Fedex pays a small dividend (1.6%) and trades at just 11x forward earnings estimates. Its stock price has come off significantly since late last year when it had some unexpected management departures, announced poor Q2 results, and lowered forward looking guidance. Further, in June, Fedex cut ties with Amazon as a customer. And while Amazon represents less than 1.3% of sales, it was symbolic in Fedex’ acknowledgement of Amazon as a competitor.
All that said, the industry continues to see meaningful volume growth, particularly on the back of rising e-commerce deliveries.
This video explores whether now might be a good entry point to invest in $FDX stock. The video reviews the company’s business, financials, and concludes with key considerations for investors including #bