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/nvei#NASDAQ">NVEI</a>) from $29 to $34. Seaport Global analyst Jeff Cantwell downgraded the stock from Buy to Neutral. Nuvei shares gained 2.5% to close at $32.41 on Monday. <a href="https://www.benzinga.com/quote/NVEI/analyst-ratings">See how other analysts view this stock.</a></li>
<li>Truist Securities increased <strong> Lowe&#39;s Companies, Inc. </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/low#NYSE">LOW</a>) price target from $258 to $271. Truist Securities analyst Scot Ciccarelli maintained a Buy rating. Lowe&#39;s shares fell 2.1% to close at $249.28 on Monday. <a href="https://www.benzinga.com/quote/LOW/analyst-ratings">See how other analysts view this stock.</a></li>
<li>Mizuho boosted the price target for <strong> The Southern Company </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/so#NYSE">SO</a>) from $73 to $76. Mizuho analyst Anthony Crowdell maintained a Buy rating. Southern shares fell 0.9% to close at $71.10 on Monday. <a href="https://www.benzinga.com/quote/SO/analyst-ratings">See how other analysts view this stock</a>.</li>
<li>B of A Securities cut <strong> FedEx Corporation </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>) price target from $346 to $340. B of A Securities analyst Ken Hoexter maintained a Buy rating. FedEx shares fell 3.3% to close at $280.13 on Monday. See how other analysts view this stock.</li>
<li>BMO Capital slashed <strong> BCE Inc. </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/bce#NYSE">BCE</a>) price target from $54 to $46. BMO Capital analyst Tim Casey downgraded the stock from Outperform to Market Perform. BCE shares fell 0.5% to close at $33.80 on Monday. <a href="https://www.benzinga.com/quote/BCE/analyst-ratings">See how other analysts view this stock.</a></li>
<li>TD Cowen boosted the price target for <strong> Domino&#39;s Pizza, Inc. </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/dpz#NYSE">DPZ</a>) from $525 to $550. TD Cowen analyst Andrew Charles maintained a Buy rating. Domino&#39;s shares fell 0.6% to close at $493.92 on Monday. <a href="https://www.benzinga.com/quote/DPZ/analyst-ratings">See how other analysts view this stock.</a></li>
<li>Truist Securities increased <strong> AutoZone, Inc. </strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/azo#NYSE">AZO</a>) price target from $3,363 to $3,523. Truist Securities analyst Scot Ciccarelli maintained a Buy rating. AutoZone shares gained 0.5% to close at $3,168.60 on Monday. <a href="https://www.benzinga.com/quote/AZO/analyst-ratings">See how other analysts view this stock.</a></li>
<li>Piper Sandler raised <strong> Shockwave Medical, Inc. </strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/swav#NASDAQ">SWAV</a>) price target from $290 to $360. Piper Sandler analyst Adam Maeder maintained an Overweight rating. Shockwave Medical shares fell 1.6% to close at $320.51 on Monday. <a href="https://www.benzinga.com/quote/SWAV/analyst-ratings">See how other analysts view this stock.</a></li>
<li>Desjardins boosted <strong> BRP Inc. </strong> (NASDAQ: <a class="ticker" href="https://www.benzinga.com/stock/dooo#NASDAQ">DOOO</a>) price target from $112 to $137. Desjardins analyst Benoit Poirier maintained a Buy rating. BRP shares climbed 7.6% to close at $72.17 on Monday. <a href="https://www.benzinga.com/quote/DOOO/analyst-ratings">See how other analysts view this stock</a>.</li>
</ul>
<p>&nbsp;</p>
<p>Check This Out: <a href="https://www.benzinga.com/news/earnings/24/04/38039337/paychex-pvh-and-3-stocks-to-watch-heading-into-tuesday"><em> Paychex, PVH And 3 Stocks To Watch Heading Into Tuesday </em></a></p>


DOOO

NVEI

SWAV

Domino's Pizza To Rally Over 11%? Here Are 10 Top Analyst Forecasts For Tuesday

<p>B of A Securities  analyst Ken Hoexter   maintains FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) with a Buy and lowers the price target from $346 to $340.</p>


B of A Securities Maintains Buy on FedEx, Lowers Price Target to $340

<p>In the competitive realm of logistics and shipping, two giants stand at the forefront: <strong>United Parcel Service Inc </strong>(NYSE:<a class="ticker" href="https://www.benzinga.com/stock/UPS#NYSE">UPS</a>) and <strong>FedEx Corp</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>). As these industry titans vie for dominance, recent developments have brought their strategies and performances <a href="https://www.benzinga.com/markets/equities/24/04/38024379/whats-going-on-with-ups-shares-today">into sharp focus</a>.</p>
<p><figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="750" height="650" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133038/UPS-Vs.-FDX-Price.png" alt="" class="wp-image-272309" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133038/UPS-Vs.-FDX-Price.png 750w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133038/UPS-Vs.-FDX-Price-300x260.png 300w" sizes="(max-width: 750px) 100vw, 750px" /></figure></p>
<p><em>Also Read: <a href="https://www.benzinga.com/news/24/04/38025335/why-fedex-stock-is-sliding-monday">Why FedEx Stock Is Sliding Monday</a></em></p>
<h2 class="wp-block-heading"><strong>UPS Secures Major Deal</strong></h2>
<p>UPS recently clinched a significant victory by securing a contract to become the primary air cargo provider for the United States Postal Service (USPS). This effectively ends FedEx&#8217;s 20-year partnership with the postal service provider.</p>
<p>USPS was the largest customer for FedEx&#8217;s air-based Express segment. However, payments to FedEx have been declining as USPS transitioned its transportation methods from planes to more cost-effective trucks, as part of operational enhancements.</p>
<p>Under the new contract, UPS will be handling the majority of air cargo operations for USPS, marking a substantial milestone in the company&#8217;s growth trajectory. </p>
<p>While specific financial terms remain undisclosed, the deal represents a strategic move for UPS to bolster its market position and expand its revenue streams.</p>
<h2 class="wp-block-heading">UPS Vs. FedEx: Stock Performance &amp; Valuation</h2>
<p>Amidst these developments, investors are closely monitoring the financial performance of both UPS and FedEx. </p>
<p>Over the past year, UPS has seen its stock decline by 20.97%, while FedEx has witnessed a robust increase of 25.34%.</p>
<p><figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="650" height="450" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133137/UPS-Vs-FDX-pe-chart.png" alt="" class="wp-image-272310" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133137/UPS-Vs-FDX-pe-chart.png 650w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133137/UPS-Vs-FDX-pe-chart-300x208.png 300w" sizes="(max-width: 650px) 100vw, 650px" /></figure></p>
<p><em>Data Source: Yahoo Finance</em></p>
<p>Looking ahead, analysts scrutinize various metrics to gauge future growth prospects. </p>
<p>In terms of forward price-to-earnings (P/E) ratio, UPS stands at 15.31, slightly higher than FedEx&#8217;s 13.24. </p>
<p>This metric suggests that investors may be paying a premium for UPS&#8217;s earnings compared to FedEx.</p>
<p><figure class="wp-block-image size-full"><img loading="lazy" decoding="async" width="650" height="850" src="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133211/UPS-Vs.-FDX-consensus-chart.png" alt="" class="wp-image-272311" srcset="https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133211/UPS-Vs.-FDX-consensus-chart.png 650w,https://editorial-assets.benzinga.com/wp-content/uploads/2024/04/01133211/UPS-Vs.-FDX-consensus-chart-229x300.png 229w" sizes="(max-width: 650px) 100vw, 650px" /></figure></p>
<p><em>Data Source: Yahoo Finance</em></p>
<p>According to analysts, UPS holds a potential upside of 7.18%, while FedEx boasts an even higher upside of 11.2%. This reflects optimistic projections regarding the future performance and growth prospects of both companies.</p>
<p>As UPS and FedEx navigate through dynamic market conditions and evolving consumer demands, the air cargo showdown between these industry giants intensifies. </p>
<p>While UPS&#8217;s partnership with USPS signals a significant win, FedEx&#8217;s strong stock performance and favorable analyst consensus highlight its resilience and competitive prowess. As investors weigh these factors, the battle for supremacy in the logistics arena continues to unfold, shaping the future of global shipping and delivery services.</p>
<p><em>Read Next: <a href="https://www.benzinga.com/trading-ideas/long-ideas/24/03/37979578/these-3-industrials-stocks-with-over-3-dividend-yields-are-recommended-by-wall-streets-m">These 3 Industrials Stocks With Over 3% Dividend Yields Are Recommended By Wall Street&#8217;s Most Accurate Analysts</a></em></p>
<p><em>Image: Shutterstock</em></p>


UPS Vs. FedEx: Which Stock Boasts A Higher Upside? Here's What Analysts Say

<p><strong>FedEx Corp</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) shares are trading lower Monday after the company announced it will end domestic transportation services for the <a href="https://www.benzinga.com/news/23/03/31134628/us-postal-service-looks-electric-heres-the-latest-winners-in-new-round-of-truck-contracts">United States Postal Service this year</a>.</p>
<p><strong>What Happened:</strong> FedEx said it failed to reach an agreement on mutually beneficial terms with USPS following extensive discussions that concluded on March 29. As a result, the company&#8217;s agreement to provide domestic transportation services for USPS will expire by its terms on September 29, 2024. </p>
<p>FedEx Express will continue to provide&nbsp;air transportation services domestically and to Puerto Rico through the contract expiration.</p>
<p><em>Don&#8217;t Miss This: <a href="https://www.benzinga.com/24/03/37988060/ups-unveils-ambitious-growth-strategy-at-2024-investor-day-targets-114-billion-revenue-by-2026-amid">UPS Unveils Ambitious Growth Strategy at 2024 Investor Day, Targets $114 Billion Revenue by 2026 Amid Market Reset</a></em></p>
<p>While FedEx failed to reach an agreement, UPS announced that it received a significant air cargo contract&nbsp;from USPS on Monday. The FedEx competitor said it&#8217;s set to become the USPS&#8217;s primary air cargo provider and move the majority of USPS air cargo in the U.S.</p>
<p><strong>FDX Price Action:</strong> <a href="https://www.benzinga.com/quote/FDX">FedEx shares</a> were down 2.13% at $283.58 at the time of publication, according to <a href="http://pro.benzinga.com">Benzinga Pro</a>.</p>
<p><em>Photo: Shutterstock.</em></p>


Movers

Why FedEx Stock Is Sliding Monday

WIIM

FedEx shares are trading lower after the company announced it will end domestic transportation services for USPS by Sept. 29, 2024.

Contracts

FedEx To End Domestic Transportation Services For USPS By September 29, 2024, After Failing To Reach Contract Extension

<p>A significant insider transaction involving the exercise of company stock options was reported on March 28, by <strong>R. Brad Martin</strong>, Director at <strong>FedEx</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>), as per the latest SEC filing.</p>
<p><strong>What Happened:</strong> A Form 4 filing with the <a href="https://www.sec.gov/Archives/edgar/data/0001048911/000112760224011380//Archives/edgar/data/1048911/000112760224011380/0001127602-24-011380-index.htm">U.S. Securities and Exchange Commission</a> on Thursday revealed that Martin, Director at FedEx in the Industrials sector, exercised stock options for 2,535 shares of FDX stock. The exercise price of the options was $160.53 per share.</p>
<p><strong>FedEx</strong> shares are currently trading up by 0.39%, with a current price of $289.0 as of Friday morning. This brings the total value of Martin's 2,535 shares to $325,684.</p>
<h3>Discovering FedEx: A Closer Look</h3>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<h3>FedEx: Delving into Financials</h3>
<p><strong>Decline in Revenue:</strong> Over the 3 months period, FedEx faced challenges, resulting in a decline of approximately <strong>-1.94%</strong> in revenue growth as of 29 February, 2024. This signifies a reduction in the company's top-line earnings. In comparison to its industry peers, the company stands out with a growth rate higher than the average among peers in the Industrials sector.</p>
<p><strong>Analyzing Profitability Metrics:</strong></p>
<ul>
<li>
<p><strong>Gross Margin:</strong> The company maintains a high gross margin of <strong>20.88%</strong>, indicating strong cost management and profitability compared to its peers.</p>
</li>
<li>
<p><strong>Earnings per Share (EPS):</strong> FedEx's EPS is significantly higher than the industry average. The company demonstrates a robust bottom-line performance with a current EPS of <strong>3.55</strong>.</p>
</li>
</ul>
<p><strong>Debt Management:</strong> The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of <strong>1.42</strong>, caution is advised due to increased financial risk.</p>
<p><strong>Financial Valuation:</strong></p>
<ul>
<li>
<p><strong>Price to Earnings (P/E) Ratio:</strong> The current P/E ratio of <strong>16.61</strong> is below industry norms, indicating potential undervaluation and presenting an investment opportunity.</p>
</li>
<li>
<p><strong>Price to Sales (P/S) Ratio:</strong> The Price to Sales ratio is <b><strong>0.83</strong></b>, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.</p>
</li>
<li>
<p><strong>EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization):</strong> The company's EV/EBITDA ratio of <strong>9.27</strong> trails industry averages, indicating a potential disparity in market valuation that could be advantageous for investors.</p>
</li>
</ul>
<p><strong>Market Capitalization:</strong> Positioned above industry average, the company's market capitalization underscores its superiority in size, indicative of a strong market presence.</p>
<p><a href="https://www.schwab.com/brokerage?aff=XEC"><em>Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</em></a></p>
<h3>The Relevance of Insider Transactions</h3>
<p>Insider transactions serve as a piece of the puzzle in investment decisions, rather than the entire picture.</p>
<p>Within the legal framework, an "insider" is defined as any officer, director, or beneficial owner holding more than ten percent of a company's equity securities as per Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and major hedge funds. These insiders are mandated to disclose their transactions through a Form 4 filing, to be submitted within two business days of the transaction.</p>
<p>The initiation of a new purchase by a company insider serves as a strong indication that they expect the stock to rise.</p>
<p>However, insider sells may not always signal a bearish view and can be influenced by various factors.</p>
<h3>Transaction Codes To Focus On</h3>
<p>Navigating through the landscape of transactions, <a href="https://www.benzinga.com/money/investing-tools">investors</a> often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A <strong>P</strong> in Box 3 denotes a purchase, while <strong>S</strong> signifies a sale. Transaction code <strong>C</strong> signals the conversion of an option, and transaction code <strong>A</strong> denotes a grant, award, or other acquisition of securities from the company.</p>
<p><a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0001048911"><strong>Check Out The Full List Of FedEx's Insider Trades.</strong></a></p>
<p><em>This article was generated by Benzinga's automated content engine and reviewed by an editor.</em></p>


Director At FedEx Exercises Options Worth $325K

<p>Highlighted on March 27, it was unveiled in an SEC filing that Schwab, Director at <strong>FedEx</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>), executed a significant transaction involving the exercise of company stock options.</p>
<p><strong>What Happened:</strong> A notable Form 4 filing on Wednesday with the <a href="https://www.sec.gov/Archives/edgar/data/0001048911/000112760224011311//Archives/edgar/data/1048911/000112760224011311/0001127602-24-011311-index.htm">U.S. Securities and Exchange Commission</a> revealed that Schwab, Director at FedEx, exercised stock options for 6,145 shares of FDX, resulting in a transaction value of $843,667.</p>
<p><strong>FedEx</strong> shares are currently trading down by 0.31%, with a current price of $287.0 as of Thursday morning. This brings the total value of Schwab's 6,145 shares to $843,667.</p>
<h3>About FedEx</h3>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<h3>A Deep Dive into FedEx's Financials</h3>
<p><strong>Decline in Revenue:</strong> Over the 3 months period, FedEx faced challenges, resulting in a decline of approximately <strong>-1.94%</strong> in revenue growth as of 29 February, 2024. This signifies a reduction in the company's top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.</p>
<p><strong>Key Profitability Indicators:</strong></p>
<ul>
<li>
<p><strong>Gross Margin:</strong> The company excels with a remarkable gross margin of <strong>20.88%</strong>, indicating superior cost efficiency and profitability compared to its industry peers.</p>
</li>
<li>
<p><strong>Earnings per Share (EPS):</strong> FedEx's EPS outshines the industry average, indicating a strong bottom-line trend with a current EPS of <strong>3.55</strong>.</p>
</li>
</ul>
<p><strong>Debt Management:</strong> FedEx's debt-to-equity ratio is notably higher than the industry average. With a ratio of <b>1.42</b>, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.</p>
<p><strong>Valuation Metrics:</strong></p>
<ul>
<li>
<p><strong>Price to Earnings (P/E) Ratio:</strong> The Price to Earnings ratio of <b><strong>16.61</strong></b> is lower than the industry average, indicating potential undervaluation for the stock.</p>
</li>
<li>
<p><strong>Price to Sales (P/S) Ratio:</strong> The Price to Sales ratio is <b><strong>0.83</strong></b>, which is lower than the industry average. This suggests a possible undervaluation based on sales performance.</p>
</li>
<li>
<p><strong>EV/EBITDA Analysis (Enterprise Value to its Earnings Before Interest, Taxes, Depreciation &amp; Amortization):</strong> FedEx's EV/EBITDA ratio at <strong>9.27</strong> suggests potential undervaluation, falling below industry averages.</p>
</li>
</ul>
<p><strong>Market Capitalization Analysis:</strong> With an elevated market capitalization, the company stands out above industry averages, showcasing substantial size and market acknowledgment.</p>
<p><a href="https://www.schwab.com/brokerage?aff=XEC"><em>Now trade stocks online commission free with Charles Schwab, a trusted and complete investment firm.</em></a></p>
<h3>Delving Into the Significance of Insider Transactions</h3>
<p>Insider transactions shouldn't be used primarily to make an investing decision, however, they can be an important factor for an investor to consider.</p>
<p>When discussing legal matters, the term "insider" refers to any officer, director, or beneficial owner holding more than ten percent of a company's equity securities, as stipulated in Section 12 of the Securities Exchange Act of 1934. This includes executives in the c-suite and significant hedge funds. Such insiders are required to report their transactions through a Form 4 filing, which must be completed within two business days of the transaction.</p>
<p>A new purchase by a company insider is a indication that they anticipate the stock will rise.</p>
<p>On the other hand, insider sells may not necessarily indicate a bearish view and can be motivated by various factors.</p>
<h3>Breaking Down the Significance of Transaction Codes</h3>
<p>Navigating through the landscape of transactions, <a href="https://www.benzinga.com/money/investing-tools">investors</a> often prioritize those unfolding in the open market, precisely detailed in Table I of the Form 4 filing. A <strong>P</strong> in Box 3 denotes a purchase, while <strong>S</strong> signifies a sale. Transaction code <strong>C</strong> signals the conversion of an option, and transaction code <strong>A</strong> denotes a grant, award, or other acquisition of securities from the company.</p>
<p><a href="https://www.benzinga.com/sec/insider-trades/search/index?company_cik=0001048911"><strong>Check Out The Full List Of FedEx's Insider Trades.</strong></a></p>
<p><em>This article was generated by Benzinga's automated content engine and reviewed by an editor.</em></p>


Susan C Schwab At FedEx Decides to Exercises Options Worth $843K

<p>Financial giants have made a conspicuous bearish move on FedEx. Our analysis of options history for FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) revealed 17 unusual trades.</p>
<p>Delving into the details, we found 41% of traders were bullish, while 58% showed bearish tendencies. Out of all the trades we spotted, 7 were puts, with a value of $280,630, and 10 were calls, valued at $500,446.</p>
<h3>Predicted Price Range</h3>
<p>Analyzing the Volume and Open Interest in these contracts, it seems that the big players have been eyeing a price window from $135.0 to $305.0 for FedEx during the past quarter. </p>
<h3>Volume &amp; Open Interest Development</h3>
<p>Looking at the volume and open interest is a powerful move while trading options. This data can help you track the liquidity and interest for FedEx's options for a given strike price. Below, we can observe the evolution of the volume and open interest of calls and puts, respectively, for all of FedEx's whale trades within a strike price range from $135.0 to $305.0 in the last 30 days. </p>
<h3>FedEx Call and Put Volume: 30-Day Overview</h3>
<p><img src="https://www.benzinga.com/files/images/story/2024/1711571456_0.png" alt="Options Call Chart" /></p>
<h3>Significant Options Trades Detected:</h3>
<p>
<table>
<thead>
<tr>
<th><strong>Symbol</strong></th>
<th><strong>PUT/CALL</strong></th>
<th><strong>Trade Type</strong></th>
<th><strong>Sentiment</strong></th>
<th><strong>Exp. Date</strong></th>
<th><strong>Strike Price</strong></th>
<th><strong>Total Trade Price</strong></th>
<th><strong>Open Interest</strong></th>
<th style="text-align: right;"><strong>Volume</strong></th>
</tr>
</thead>
<tbody>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>06/21/24</td>
<td>$270.00</td>
<td>$136.6K</td>
<td>2.2K</td>
<td style="text-align: right;">72</td>
</tr>
<tr>
<td>FDX</td>
<td>PUT</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>09/19/25</td>
<td>$240.00</td>
<td>$84.0K</td>
<td>576</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BULLISH</td>
<td>01/16/26</td>
<td>$300.00</td>
<td>$69.7K</td>
<td>599</td>
<td style="text-align: right;">19</td>
</tr>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>SWEEP</td>
<td>BEARISH</td>
<td>06/21/24</td>
<td>$270.00</td>
<td>$59.4K</td>
<td>2.2K</td>
<td style="text-align: right;">100</td>
</tr>
<tr>
<td>FDX</td>
<td>CALL</td>
<td>TRADE</td>
<td>BULLISH</td>
<td>07/19/24</td>
<td>$270.00</td>
<td>$46.3K</td>
<td>541</td>
<td style="text-align: right;">35</td>
</tr>
</tbody>
</table>
</p>
<h3>About FedEx</h3>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<p>Having examined the options trading patterns of FedEx, our attention now turns directly to the company. This shift allows us to delve into its present market position and performance</p>
<h3>Current Position of FedEx</h3>
<ul>
<li>Currently trading with a volume of 1,785,798, the FDX's price is down by -0.38%, now at $287.88. </li>
<li>RSI readings suggest the stock is currently may be overbought.</li>
<li>Anticipated earnings release is in 83 days.</li>
</ul>
<p>Options trading presents higher risks and potential rewards. Astute traders manage these risks by continually educating themselves, adapting their strategies, monitoring multiple indicators, and keeping a close eye on market movements. Stay informed about the latest FedEx options trades with real-time alerts from <a href="https://benzinga.grsm.io/register174">Benzinga Pro</a>.</p>


<div>The board of the <strong>FedEx</strong> (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fdx#NYSE">FDX</a>) pilots' union has elected its third chairman in eight months as the group tries to overcome internal divisions that have hampered efforts to achieve an updated labor contract.</div>

<p>The FedEx Master Executive Council voted for Captain Jose Nieves, a Boeing 757 pilot who has been at FedEx for 28 years, to lead the union's 5,800 members, the Air Line Pilots Association announced late Tuesday.</p>

<p>Nieves replaces Captain Billy Wilson, who was elected Oct. 30, 2023 for an interim term through March 2025 but was voted out this month in the face of growing opposition. A subset of disenchanted pilots willing to take a more aggressive stance versus FedEx management pushed the vote. </p>

<p>Wilson took the helm when predecessor Christopher Norman resigned in the wake of last summer's union rejection of a tentative agreement that leadership endorsed as delivering industry-leading improvements on pay, retirement and work-life balance.</p>

<p>Nieves' term will run through March 25, 2025.</p>

<p>"FedEx pilots are facing challenges unlike any in recent years, and I believe this is a critical time in our union's history" said Capt. Nieves, in a news release. "At the top of that list of challenges is standing up to a company that has explicitly demonstrated a failure to value its pilots and employees. . ."Our pilots grow more unhappy with FedEx management by the day. It is past time for management to come to the table with a contract that recognizes our value. This is my primary focus, and the work begins today."</p>

<p>Both sides have been negotiating a new labor agreement for three years and have been under the supervision of the federal National Mediation Board since October 2022. On March 8, the Air Line Pilots Association asked the NMB to declare an impasse and release the parties from mediation, the first step necessary to launch a strike action.</p>

<p>The new MEC leadership, responding to supporters who felt the previous board was too willing to make concessions, has made clear its willingness to take the gloves off and use any means available under the Railway Labor Act to press FedEx for better benefits. The union says it believes FedEx is not willing to change its bottom line from the deal agreed to last summer.</p>

<p><span>FedEx Corp. last week </span>reported adjusted earnings of $3.86<span> per diluted share, well above analysts' estimates of $3.45 per share, with operating income up 19% in the third quarter. Operating profit for the Express segment, which is responsible for the air network, nearly doubled after the company</span> idled more aircraft<span>, reduced flight activity and pared other costs. The lower flying levels also mean less pay for pilots.</span></p>

<p>FedEx has not invoked language in the existing contract that allows the airline to go below minimum guarantee pay for a four-week period when available flying time falls below certain thresholds, according to a message from a pilot who asked to remain anonymous to protect job security. FreightWaves reported early this year that such a move was possible because of the sluggish demand. But domestic flight activity subsequently picked up, according to research by Morgan Stanley.</p>

<p>FedEx stock increased 6% on Tuesday, reaching a three-year high of $288.99 per share.</p>

<p>The pilots union says FedEx's improved performance demonstrates the company can afford a better compensation package. It took umbrage with FedEx announcing another $5 billion share buyback program. A group of pilots conducted an information picket outside the New York Stock Exchange when FedEx reported its earnings on Thursday to draw attention to their agenda.</p>

<p>The FedEx pilots, who once were near the top of the pay heap, want a contract similar to ones won by counterparts at American Airlines, Delta Air Lines, Southwest Airlines and United Airlines. Even pilots at Hawaiian Airlines and Alaska Airlines achieved sizable raises last year. </p>

<p>Cockpit crews appear to have lost leverage since airfreight and parcel demand began falling in mid-2022. FedEx also faces the strong possibility of losing some, or all, of its U.S. Postal business later this year. But the pendulum is slowly swinging back to growth, with global air cargo volumes up more than 10% for the first 2.5 months compared to the same period last year and the small package market projected by some to grow about 4% per annum over the next three years.</p>

<p>The post <a href="https://www.freightwaves.com/news/fedex-pilots-pick-third-union-chairman-since-last-summer">FedEx pilots pick third union chairman since last summer</a> appeared first on <a href="https://www.freightwaves.com">FreightWaves</a>.</p>
 

FedEx Pilots Pick Third Union Chairman Since Last Summer

<p>Throughout the last three months, 16 analysts have evaluated FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>), offering a diverse set of opinions from bullish to bearish.</p>
<p>The following table provides a quick overview of their recent ratings, highlighting the changing sentiments over the past 30 days and comparing them to the preceding months.</p>
<table>
<thead>
<tr>
<th></th>
<th style="text-align: right;"><strong>Bullish</strong></th>
<th style="text-align: right;"><strong>Somewhat Bullish</strong></th>
<th style="text-align: right;"><strong>Indifferent</strong></th>
<th style="text-align: right;"><strong>Somewhat Bearish</strong></th>
<th style="text-align: right;"><strong>Bearish</strong></th>
</tr>
</thead>
<tbody>
<tr>
<td><strong>Total Ratings</strong></td>
<td style="text-align: right;">6</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">5</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td><strong>Last 30D</strong></td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">1</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td><strong>1M Ago</strong></td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">4</td>
<td style="text-align: right;">5</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td><strong>2M Ago</strong></td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
<tr>
<td><strong>3M Ago</strong></td>
<td style="text-align: right;">2</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
<td style="text-align: right;">0</td>
</tr>
</tbody>
</table>
<p>Insights from analysts' 12-month price targets are revealed, presenting an average target of $295.06, a high estimate of $351.00, and a low estimate of $195.00. Marking an increase of 5.68%, the current average surpasses the previous average price target of $279.21. </p>
<p><img src="https://www.benzinga.com/files/images/story/2024/1711551666_0.png" alt="price target chart" /></p>
<h2>Breaking Down Analyst Ratings: A Detailed Examination</h2>
<p>In examining recent analyst actions, we gain insights into how financial experts perceive FedEx. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.</p>
<table>
<thead>
<tr>
<th>Analyst</th>
<th>Analyst Firm</th>
<th>Action Taken</th>
<th>Rating</th>
<th>Current Price Target</th>
<th>Prior Price Target</th>
</tr>
</thead>
<tbody>
<tr>
<td>Robert Joynson</td>
<td>Exane BNP Paribas</td>
<td>Announces</td>
<td>Underperform</td>
<td>$250.00</td>
<td>-</td>
</tr>
<tr>
<td>Stephanie Moore</td>
<td>Jefferies</td>
<td>Raises</td>
<td>Hold</td>
<td>$300.00</td>
<td>$265.00</td>
</tr>
<tr>
<td>Thomas Wadewitz</td>
<td>UBS</td>
<td>Raises</td>
<td>Buy</td>
<td>$340.00</td>
<td>$323.00</td>
</tr>
<tr>
<td>Garrett Holland</td>
<td>Baird</td>
<td>Raises</td>
<td>Outperform</td>
<td>$325.00</td>
<td>$315.00</td>
</tr>
<tr>
<td>Ken Hoexter</td>
<td>B of A Securities</td>
<td>Raises</td>
<td>Buy</td>
<td>$346.00</td>
<td>$313.00</td>
</tr>
<tr>
<td>Fadi Chamoun</td>
<td>BMO Capital</td>
<td>Raises</td>
<td>Market Perform</td>
<td>$310.00</td>
<td>$290.00</td>
</tr>
<tr>
<td>Ravi Shanker</td>
<td>Morgan Stanley</td>
<td>Raises</td>
<td>Equal-Weight</td>
<td>$210.00</td>
<td>$195.00</td>
</tr>
<tr>
<td>Helane Becker</td>
<td>TD Cowen</td>
<td>Raises</td>
<td>Outperform</td>
<td>$320.00</td>
<td>$293.00</td>
</tr>
<tr>
<td>Jonathan Chappell</td>
<td>Evercore ISI Group</td>
<td>Raises</td>
<td>Outperform</td>
<td>$351.00</td>
<td>$327.00</td>
</tr>
<tr>
<td>Jordan Alliger</td>
<td>Goldman Sachs</td>
<td>Raises</td>
<td>Buy</td>
<td>$324.00</td>
<td>$291.00</td>
</tr>
<tr>
<td>Brandon Oglenski</td>
<td>Barclays</td>
<td>Raises</td>
<td>Overweight</td>
<td>$350.00</td>
<td>$310.00</td>
</tr>
<tr>
<td>J. Bruce Chan</td>
<td>Stifel</td>
<td>Lowers</td>
<td>Buy</td>
<td>$290.00</td>
<td>$305.00</td>
</tr>
<tr>
<td>Ravi Shanker</td>
<td>Morgan Stanley</td>
<td>Maintains</td>
<td>Equal-Weight</td>
<td>$195.00</td>
<td>$195.00</td>
</tr>
<tr>
<td>Ravi Shanker</td>
<td>Morgan Stanley</td>
<td>Lowers</td>
<td>Equal-Weight</td>
<td>$195.00</td>
<td>$205.00</td>
</tr>
<tr>
<td>J. Bruce Chan</td>
<td>Stifel</td>
<td>Raises</td>
<td>Buy</td>
<td>$305.00</td>
<td>$282.00</td>
</tr>
<tr>
<td>Conor Cunningham</td>
<td>Melius Research</td>
<td>Announces</td>
<td>Buy</td>
<td>$310.00</td>
<td>-</td>
</tr>
</tbody>
</table>
<h3>Key Insights:</h3>
<ul>
<li><strong>Action Taken:</strong> Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to FedEx. This information provides a snapshot of how analysts perceive the current state of the company.</li>
<li><strong>Rating:</strong> Offering a comprehensive view, analysts assess stocks qualitatively, spanning from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of FedEx compared to the broader market.</li>
<li><strong>Price Targets:</strong> Analysts explore the dynamics of price targets, providing estimates for the future value of FedEx's stock. This examination reveals shifts in analysts' expectations over time.</li>
</ul>
<p>Understanding these analyst evaluations alongside key financial indicators can offer valuable insights into FedEx's market standing. Stay informed and make well-considered decisions with our Ratings Table.</p>
<p><a href="https://www.benzinga.com/quote/FDX/analyst-ratings?utm_source=Benzinga Insights"><strong>Stay up to date on FedEx analyst ratings.</strong></a></p>
<h2>All You Need to Know About FedEx</h2>
<p>FedEx pioneered overnight delivery in 1973 and remains the world's largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.</p>
<h3>Key Indicators: FedEx's Financial Health</h3>
<p><strong>Market Capitalization Analysis:</strong> The company's market capitalization is above the industry average, indicating that it is relatively larger in size compared to peers. This may suggest a higher level of investor confidence and market recognition.</p>
<p><strong>Decline in Revenue:</strong> Over the 3 months period, FedEx faced challenges, resulting in a decline of approximately <strong>-1.94%</strong> in revenue growth as of 29 February, 2024. This signifies a reduction in the company's top-line earnings. When compared to others in the Industrials sector, the company excelled with a growth rate higher than the average among peers.</p>
<p><strong>Net Margin:</strong> FedEx's financial strength is reflected in its exceptional net margin, which exceeds industry averages. With a remarkable net margin of <strong>4.04%,</strong> the company showcases strong profitability and effective cost management.</p>
<p><strong>Return on Equity (ROE):</strong> FedEx's ROE surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive <strong>3.3%</strong> ROE, the company effectively utilizes shareholder equity capital.</p>
<p><strong>Return on Assets (ROA):</strong> FedEx's ROA surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive <strong>1.01%</strong> ROA, the company effectively utilizes its assets for optimal returns.</p>
<p><strong>Debt Management:</strong> With a below-average debt-to-equity ratio of <strong>1.42</strong>, FedEx adopts a prudent financial strategy, indicating a balanced approach to debt management.</p>
<h2>Analyst Ratings: Simplified</h2>
<p>Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.</p>
<p>Analysts may enhance their evaluations by incorporating forecasts for metrics like growth estimates, earnings, and revenue, delivering additional guidance to investors. It is vital to acknowledge that, although experts in stocks and sectors, analysts are human and express their opinions when providing insights.</p>
<p>This article was generated by Benzinga's automated content engine and reviewed by an editor.</p>


A Glimpse Into The Expert Outlook On FedEx Through 16 Analysts

<p>Exane BNP Paribas  analyst Robert Joynson   downgrades FedEx (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>) from Neutral to Underperform and announces $250 price target.</p>


Downgrades

Exane BNP Paribas Downgrades FedEx to Underperform, Announces $250 Price Target

<p><strong>China&#8217;s</strong> President <strong>Xi Jinping</strong> met with American business leaders in Beijing to rekindle foreign investment interests.</p>
<p><strong>What Happened</strong>: Reuters reported that President Xi Jinping met with American business leaders at the Great Hall of the People in Beijing on Wednesday. Around 20 firms attended the meeting, which lasted approximately 90 minutes.</p>
<p>The meeting was organized by the National Committee on U.S.-China Relations, the U.S.-China Business Council, and the Asia Society think tank. The three organizations have not yet commented on the meeting.</p>
<p><em>See Also: <a href="https://www.benzinga.com/news/24/03/37780475/china-slams-us-over-spacexs-alleged-development-of-spy-satellites-not-help-a-villain-do-evil?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">China Slams US Over SpaceX&#8217;s Alleged Development Of Spy Satellites: &#8216;&#8230;Not Help A Villain Do Evil&#8217;</a></em></p>
<p>Notable attendees included <strong>Stephen Schwarzman</strong>, co-founder and CEO of private equity firm <strong>Blackstone Inc</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/BX#NYSE">BX</a>), <strong>Raj Subramaniam</strong>, head of American delivery giant <strong>FedEx Corp</strong> (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/FDX#NYSE">FDX</a>), and <strong>Cristiano Amon</strong>, the boss of chips manufacturer <strong>Qualcomm Inc</strong> (NASDAQ:<a class="ticker" href="https://www.benzinga.com/stock/QCOM#NASDAQ">QCOM</a>), according to state media.</p>
<p>The meeting comes after a decline in foreign direct investment into China, attributed to concerns over new regulations, including an anti-espionage law, exit bans, and raids on consultancies and due diligence firms.</p>
<p><strong>Why It Matters</strong>: The meeting between President Xi and American business leaders is significant in the context of the fluctuating <a href="https://www.benzinga.com/news/24/03/37890515/xi-jinping-to-host-leading-american-executives-amid-fluctuating-us-china-relations">U.S.-China relations</a>. This comes at a time when U.S. intelligence agencies have warned of an increasingly fragile global order due to the challenges posed by China and Russia, the two primary rivals to the United States.</p>
<p>China has set an ambitious <a href="https://www.benzinga.com/markets/asia/24/03/37475460/xi-jinpings-china-sets-ambitious-2024-growth-target-of-5-vows-to-transform-economy">growth target of 5%</a> for 2024, aiming to revamp its economic model. However, this goal is challenged by the nation&#8217;s post-COVID recovery and structural imbalances. Despite China&#8217;s low valuation, <strong>Goldman Sachs</strong> has<a href="https://www.benzinga.com/markets/asia/24/03/37475224/goldman-sachs-investment-expert-warns-against-investing-in-china-it-is-not-clear-what-the-overall-ge"> cautioned against investing in China</a> due to the country&#8217;s unclear policy and economic data.</p>
<p><em>Read Next: <a href="https://www.benzinga.com/analyst-ratings/analyst-color/24/03/37903418/tim-cooks-recent-visit-to-china-was-to-send-out-a-clear-message-to-xi-jinping-says-?itm_source=parsely-api" target="_blank" rel="noreferrer noopener">Tim Cook&#8217;s Recent Visit To China Was To Send Out A Clear Message To Xi Jinping, Says Top Analyst: &#8216;Apple Is Committed To China&#8217;</a></em></p>
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QCOM

Xi Jinping Meets American CEOs In Effort to Mend China-US Business Ties

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>It&rsquo;s a risky idea but targeting the best transportation stocks to buy in April could be a lucrative approach. That&rsquo;s because companies tied to the underlying industry is where the economic rubber meets the road.</p>



<p>More to the point, should economic metrics &ndash; such as monthly jobs reports &ndash; continue to improve, demand for products will likely rise as well. And that means more motion across various transportation networks, which would be a positive for the entire value chain. Looking at <a href="https://fred.stlouisfed.org/series/CES4300000001">employment data from the transportation and warehousing space</a>, it appears there could be a recovery brewing.</p>



<p>If so, this is a category that could surprise investors. On that note, below are the best transportation stocks to buy in April.</p>



<h2>Union Pacific (UNP)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/unp1600-300x169.jpg" alt="United Pacific (UNP) switch on tracks near Kansas City."><div>Source: Michael Rosebrock / Shutterstock.com</div></div><p>Listed under the broad industrials category, <strong>Union Pacific</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/unp-stock-quote/"><strong>UNP</strong></a>) is a giant in the railroad sector. <a href="https://finance.yahoo.com/quote/UNP/profile/">Per its public profile</a>, the company offers transportation services for various needs, including critical commodities such as grain products, fertilizers and food. In addition, it also hauls coal and renewables to energy and agricultural producers.</p>



<p>Because of its vast relevancies, UNP is easily one of the best transportation stocks to buy in April. Admittedly, since the start of the year, UNP has been off to a slow start. However, over the past 52 weeks, it&rsquo;s up more than 23%. And outside of a miss in the second quarter, Union Pacific beat its bottom-line quarterly targets in fiscal 2023.<br><br>For the current fiscal year, experts are looking for earnings per share of $11.13. That&rsquo;s a solid improvement over last year&rsquo;s print of $10.45. Also, revenue could land at $24.84 billion, up 3% year-over-year. Still, fiscal 2025 could see sales up to $26.13 billion for patient investors.</p>



<p>Analysts rate shares a <a href="https://www.tipranks.com/stocks/unp/forecast">moderate buy</a> with a $259.65 price target.</p>



<h2>FedEx (FDX)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/fdx1600-300x169.jpg" alt="A FedEx employee loads a FedEx Express truck in Manhattan."><div>Source: Antonio Gravante / Shutterstock.com</div></div><p>Operating under the integrated freight and logistics category, <strong>FedEx</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a>) provides transportation, e-commerce and business services in the U.S. and internationally. It operates through four segments: Express, Ground Freight and Services. To be sure, the company must contend with rising competition in the space. Still, as businesses fully recover from the Covid-19 crisis, demand for a dedicated logistics provider might rise.</p>



<p>Notably, FDX is a solid performer in the charts. Since the beginning of the year, it popped up more than 10%. In the past 52 weeks, it&rsquo;s up 23%. Even better, the bottom-line print has been decent overall. Aside from a miss in the quarter ended Nov. 29, FedEx has beaten its EPS targets over the past year.</p>



<p>For the current fiscal year, analysts are looking for EPS to land at $17.77. That&rsquo;s up significantly from last year&rsquo;s print of $14.96. However, investors should note that there is an anticipated slowdown in revenue, with growth potentially not appearing until fiscal 2025.</p>



<p>Still, FDX carries a <a href="https://www.tipranks.com/stocks/fdx">moderate buy view</a> with a $308.95 price target. It could be one of the best transportation stocks to buy in April.</p>



<h2>ZTO Express (ZTO)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/03/zto1600-300x169.png" alt="he New York Stock Exchange is decorated for the first day of trading for the ZTO Express IPO"><div>Source: rblfmr / Shutterstock.com</div></div><p>Staying within the integrated freight and logistics category but moving across the world, China-based <strong>ZTO Express</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/zto-stock-quote/"><strong>ZTO</strong></a>) provides express delivery and other value-added logistics services. Per its <a href="https://finance.yahoo.com/quote/ZTO/profile">corporate profile</a>, it offers freight forwarding services. As well, it facilitates delivery services for e-commerce and traditional merchants and other express service users.</p>



<p>To be clear, ZTO stock ranks as a significantly risky idea among the best transportation stocks to buy in April. Since the start of the year, the security only moved up 4% <strong>&mdash;</strong> and only after a large undulation. In the past 52 weeks, it&rsquo;s down 25%. Of course, the main concern regarding ZTO and its compatriots is the viability of the Chinese economy.</p>



<p>Still, contrarians might point out that the consistently profitable company beat its quarterly bottom-line targets last year. The average positive earnings surprise came out to 6.93%. Moreover, experts project EPS to reach $1.68 on revenue of $5.93 billion this year. On the top line, that represents growth of nearly 12%.</p>



<p>Finally, analysts rate shares a <a href="https://www.tipranks.com/stocks/zto/forecast">unanimous strong buy</a> with a $29.71 price target.</p>



<p><em>On the date of publication, Josh Enomoto</em><em> did not have (either directly or indirectly) any positions in the securities mentioned in this article.&nbsp;</em><em>The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com&nbsp;</em><a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/" target="_blank"><em>Publishing Guidelines</em></a><em>.</em><em></em></p>
<div><p>A former senior business analyst for Sony Electronics, Josh Enomoto has helped broker major contracts with Fortune Global 500 companies. Over the past several years, he has delivered unique, critical insights for the investment markets, as well as various other industries including legal, construction management, and healthcare. Tweet him at @EnomotoMedia.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/the-3-best-transportation-stocks-to-buy-in-april-2024/">The 3 Best Transportation Stocks to Buy in April 2024</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

The 3 Best Transportation Stocks to Buy in April 2024

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>EV demand in the U.S. is being weighed down by high interest rates and consumers&rsquo; increased preference for hybrid vehicles. Still, the number of EV sales continues to climb  year-over-year and, according to <em>Barron&rsquo;s</em>, EVs&rsquo; share of the overall U.S. auto market even <a href="https://www.barrons.com/articles/ford-stock-ev-sales-99c71491">increased slightly</a> in Q1 to 7%. Moreover, the recent increases in oil prices, along with the U.S. Federal Reserve&rsquo;s upcoming rate cuts, should cause the demand for EVs to increase going forward. So for the U.S. EV market, it&rsquo;s very much a case of down but not out. Making now a great time to find stocks to buy amid the EV demand slump.</p>



<p>Further, the situation appears to be much better in China, as the&nbsp;China Passenger Car Association&nbsp;recently predicted that the combined sales of EVs and plug-in hybrids in March soared 33% year-over-year. For investors who want to exploit the continued growth of EV sales, here are three stocks to buy amid the EV demand slump.</p>



<h2>Rivian (RIVN)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/03/rivn1600-3-300x169.png" alt="A new Rivian R1T truck is seen at a Rivian service center in South San Francisco, California. Rivian Automotive, (RIVN) is an electric vehicle automaker. RIVN stock price predictions"><div>Source: Tada Images / Shutterstock.com</div></div><p>U.S. EV startup<strong> Rivian</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/rivn-stock-quote/"><strong>RIVN</strong></a></span>) is <a href="https://www.thedrive.com/news/the-newest-rivian-delivery-vehicle-looks-nothing-like-the-amazon-van">partnering with one of the leading players</a> in the commercial vehicle space. Specifically, Rivian&rsquo;s chassis and batteries are being used by a huge commercial vehicle producer and marketer, <strong>JB Poindexter &amp; Co</strong>, to develop a new electric delivery van. The EV is slated to be sold to Canada&rsquo;s postal delivery system which will use the vehicle deliver mail.</p>



<p>JB Poindexter has long-standing relationships with both <strong>Fedex</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a></span>) and <strong>UPS</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/ups-stock-quote/"><strong>UPS</strong></a></span>). This means Rivian&rsquo;s collaboration with JB Poindexter could very well lead to needle-moving revenue from one or both of the huge package-delivery firms. And there&rsquo;s an excellent chance that JB Poindexter will sell the new electric delivery van to multiple other government-owned delivery firms, further boosting Rivian&rsquo;s top and bottom lines.  </p>



<h2>EVgo (EVGO)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2021/04/evgo-clii-stock-300x169.jpg" alt="EVgo fast charging station"><div>Source: Sundry Photography / Shutterstock.com</div></div><p>Despite the sharp deceleration in the growth of EV sales in the U.S., some automakers are actually growing quite rapidly. That bodes very well for <strong>EVgo</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/evgo-stock-quote/"><strong>EVGO</strong></a></span>), one of the leading providers of public EV chargers in America.</p>



<p>Last quarter, for example, <strong>Hyundai&rsquo;s </strong>U.S. EV sales <a href="https://insideevs.com/news/714698/hyundai-us-ev-sales-march2024/">soared nearly 130%</a> versus the same period a year earlier to 5,345. Meanwhile, <strong>Ford&rsquo;s</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/f-stock-quote/"><strong>F</strong></a></span>) U.S. EV sales jumped 86% year-over-year to slightly over 20,000. And <strong>BMW</strong> (OTCMKTS:<span><a href="https://investorplace.com/stock-quotes/bmwyy-stock-quote/"><strong>BMWYY</strong></a></span>) provided U.S. customers with over 10,700 EVs last quarter, representing a <a href="https://cleantechnica.com/2024/04/04/us-audi-ev-sales-grow-29-bmw-ev-sales-grow-63/">very strong</a> YOY  increase of 63%.</p>



<p>The fact that some EV brands are growing rapidly bodes well for the entire EV market, since the owners of those brands will likely radically increase production and sales of those automobiles going forward. And, of course, more EVs on the roads will translate to increased demand for EVgo&rsquo;s chargers over the longer term.</p>



<h2>Xpeng (XPEV)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/10/xpev1600-1-300x169.png" alt="XPeng (XPEV) car logo in Shanghai International Automobile Industry Exhibition"><div>Source: THINK A / Shutterstock.com</div></div><p>Chinese EV maker <strong>Xpeng</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/xpev-stock-quote/"><strong>XPEV</strong></a></span>) is successfully exploiting the relatively strong Chinese EV sector. Its <a href="https://seekingalpha.com/news/4085461-xpeng-delivers-record-9026-smart-evs-in-march-up-99-mm">deliveries climbed</a> 20% last quarter versus the same period a year earlier to over 21,800.</p>



<p>The firm has a very impressive Advanced Driver Assistance (<span>ADA</span>) system. Encouragingly, it recently reported that the the monthly active user penetration rate of its ADA system had risen to 82% in urban driving scenarios. The fact that XPEV&rsquo;s customers are frequently using its ADA indicates that the system is quite useful and user friendly. </p>



<p>What&rsquo;s more, I believe that the automaker&rsquo;s collaboration with <strong>Volkswagen </strong>(OTCMKTS:<span><a href="https://investorplace.com/stock-quotes/vlkaf-stock-quote/"><strong>VLKAF</strong></a></span>) will boost Xpeng&rsquo;s credibility and sales in both Europe and China. Mainly due to Volkswagen&rsquo;s strong brand name in both regions. The firms are <a href="https://electrek.co/2024/02/29/volkswagen-and-xpeng-to-roll-out-two-new-evs-starting-with-an-suv/#:~:text=Xpeng-,Volkswagen%20and%20Xpeng%20to%20roll%20out,EVs%2C%20starting%20with%20an%20SUV&amp;text=Volkswagen%20and%20Chinese%20EV%20maker,first%20model%20being%20an%20SUV.">slated to jointly launch </a>two new EVs in 2026. </p>



<p><em>On the date of publication, Larry Ramer held long positions in RIVN, EVGO, and XPEV. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com&nbsp;<a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/" target="_blank">Publishing Guidelines</a></em>.</p>
<div><p>Larry Ramer has conducted research and written articles on U.S. stocks for 15 years. He has been employed by The Fly and Israel&rsquo;s largest business newspaper, Globes. Larry began writing columns for InvestorPlace in 2015. Among his highly successful, contrarian picks have been SMCI, INTC, and MGM. You can reach him on Stocktwits at @larryramer.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/contrarians-delight-3-stocks-to-scoop-up-amid-the-ev-demand-slump/">Contrarian&#8217;s Delight: 3 Stocks to Scoop Up Amid the EV Demand Slump</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

Contrarian's Delight: 3 Stocks to Scoop Up Amid the EV Demand Slump

Wall Street Breakfast: What Moved Markets

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>It&rsquo;s hard to believe we&rsquo;re already a quarter of the way through 2024. So far, it&rsquo;s been a solid year for equities, but the first week in April was the worst performance since October 2023. You&rsquo;ve probably heard a lot of conversation about this being a &ldquo;stock picker&rsquo;s market.&rdquo; That simply means you may have to work a little harder to find stocks to buy. &nbsp;</p>



<p>One proven way to profit in a stock picker&rsquo;s market is to look for stocks that are getting upgraded by analysts. This can be particularly true when the upgrades are supported by bullish movement in the stock. If you catch this run-up early enough, there&rsquo;s still time to ride it higher.&nbsp;</p>



<p>That&rsquo;s the case for the three stocks in this article. They are from very different sectors. And the bullish case for each is not the same. But a case does exist, and that&rsquo;s why you they could be stocks to buy or put on your watchlist as earnings season kicks off. &nbsp;</p>



<h2>Micron Technology (MU)&nbsp;</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/10/mu1600c-300x169.jpg" alt="A zoomed in image of a hand placing a CPU chip onto a CPU socket."><div>Source: Shutterstock</div></div><p>The current super cycle in <a href="https://investorplace.com/industries/technology/semiconductor/">semiconductor stocks</a> has many investors wondering what stock may be the next <strong>Nvidia</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/nvda-stock-quote/"><strong>NVDA</strong></a></span>)? If you&rsquo;re one of them, <strong>Micron Technology </strong>(NASDAQ:<span><a href="https://investorplace.com/stock-quotes/mu-stock-quote/"><strong>MU</strong></a></span>) is one to consider. The rapid rise of artificial intelligence applications is creating the need for high bandwidth memory (<span>HBM</span>).&nbsp;</p>



<p>Micron is a leader in the category and its new <a href="https://investors.micron.com/news-releases/news-release-details/micron-commences-volume-production-industry-leading-hbm3e" target="_blank">High Bandwidth Memory 3E (HBM3E) solution</a> that launched in February sets up the company to continue to capture market share. This is especially true because the HBM3E chip will be <a href="https://investorplace.com/2024/04/unforgettable-gains-3-memory-stocks-to-own-as-the-market-heats-up/" target="_blank">embedded into Nvidia&rsquo;s newest H200 graphic processing units (GPUs)</a>. &nbsp;</p>



<p>In the last two quarters, Micron has <a href="https://investorplace.com/2024/04/3-no-brainer-semiconductor-stocks-that-will-lead-the-ai-revolution/" target="_blank">turned around year-over year (<span>YOY</span>) declines on its top and bottom lines</a> and even with MU stock moving over 111% higher in the last 12 months, it&rsquo;s likely that the stock price doesn&rsquo;t fully price in the strong earnings growth expected in the next 12 months. &nbsp;</p>



<p>MU stock started to pull back around $128 per share. However, with <a href="https://www.tradingview.com/chart/aMepJfAr/?symbol=NASDAQ%3AMU&amp;utm_source=www.marketbeat.com&amp;utm_medium=widget&amp;utm_campaign=chart-logo&amp;utm_term=NASDAQ%3AMU" target="_blank">32 analysts giving the stock either a Strong Buy or Buy rating</a>, any pullback is a buyable dip. &nbsp;</p>



<h2>FedEx (FDX)&nbsp;</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/fdx1600-300x169.jpg" alt="A FedEx employee loads a FedEx Express truck in Manhattan."><div>Source: Antonio Gravante / Shutterstock.com</div></div><p>The bullish case for making <strong>FedEx</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a></span>) one of the second quarter stocks to buy boils down to controlling the controllables. The shipping company can&rsquo;t do anything to stimulate consumer demand. The company is winding up its long-standing contract with the United States Postal Service (USPS) which is shifting its business to <strong>United Parcel Service</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/ups-stock-quote/"><strong>UPS</strong></a></span>). &nbsp;</p>



<p>But it can manage costs. And investors saw evidence of that in the company&rsquo;s <a href="https://investorplace.com/2024/03/3-stocks-to-buy-for-the-next-bull-run-march-2024/" target="_blank">March earnings repor</a>t. The company had a slight miss on the top line, but it beat earnings expectations. And earnings were also higher YOY. At least 19 analysts have either reiterated their Buy (or equivalent) ratings or raised their price targets for FDX stock.&nbsp;</p>



<p>FedEx stock is up more than 9% in the last month with much of those gains coming since the earnings report. The stock has pulled back a little since the beginning of April, but this looks like a buyable dip. Analysts consensus price targets give the stock 14% upside and <a href="https://www.tradingview.com/chart/aMepJfAr/?symbol=NYSE%3AFDX&amp;utm_source=www.marketbeat.com&amp;utm_medium=widget&amp;utm_campaign=chart-logo&amp;utm_term=NYSE%3AFDX" target="_blank">18 out of 30 analysts have either a Strong Buy or Buy rating</a> on FDX stock. &nbsp;</p>



<h2>Williams-Sonoma (WSM)&nbsp;</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/WSM1600-300x169.jpg" alt="Williams-Sonoma (WSM) store in a shopping mall"><div>Source: designs by Jack / Shutterstock.com</div></div><p><strong>Williams-Sonoma</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/wsm-stock-quote/"><strong>WSM</strong></a></span>) is a retail stock that also falls into the consumer discretionary category that has been beaten down in the last year. But Williams-Sonoma has been an outlier. WSM stock is up 164.5% in the last 12 months. But there&rsquo;s reason to believe there&rsquo;s still room for the stock to move higher. &nbsp;</p>



<p>For starters, the company&rsquo;s business model targets a more affluent demographic. Not only have these consumers continued to spend on their homes, but they&rsquo;re also generally not as sensitive to inflation. That&rsquo;s good for Williams-Sonoma&rsquo;s operating margin which was 20.1% when the company reported earnings in March.&nbsp;</p>



<p>WSM stock has received approximately 13 upgrades in the last 20 days. However, the stock has a <a href="https://www.tradingview.com/chart/aMepJfAr/?symbol=NYSE%3AWSM&amp;utm_source=www.marketbeat.com&amp;utm_medium=widget&amp;utm_campaign=chart-logo&amp;utm_term=NYSE%3AWSM" target="_blank">consensus Hold rating</a>. But if you take the long view, the stock is up more than 463% in the last five years. You also get a growing dividend with a very safe payout ratio of around 24%. &nbsp;</p>



<p><em>On the date of publication, Chris Markoch did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.</em>&nbsp;</p>
<div><p>Chris Markoch is a freelance financial copywriter who has been covering the market for over five years. He has been writing for InvestorPlace since 2019.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/3-stocks-to-buy-as-analysts-make-bullish-calls/">3 Stocks Soaring on Bullish Analyst Calls: Is It Time to Buy?</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

3 Stocks Soaring on Bullish Analyst Calls: Is It Time to Buy?

Companies in the Industrial Goods sector have received a lot of coverage today as analysts weigh in on Louisiana-Pacific (LPX – Research Report), B...

Analysts Conflicted on These Industrial Goods Names: Louisiana-Pacific (LPX), Babcock & Wilcox Company (BW) and FedEx (FDX)

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>If you&rsquo;re wondering which stocks to buy in April, here&rsquo;s a good place to start. The stock market is off to a difficult start in the second quarter. With the timing of interest rates getting pushed out further, the major averages have turned downwards. Since peaking on March 28, the benchmark <strong>S&amp;P 500</strong> index has declined nearly 2%. The dip has some on Wall Street wondering aloud if we&rsquo;re at or <a href="https://markets.businessinsider.com/news/stocks/stock-market-crash-outlook-smart-money-sp500-bubble-correction-recession-2024-3">close to the market&rsquo;s peak</a> and now entering what could be a steep selloff. Many analysts say a pullback is overdue with all three major stock indices hitting all-time highs throughout the first quarter. </p>



<p>The S&amp;P 500 gained more than 25% from the end of October through the end of March, which is quite a strong rally. Stocks in certain sectors rallied particularly hard, notably artificial intelligence (<span>AI</span>), semiconductors, cybersecurity, and weight-loss medications. But much of the rally was predicated on expectations for lower interest rates, the timing of which has been <a href="https://www.marketwatch.com/story/what-could-spark-the-next-stock-market-selloff-heres-what-history-tells-us-c3a0423e">thrown into doubt</a> with inflation remaining high and the economy showing resilience. Here are all-time high flyers: seven stocks to buy as the market peaks.</p>



<h2>Stocks to Buy: Microsoft (MSFT)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/10/msft1600-1-300x169.png" alt="Microsoft logo close up. Microsoft (MSFT) Flagship Store Fifth Avenue, Manhattan, NYC."><div>Source: The Art of Pics / Shutterstock.com</div></div><p>Microsoft (NASDAQ:<a href="https://investorplace.com/stock-quotes/msft-stock-quote/"><strong>MSFT</strong></a>) continues to assert its dominance in AI and its stock has been responding. In the last 12 months, MSFT stock has <a href="https://www.fool.com/investing/2024/04/08/could-microsoft-stock-reach-1000/">increased nearly 50%</a>, including a 15% increase this year. The company and its stock continue to be viewed as one of the best ways to play the bull market in AI that is helping to push the stock market to record highs. Recently, Microsoft further expanded its global reach in AI, announcing an investment of $2.90 billion to enhance its AI business in Japan.</p>



<p>The money, which represents Microsoft&rsquo;s biggest ever <a href="https://www.reuters.com/technology/microsoft-invest-29-bln-boost-ai-business-japan-nikkei-2024-04-09/">investment in Japan</a>, will go towards the development of advanced AI semiconductors at two facilities in the Asian nation. Microsoft also plans to allocate funds towards an AI reskilling program in Japan that will see three million workers trained on the technology. And, the company plans to establish a new AI lab in Tokyo for research and development on robotics and machine learning. This is just the latest example of how Microsoft is staying ahead in the AI race.</p>



<h2>Coinbase (COIN)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/02/coin-eth1600-300x169.png" alt="Coinbase (COIN), is an American company that operates a cryptocurrency exchange platform. Ethereum (ETH-USD) coin on the background of the Coinbase inscription."><div>Source: Sergei Elagin / Shutterstock.com</div></div><p>In addition to AI, another major catalyst for the market continues to be cryptocurrencies. And one of the best ways to play the boom in crypto is to own shares of <strong>Coinbase Global </strong>(NASDAQ:<a href="https://investorplace.com/stock-quotes/coin-stock-quote/"><strong>COIN</strong></a>). Shares of the cryptocurrency exchange have been white hot amid the rise in crypto prices. In the last 12 months, <a href="https://www.coindesk.com/business/2024/03/27/crypto-stocks-like-microstrategy-coinbase-could-shoot-up-if-short-sellers-exit/">COIN stock has risen 277%</a>. Already in 2024, the company&rsquo;s share price has gained 60%. Despite the big rally, analysts see more upside ahead for Coinbase and its shareholders. </p>



<p>Analysts at Wall Street firm <strong>Oppenheimer</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/opy-stock-quote/"><strong>OPY</strong></a>) recently <a href="https://www.coindesk.com/business/2024/04/04/coinbase-to-benefit-from-long-term-adoption-of-blockchain-technology-oppenheimer/">raised their price target</a> on COIN stock to $276 from $200 and reiterated a &ldquo;buy&rdquo; rating on the shares. The price target is 11% higher than where Coinbase&rsquo;s stock currently trades. In a research note, Oppenheimer said that Coinbase is likely to benefit from the long-term adoption of blockchain technology. The brokerage also raised its earning estimates for Coinbase. </p>



<p>The analyst upgrade comes as Coinbase announced that it has received <a href="https://news.bitcoin.com/coinbase-reaches-crucial-milestone-in-canada-with-restricted-dealer-registration/">regulatory approval</a> to begin operating its cryptocurrency exchange in Canada. Coinbase, which is one of the world&rsquo;s largest crypto exchanges, has now become the biggest crypto trading platform north of the border.</p>



<h2>Stocks to Buy: Taiwan Semiconductor Manufacturing Co. (TSM)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/10/shutterstock_1610901103-300x169.jpg" alt="TSM stock: the Taiwan Semiconductor logo on the side of its facility in Taiwan"><div>Source: ToyW / Shutterstock</div></div><p>No corner of the market is hotter right now than <a href="https://investorplace.com/industries/technology/semiconductor/">semiconductor stocks</a>. Microchips and semiconductors are viewed as the key to unlocking the potential of AI, fueling a huge rally. And among chip and semi stocks, <a href="https://finance.yahoo.com/news/where-tsm-stock-2030-111700760.html">one of the best</a> to own is <strong>Taiwan Semiconductor Manufacturing Co.</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/tsm-stock-quote/"><strong>TSM</strong></a>), commonly known as TSMC. The Taiwanese company currently manufacturers more than half (50%) of all the microchips in the world, with some estimates putting its <a href="https://www.cnbc.com/2021/03/16/2-charts-show-how-much-the-world-depends-on-taiwan-for-semiconductors.html">market share as high as 60%</a>. </p>



<p>The dominance of TSMC when it comes to making microchips and semiconductors for third parties such as <strong>Nvidia </strong>(NASDAQ:<span><a href="https://investorplace.com/stock-quotes/nvda-stock-quote/"><strong>NVDA</strong></a></span>) and <strong>Apple </strong>(NASDAQ:<span><a href="https://investorplace.com/stock-quotes/aapl-stock-quote/"><strong>AAPL</strong></a></span>) has pushed its share price sharply higher. Through 12 months, TSM stock is up 62% and currently trading near its all-time high. The company and stock just got a boost from news that <a href="https://www.cnbc.com/2024/04/08/tsmc-set-to-receive-up-to-6point6-billion-in-funding-for-arizona-plants-.html">the U.S. government</a> is giving it $6.60 billion to help fund the construction of microchip fabrication plants in Arizona.</p>



<p>The government funding is coming from the U.S. CHIPS Act that aims to increase <a href="https://www.nytimes.com/2024/04/08/us/politics/tsmc-taiwan-chips-grants.html">America&rsquo;s chip security</a> and lessen the country&rsquo;s reliance on foreign made microchips and semiconductors. TSMC is spending about $65 billion to build three cutting-edge fabrication plants in Phoenix, Arizona. In announcing the funding, the U.S. government said that TSMC&rsquo;s Arizona plants have already created more than 25,000 jobs and attracted 14 semiconductor suppliers to the southwestern state.</p>



<h2>GE Aerospace (GE)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2020/03/ge1600-300x169.jpg" alt="Company breakups: The General Electric GE logo on a building"><div>Source: Sundry Photography / Shutterstock.com</div></div><p>Now that General Electric has successfully divided itself into three publicly traded companies, it might be an opportune time to invest in <strong>GE Aerospace </strong>(NYSE:<span><a href="https://investorplace.com/stock-quotes/ge-stock-quote/"><strong>GE</strong></a></span>), which retains the company&rsquo;s original industrial business, including its aircraft engine manufacturing unit. Not only has <a href="https://finance.yahoo.com/news/ge-aerospace-stock-22-upside-182655848.html">GE stock doubled</a> in the past 12 months as the company hived itself into three, but GE Aerospace just announced that it is raising its quarterly dividend payment to shareholders by an astounding 250%.</p>



<p>Going forward, GE Aerospace will pay a quarterly <a href="https://www.investopedia.com/ge-aerospace-stock-surges-as-jet-engine-maker-boosts-its-dividend-250-percent-8627618">dividend of 28 cents</a> per share, up from eight cents previously. Last fall, management outlined plans to return 75% of the company&rsquo;s free cash flow to stockholders in the form of dividends and buybacks once the dust settled on the three-way split. GE Aerospace has said that it expects to generate more than $5 billion of free cash flow this year, which could lead to windfall for current and future shareholders. This makes GE Aerospace a stock to buy as the market peaks. </p>



<h2>Stocks to Buy: Johnson &amp; Johnson (JNJ)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/jnj1600-300x169.jpg" alt="Negative Press Presents a Buying Opportunity with JNJ Stock"><div>Source: Sundry Photography / Shutterstock.com</div></div><p>Now for a buy-the-dip candidate. Pharmaceutical giant <strong>Johnson &amp; Johnson </strong>(NYSE:<span><a href="https://investorplace.com/stock-quotes/jnj-stock-quote/"><strong>JNJ</strong></a></span>) has seen its stock decline 5% so far in 2024. Through 12 months, the company&rsquo;s share price is down 7%. Now might be the time to buy JNJ stock as the company continues to grow through an acquisition strategy. Johnson &amp; Johnson has just announced that it is buying <strong>Shockwave Medical </strong>(NASDAQ:<span><a href="https://investorplace.com/stock-quotes/swav-stock-quote/"><strong>SWAV</strong></a></span>) for $13.10 billion as it grows its <a href="https://www.reuters.com/markets/deals/johnson-johnson-buy-shockwave-medical-125-bln-deal-2024-04-05/">treatments for heart disease</a> and other pulmonary ailments.</p>



<p>The <a href="https://www.ft.com/content/29a3cda2-a233-479c-b73a-953c1762f847">purchase of Shockwave Medical</a> is the largest by Johnson &amp; Johnson since its $16.60 billion acquisition of heart pump maker <strong>Abiomed </strong>in 2022. Shockwave Medical specializes in medical devices that use shockwaves to break down calcified plaque in heart vessels. It&rsquo;s a process that is similar to how kidney stones are broken apart and removed. Under terms of the deal, Johnson &amp; Johnson has agreed to pay $335 per share in cash to acquire Shockwave Medical. The acquisition is expected to close this summer.</p>



<h2>United Parcel Service (UPS)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/06/ups-1600-2-300x169.png" alt="Envelopes with UPS logo on them. UPS stock."><div>Source: monticello / Shutterstock</div></div><p>Another stock that looks like a deal at current levels is <strong>United Parcel Service </strong>(NYSE:<span><a href="https://investorplace.com/stock-quotes/ups-stock-quote/"><strong>UPS</strong></a></span>). The company&rsquo;s <a href="https://www.barrons.com/articles/ups-stock-upgrade-b78a3070">stock is also down 5%</a> this year and looks cheap right now trading at 19 times future earnings estimates and with a quarterly dividend that yields 4.34%. Like the other names on this list, goods things are happening at United Parcel Service with catalysts that are likely to send UPS stock higher in the coming months. </p>



<p>Specifically, United Parcel Service has just struck a deal to become the <a href="https://www.msn.com/en-ca/money/topstories/ups-to-replace-fedex-as-u-s-postal-service-s-primary-air-cargo-provider/ar-BB1kSW2p?ocid=00000000">primary air cargo provider</a> for the U.S. Postal Service, replacing archrival <strong>Federal Express </strong>(NYSE:<span><a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a></span>). FedEx previously had the air cargo contract with the U.S. Postal Service for 22 years and earned $1.73 billion from it in 2023. The contract with the U.S. Postal Service now switches to United Parcel Service in September of this year and will give its earnings a boost going forward. UPS stock has declined 21% over the last year. </p>



<h2>Novo Nordisk (NVO)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/nvo-stock-300x169.jpg" alt="Novo Nordisk logo on a corporate building"><div>Source: joreks / Shutterstock.com</div></div><p>In healthcare, nothing is working right now quite as well as weight-loss drugs. And <strong>Novo Nordisk</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/nvo-stock-quote/"><strong>NVO</strong></a></span>) is leading in this area with its in-demand medications <a href="https://qz.com/novo-nordisk-stock-record-wegovy-ozempic-weight-loss-pi-1851315813">Ozempic and Wegovy</a>. Sales of the weight-loss drugs are rising fast, sending NVO stock higher as a result. Over the past 12 months, Novo Nordisk&rsquo;s share price has gained 57%, including a 22% increase so far in 2024. The growth has made Novo Nordisk one of Europe&rsquo;s largest publicly traded companies with a market capitalization of nearly half a trillion dollars.</p>



<p>Even with the growth from the weight-loss drugs, the Danish pharmaceutical giant isn&rsquo;t sitting idle. Novo Nordisk has announced that it is buying privately held <strong>Cardior Pharmaceuticals </strong>for $1.10 billion. <a href="https://www.reuters.com/markets/deals/novo-nordisk-buy-cardior-pharmaceuticals-up-11-bln-2024-03-25/">The acquisition</a> strengthens Novo Nordisk&rsquo;s pipeline of cardiovascular medications. The company has said that it is expanding its diabetes and weight-loss drugs to also include cardiovascular and heart treatments. </p>



<p>The acquisition includes Cardior Pharmaceuticals&rsquo; lead compound CDR132L that is in Phase II clinical trials for the treatment of heart failure. The purchase of Cardior is expected to close in the current second quarter.</p>



<p><em>On the date of publication, Joel Baglole&nbsp;held long positions in NVDA, AAPL and MSFT. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com&nbsp;<a href="https://nam12.safelinks.protection.outlook.com/?url=https%3A%2F%2Finvestorplace.com%2Fcorporate%2Finvestorplace-publishing-guidelines%2F&amp;data=04%7C01%7C%7C5a525d9084ae4cdfb8f008da1edbf06e%7C84df9e7fe9f640afb435aaaaaaaaaaaa%7C1%7C0%7C637856227247256778%7CUnknown%7CTWFpbGZsb3d8eyJWIjoiMC4wLjAwMDAiLCJQIjoiV2luMzIiLCJBTiI6Ik1haWwiLCJXVCI6Mn0%3D%7C3000&amp;sdata=uLFH3ol2mcVxuJrHYW3xDLVx3qGIvonIwHvcfUa%2Fo24%3D&amp;reserved=0" target="_blank">Publishing Guidelines</a>.</em></p>
<div><p>Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/all-time-high-flyers-7-stocks-to-buy-as-the-market-peaks/">All-Time High Flyers: 7 Stocks to Buy as the Market Peaks</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

All-Time High Flyers: 7 Stocks to Buy as the Market Peaks

The Handoff To Normal?

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>It&rsquo;s a great time to be looking at transportation stocks to buy. Thanks to the <a href="https://www.investopedia.com/terms/r/reshoring.asp">reshoring</a> boom, multinational companies are looking to relocate much of their supply chains and manufacturing capacity back to the United States and the North American free trade zone.</p>



<p>The pandemic, as well as ensuing logistical and supply chain disruptions, have made it clear that companies should position more of their manufacturing assets in North America. To that point, <a href="https://www.nytimes.com/2024/02/07/business/economy/united-states-china-mexico-trade.html">Mexico overtook China</a> as the United States&rsquo; largest trading partner in 2023.  </p>



<p>As that trend grows, it should create greater and greater opportunities for the transportation sector. These are three transportation stocks set to benefit from the reshoring trend.</p>



<h2>Union Pacific (UNP)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/unp1600-300x169.jpg" alt="United Pacific (UNP) switch on tracks near Kansas City."><div>Source: Michael Rosebrock / Shutterstock.com</div></div><p><strong>Union Pacific</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/unp-stock-quote/"><strong>UNP</strong></a></span>) is one of North America&rsquo;s class one railroads. It has dominant market share on many routes within the western part of the United States. </p>



<p>In addition, Union Pacific has been active in the Mexican market for more than <a href="https://www.up.com/aboutup/community/inside_track/union-pacific-de-mexico-it-220511.htm">30 years</a>, as it jumped onto that trend just prior to when the NAFTA free trade deal went into effect. Union Pacific also owns more than one-quarter of a leading Mexican railroad, <strong>Ferromex</strong>, giving it prime exposure to the growing made-in-Mexico movement.</p>



<p>Union Pacific shares have pulled back over the past month. Investors appear to be concerned about rising interest rates and the possibility of economic slowdown. Those are certainly valid worries.</p>



<p>However, with the stock at 21 forward earnings shares after the recent dip, UNP stock is now at a fair price for a tremendous business within the transportation stock sector.</p>



<h2>FedEx (FDX)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/fdx1600-300x169.jpg" alt="A FedEx employee loads a FedEx Express truck in Manhattan."><div>Source: Antonio Gravante / Shutterstock.com</div></div><p><strong>FedEx</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a></span>) is a large transportation and parcel delivery services company. It operates a massive fleet of trucks and airplanes for moving goods and shipments around the country and worldwide. </p>



<p>FedEx has been a significant beneficiary from the growth of e-commerce as people increasingly rely on last mile delivery services to get products to their house. This is a trend which has only accelerated since 2020 as the pandemic led to more online shopping.</p>



<p>There had been concerns that <strong>Amazon</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/amzn-stock-quote/"><strong>AMZN</strong></a></span>) would eat into the market share for FedEx and other parcel services. However, it seems that Amazon has dialed back its investments in logistics and <a href="https://www.fool.com/investing/2023/05/11/amazon-is-about-to-do-something-it-hasnt-since-201/">fulfillment assets</a>. This suggests that FedEx&rsquo;s core operational business retains a strong competitive position.</p>



<p>FedEx recently sold off after a weaker-than-expected <a href="https://investorplace.com/earning-results/2024/03/fdx-stock-earnings-fedex-for-q3-of-2024/">earnings report</a> where revenues missed expectations. As with Union Pacific, investors are selling FedEx on concerns around interest rates and a potential recession. However, this creates a great buy-the-dip opportunity in FDX stock.</p>



<h2>Forward Air (FWRD)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2023/09/airline-stocks1600-1-300x169.png" alt="Aircraft parking at airport runway. Airline stocks"><div>Source: Sugrit Jiranarak / Shutterstock.com</div></div><p><strong>Forward Air</strong> (NASDAQ:<span><a href="https://investorplace.com/stock-quotes/fwrd-stock-quote/"><strong>FWRD</strong></a></span>) is an air freight and logistics company. It operates in two segments: Expedited Freight and Intermodal, and provides services such as local pick-up and delivery, less-than-truckload services, intermodal container drayage services and other such items. Forward Air serves various clients such as cargo carriers, freight forwarders, third-party logistics firms, and retailers.</p>



<p>Forward Air has historically been successful; shares rose from around $5 at the turn of the century to more than $100 per share recently. </p>



<p>However, the company has fallen on hard times thanks to a controversial <a href="https://ir.forwardaircorp.com/news-events/press-releases/detail/367/forward-air-announces-closing-of-omni-logistics-transaction">merger</a> with Omni Logistics. Omni itself was a rollup of several smaller freight companies. Investors are understandably skeptical as to how quickly Forward Air will be able to consolidate Omni&rsquo;s various businesses. It can take a while to wring out the cost synergies and make a large merger like this successful.</p>



<p>That said, FRWD stock is down nearly 75% over the past year. It seems investors have panicked and assumed the worst with this Omni transaction despite the company&rsquo;s strong prior track record. Analysts expect Forward Air to return the strong profitability in 2025, which should set the stage for shares to lift off once again.</p>



<p><em>On the date of publication, Ian Bezek did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com <a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/">Publishing Guidelines</a>.</em></p>
<div><p>Ian Bezek has written more than 1,000 articles for InvestorPlace.com and Seeking Alpha. He also worked as a Junior Analyst for Kerrisdale Capital, a $300 million New York City-based hedge fund. You can reach him on Twitter at @irbezek.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/wall-street-favorites-3-transportation-stocks-with-strong-buy-ratings-for-april-2024/">Wall Street Favorites: 3 Transportation Stocks With Strong Buy Ratings for April 2024</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

Wall Street Favorites: 3 Transportation Stocks With Strong Buy Ratings for April 2024

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>Value stocks are securities that look <a href="https://www.investopedia.com/terms/v/valuestock.asp">fairly or undervalued </a>compared to their earnings, outlook and underlying fundamentals. Value stocks also tend to be of established blue-chip companies that are profitable, stable and pay their shareholders regular dividends. </p>



<p>These stocks are basically the opposite of high-flying <a href="https://investorplace.com/stock-types/growth-stocks/">growth stocks</a> and start-up companies whose share prices rise at a fast rate even if the organization behind the stock is unprofitable, sending the stocks into overvalued territory. </p>



<p>Since the current bull market began in fall 2022, growth stocks have outpaced value stocks by a big margin. The market rally has been fueled by mega-cap <a href="https://investorplace.com/industries/technology/">technology stocks</a>, semiconductor concerns and hype surrounding artificial intelligence. </p>



<p>However, signs are emerging that the rally is broadening out and value stocks are <a href="https://www.barrons.com/articles/value-growth-stocks-winning-funds-fdb7e1de">starting to catch up</a>, driven higher by cost controls, strong earnings, dividend increases and other catalysts that appeal to long-term investors. Value stocks also tend to perform well in times of uncertainty and turbulence such as now. </p>



<p> If you can only buy one value stock in April, it better be one of these three names. </p>



<h2>Costco Wholesale (COST)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2020/03/cost1600-300x169.jpg" alt="A Costco Wholesale (COST) warehouse in Auburn Hills, Michigan."><div>Source: ilzesgimene / Shutterstock.com</div></div><p><strong>Costco Wholesale </strong>(NASDAQ:<span><a href="https://investorplace.com/stock-quotes/cost-stock-quote/"><strong>COST</strong></a></span>) just <a href="https://www.investopedia.com/costco-hikes-dividend-nearly-14-percent-as-sales-rise-8629782">raised its quarterly dividend</a> by 14% as the company&rsquo;s sales remain brisk. The warehouse club will now pay a dividend of $1.15 per share, up from $1.02 a share previously. The new dividend will be paid on May 10 to shareholders of record on April 26. </p>



<p>The dividend increase comes as Costco reported that its March sales rose nearly 10% year-over-year, fueled by growth in its e-commerce unit. In January of this year, Costco paid <a href="https://www.nasdaq.com/articles/costco-to-pay-special-dividend-of-%2415-per-share:-what-you-need-to-know">a special one-time dividend </a>of $15 a share. </p>



<p>Costco&rsquo;s <a href="https://www.barrons.com/articles/costcos-march-sales-jump-ed59dff0?mod=md_stockoverview_news">net sales rose 9.4%</a> in March from a year ago, reaching $23.5 billion. That was an improvement over February&rsquo;s 6.9% sales increase. Same-store sales at Costco climbed 7.7% higher in March from the previous year, which was also better than 5% same-store sales growth in February. </p>



<p>Much of the growth in March came from the online business, with e-commerce sales increasing 28.3% from a year earlier. In February, Costco introduced a new home page for its mobile app and an option for members to pay for online orders using Apple Pay. COST stock has gained 48% over the last 12 months. </p>



<h2>Delta Air Lines (DAL)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/09/dal1600-300x169.jpg" alt="Delta (DAL) airlines plane mid take-off"><div>Source: Markus Mainka / Shutterstock.com</div></div><p><strong>Delta Air Lines</strong> (NYSE:<span><a href="https://investorplace.com/stock-quotes/dal-stock-quote/"><strong>DAL</strong></a></span>) just issued its <a href="https://www.cnbc.com/2024/04/10/delta-air-lines-dal-q1-2024-earnings.html#:~:text=Delta's%20adjusted%20earnings%20of%20%24288,and%20slightly%20below%20analysts'%20expectations.">earnings report</a> for this year&rsquo;s first quarter and it was an impressive print. The carrier swung to a profit and announced record sales as global travel demand continues to strengthen. Delta reported earnings per share of 49 cents versus 36 cents that was expected among analysts. </p>



<p>Revenue for the January through March quarter totaled $12.56 billion, slightly below Wall Street forecasts of $12.59 billion but a record for the first quarter of any year at the airline. </p>



<p>Delta said that it is benefitting from a surge in bookings for both leisure and business travel. <a href="https://www.barrons.com/news/delta-eyes-record-q2-on-still-strong-demand-0778d7c5">Looking ahead</a>, the carrier forecast second-quarter 2024 earnings of $2.20 to $2.50 a share, which is ahead of analysts&rsquo; forecast of $2.23 per share. </p>



<p>For all of this year, Delta reiterated its full year forecast for $6 to $7 a share in earnings and free cash flow of $3 billion to $4 billion. </p>



<p><a href="https://www.cnn.com/2024/04/10/business/delta-earnings/index.html">DAL stock rose 5%</a> on news of the latest earnings. Over the last 12 months, the company&rsquo;s share price has increased 35%. However, the stock is still trading approximately 20% lower than where it was pre-pandemic.</p>



<h2>Federal Express (FDX)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/fdx1600-300x169.jpg" alt="A FedEx employee loads a FedEx Express truck in Manhattan."><div>Source: Antonio Gravante / Shutterstock.com</div></div><p>The stock of <strong>FedEx </strong>(NYSE:<span><a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a></span>) is recovering after the shipping and logistics giant delivered financial results that <a href="https://www.investors.com/news/fedex-stock-revenue-decline-expected-with-2024-guidance-at-risk/">impressed Wall Street</a>. FDX stock jumped 12% higher after the company reported earnings of $3.86 a share and revenue of $21.70 billion for what was its fiscal third quarter. </p>



<p>In contrast, analysts were looking for earnings of $3.43 and sales of $22 billion. The results were mostly due to cost controls as demand for FedEx&rsquo;s shipping services remains tepid after the Covid-19 pandemic.</p>



<p>Still, investors seem pleased with the overall results at FedEx. The company reported an operating profit margin of 6%, up one percentage point year-over-year. Wall Street was anticipating a profit margin of 5.5%. The company also reported that its e-commerce activity normalized in the most recent quarter and is growing again for the first time since the pandemic effectively ended in late 2022. FDX stock is now out of the red and up 6% on the year, bringing its <a href="https://www.reuters.com/business/fedex-raises-2024-profit-forecast-cost-cuts-2024-03-21/">12-month increase to 17%</a>. </p>



<p><em>On the date of publication, Joel Baglole did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the <em>InvestorPlace.com&nbsp;</em><a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/" target="_blank"><em>Publishing Guidelines</em></a><em>.</em></em></p>
<div><p>Joel Baglole has been a business journalist for 20 years. He spent five years as a staff reporter at The Wall Street Journal, and has also written for The Washington Post and Toronto Star newspapers, as well as financial websites such as The Motley Fool and Investopedia.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/if-you-can-only-buy-one-value-stock-in-april-it-better-be-one-of-these-3-names/">If You Can Only Buy One Value Stock in April, It Better Be One of These 3 Names</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

If You Can Only Buy One Value Stock in April, It Better Be One of These 3 Names

<p><a href="https://investorplace.com">InvestorPlace - Stock Market News, Stock Advice &amp; Trading Tips</a></p>
<p>With <a href="https://thehill.com/business/4561631-corporate-hit-record-high-as-economy-boomed-in-fourth-quarter-of-2023/">corporate profits at record highs</a>, many companies are returning much of that cash to investors through share repurchase programs. You can profit from this trend by entering long-term positions in buyback stocks.</p>



<p>Share repurchases may have their social and political critics, but from the investor&rsquo;s standpoint, stock buybacks can be an effective tool for a company to maximize shareholder value. By <a href="https://www.investopedia.com/terms/s/sharerepurchase.asp">reducing the amount of shares outstanding</a>, repurchases can provide a lift for earnings per share.</p>



<p>As stocks typically rise over the long term in tandem with increases in per-share earnings, share repurchase programs can ultimately boost long-term total returns.</p>



<p>So, what are some examples of top buyback stocks right now? Consider these seven. Each of them has initiated or expanded a large-scale share repurchase program in recent months.</p>



<h2>Buyback Stocks: Adobe (ADBE)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/04/adbe-1600-1-300x169.png" alt="Adobe logo on the smartphone screen is placed on the Apple macbook keyboard on red desk background. ADBE stock."><div>Source: Tattoboo / Shutterstock</div></div><p>Last month, software giant <strong>Adobe</strong> (NASDAQ:<a href="https://investorplace.com/stock-quotes/adbe-stock-quote/"><strong>ADBE</strong></a>) announced plans to repurchase up to <a href="https://news.adobe.com/news/news-details/2024/Adobe-Announces-New-25-Billion-Stock-Repurchase-Program/default.aspx">$25 billion</a> worth of shares between now and 2028. Based on Adobe&rsquo;s current market cap, this represents around 11.8% of ADBE&rsquo;s outstanding share count.</p>



<p>This buyback news has thus far had zero impact on ADBE stock. In fact, waning excitement about the generative AI growth trend has overshadowed it. Nevertheless, in time, this buyback could play a role in getting ADBE moving in the right direction once again.</p>



<p>Why? Steadily decreasing the share count won&rsquo;t be the main driver, but alongside organic growth, it may contribute to Adobe delivering earnings growth in line with forecasts. </p>



<p>The sell-side estimates that Adobe&rsquo;s earnings will grow by around <a href="https://www.wsj.com/market-data/quotes/adbe">13%</a> during the fiscal year ending November 2025, with earnings experiencing another 13.4% increase during the fiscal year ending November 2026.</p>



<h2>Darden Restaurants (DRI)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/dri1600-300x169.jpg" alt="an Olive Garden sign on the front of the restaurant"><div>Source: Shutterstock</div></div><p>On March 21, <strong>Darden Restaurants</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/dri-stock-quote/"><strong>DRI</strong></a>) become one of the top buyback stocks, when the Olive Garden and Longhorn Steakhouse parent unveiled outside its latest earnings release plans to buy back up to <a href="https://investor.darden.com/news/news-details/2024/Darden-Restaurants-Reports-Fiscal-2024-Third-Quarter-Results-Declares-Quarterly-Dividend-Authorizes-New-1-Billion-Share-Repurchase-Program-And-Updates-Fiscal-2024-Financial-Outlook/default.aspx">$1 billion</a> worth of DRI shares.</p>



<p>Admittedly, while $1 billion is a significant sum, for those aware of Darden&rsquo;s market cap, it may sound like a drop in the bucket. If the company were to repurchase DRI stock worth $1 billion today, this would only decrease DRI&rsquo;s outstanding share count by around 5.5%. </p>



<p>However, it&rsquo;s not as if Darden&rsquo;s share repurchase program is the only catalyst at play for the stock. <em>InvestorPlace&rsquo;s</em> Joel Baglole recently argued that the company&rsquo;s recent acquisition of Ruth Chris Steak House, plus the possibility of better-than-feared results following mixed results last quarter, are <a href="https://investorplace.com/2024/04/the-7-most-undervalued-sleeper-stocks-to-buy-in-april-2024/">two additional factors</a> that could give shares a lift down the road.</p>



<h2>Buyback Stocks: eBay (EBAY)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/ebay1600c-300x169.jpg" alt="an ebay shipping box. cheap stocks"><div>Source: ShutterStockStudio / Shutterstock.com</div></div><p>Back in February, alongside its latest fiscal results, <strong>eBay</strong> (NASDAQ:<a href="https://investorplace.com/stock-quotes/ebay-stock-quote/"><strong>EBAY</strong></a>) announced that it had increased its share repurchase program by <a href="https://www.investopedia.com/ebay-among-top-s-and-p-500-gainers-with-8-surge-on-buoyant-results-buyback-plan-8601481">$2 billion</a>. </p>



<p>This means that the online auction marketplace operator is now authorized to buy back as much as $3.4 billion worth of its outstanding shares.</p>



<p>Considering EBAY&rsquo;s current market cap of $26.6 billion, this means the company could retire as much as 12.8% of its outstanding shares. Decreasing the share count would help to counter the company&rsquo;s weak earnings growth in recent years, which has had a negative impact on the performance of EBAY stock.</p>



<p>That&rsquo;s not all. Ebay is also aggressively reducing operating expenses, including <a href="https://www.bloomberg.com/news/articles/2024-01-24/ebay-to-cut-1-000-jobs-reduce-contractors-to-sharpen-focus">mass layoffs</a>, which stand to increase profitability. Even if growth remains slow, enhancements to the bottom line may lead to a re-rating for this undervalued tech stock, which currently trades for only 11 times forward earnings.</p>



<h2>FedEx (FDX)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/08/fdx1600-300x169.jpg" alt="A FedEx employee loads a FedEx Express truck in Manhattan."><div>Source: Antonio Gravante / Shutterstock.com</div></div><p><strong>FedEx&rsquo;s</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/fdx-stock-quote/"><strong>FDX</strong></a>) post-pandemic slump may end soon. At least based on the shipping company&rsquo;s most recently released fiscal results. </p>



<p>Although growth has yet to re-accelerate to Covid-era levels, much like other companies facing a growth slowdown, FedEx is making up for it through cost reduction efforts.</p>



<p>These efforts <a href="https://www.investopedia.com/fedex-stock-surges-as-earnings-get-a-boost-from-cost-cutting-efforts-8613003">were material in last quarter&rsquo;s earnings beat</a>. However, it wasn&rsquo;t just better-than-expected results that resulted in FDX stock surging following the March 21 earnings release. Rather, it was news of Fedex&rsquo;s latest share repurchase plans. </p>



<p>Adding to the $1 billion in share repurchases last quarter, the company announced it would buy back another $5 billion in stock. Against FDX&rsquo;s current market cap of $65.9 billion, this means that Fedex is authorized to buy back as much as 7.6% of its outstanding shares. With this in mind, consider FDX one of the top buyback stocks to buy.</p>



<h2>Buyback Stocks: ODP Corporation (ODP)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/04/office-1600-300x169.png" alt="Group of colleagues discuss something in an office conference room. commercial real estate"><div>Source: GaudiLab / Shutterstock</div></div><p><strong>ODP</strong> <strong>Corporation</strong> (NASDAQ:<a href="https://investorplace.com/stock-quotes/odp-stock-quote/"><strong>ODP</strong></a>) is the parent company of office supply retailers OfficeMax and Office Depot. Even as the company has reported declining sales and lackluster earnings growth in recent years, shares have performed well over the past few months.</p>



<p>While not certain, a reason for this may be recent activist investor involvement. Back in December, hedge fund <strong>Arex Capital Management</strong> <a href="https://www.globenewswire.com/news-release/2023/12/18/2797890/0/en/AREX-Capital-Issues-Letter-to-Board-of-Directors-of-The-ODP-Corporation.html">started pushing</a> for ODP&rsquo;s board to make sweeping changes to unlock value out of ODP stock, which trades at a highly discounted 8.9 times forward earnings.</p>



<p>In February, the company responded with its own set of proposed big moves. These included cost-cutting plans, as well as plans to buy back <a href="https://www.theodpcorp.com/news-releases/news-release-details/odp-corporation-announces-fourth-quarter-and-full-year-2023">$1 billion</a> worth of shares. For reference, ODP has a market cap of just $1.85 billion. Implementation of this share repurchase plan could go a long way in sending ODP to much higher prices. </p>



<h2>PVH (PVH)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2022/04/retail-shopping-1600-300x169.png" alt="Friends sit on a ledge with shopping bags after shopping retail stores. Retail Stocks to Buy"><div>Source: Rawpixel.com / Shutterstock</div></div><p>Earlier this month, <strong>PVH&rsquo;s</strong> (NYSE:<a href="https://investorplace.com/stock-quotes/pvh-stock-quote/"><strong>PVH</strong></a>) latest quarterly earnings release elicited a negative reaction from the market.</p>



<p>On the heels of lackluster guidance, shares in the apparel company tumbled by over 22%. However, there was a silver lining contained within the earnings release.</p>



<p>That would be the Tommy Hilfiger and Calvin Klein parent&rsquo;s plans to buy back <a href="https://www.pvh.com/news/press-releases/PVH-Corp-Reports-2023-Fourth-Quarter-Revenue-and-Earnings-Above-Guidance-and-Provides-2024-Outlook">$2 billion</a> worth of PVH stock between now and July 2028. </p>



<p>As $2 billion represents nearly a third of PVH&rsquo;s current valuation, this development makes it one of the top buyback stocks. Sure, the impact of this buyback will play out slowly. However, a rebound could happen far sooner</p>



<p>How so? As a <em>Seeking Alpha</em> commentator Seeking Profits argued in a post-earnings write-up on PVH, the aforementioned <a href="https://seekingalpha.com/article/4681764-pvh-2024-guidance-may-be-overly-conservative">weak guidance may have been overly conservative</a>. This suggests the strong possibility that the company delivers positive surprises with its next few earnings releases.</p>



<h2>Buyback Stocks: Ulta Beauty (ULTA)</h2>



<div><img width="300" height="169" src="https://investorplace.com/wp-content/uploads/2019/07/ULTA1600-300x169.jpg" alt="Orange Ulta Beauty (ULTA) logo on storefront"><div>Source: Jonathan Weiss / Shutterstock.com</div></div><p><strong>Ulta Beauty</strong> (NASDAQ:<a href="https://investorplace.com/stock-quotes/ulta-stock-quote/"><strong>ULTA</strong></a>) is another example of buyback news getting overshadowed by disappointing guidance. </p>



<p>In its Q4 2023 earnings release, Ulta reported results that exceeded expectations. The beauty retailer also said that it was launching a new $2 billion share repurchase program.</p>



<p>However, instead of focusing on these positives, investors <a href="https://www.investopedia.com/ulta-beauty-stock-falls-on-weak-margin-forecast-8609574">focused mostly on Ulta&rsquo;s guidance calling for weak margins</a>. To make matters worse, ULTA stock has continued to tank over concerns about a <a href="https://seekingalpha.com/news/4086868-cosmetics-stocks-slump-after-ulta-beauty-warns-on-beauty-sales-slowdown">beauty sales slowdown</a>. </p>



<p>However, in response to this sell off Loop Capital&rsquo;s Anthony Chukumba has upgraded ULTA from &ldquo;hold&rdquo; to &ldquo;buy,&rdquo; stating this <a href="https://www.barrons.com/articles/ulta-beauty-stock-upgrade-42c069c0">selloff was &ldquo;overdone.&rdquo;</a></p>



<p>While not citing the buyback plans in his upgrade, Chukumba did note that Ulta may soon start to return cash to shareholders in another way: by starting to pay a quarterly dividend. The analyst believes making such a move could result in a positive response from the market.</p>



<p><em>On the date of publication, Thomas Niel did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com</em><a href="https://investorplace.com/corporate/investorplace-publishing-guidelines/"><em>Publishing Guidelines</em></a><em>.</em></p>
<div><p>Thomas Niel, contributor for InvestorPlace.com, has been writing single-stock analysis for web-based publications since 2016.</p></div><h3>More From InvestorPlace</h3>
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<p>The post <a href="https://investorplace.com/2024/04/7-buyback-kings-to-buy-as-corporate-cash-floods-market/">7 Buyback Kings to Buy as Corporate Cash Floods the Market</a> appeared first on <a href="https://investorplace.com">InvestorPlace</a>.</p>

7 Buyback Kings to Buy as Corporate Cash Floods the Market

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Press Releases

FedEx Initiates $1.0 Billion Accelerated Share Repurchase Agreement as Part of Its Commitment to Enhance Capital Returns to Stockholders

Airship AI Makes Its Debut On The Nasdaq After Completing Merger With BYTE Acquisition Corp.

FedEx Announces First-Of-Its-Kind Data-Driven Commerce Platform

FedEx delivers the Vince Lombardi Trophy to Las Vegas ahead of Super Bowl LVIII

FedEx Corp. Board Declares Quarterly Dividend

FedEx Continues Pledge to HBCUs with Announcement of Third Student Ambassador Cohort

FedEx to Launch 12th Annual Small Business Grants Program

FedEx EVP/CIO Robert B. Carter to Step Down June 30, 2024

Monkey Rock Group Inc. (OTC: MKRO) Stock on Radar This Month

FedEx Reports Higher Third Quarter Diluted EPS of $3.51 and Adjusted Diluted EPS of $3.86

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Air T

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BEST Inc. American Depositary Shares, each representing twenty (20) Class A Ordinary Shares

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FedEx Stock (NYSE:FDX), Trade Ideas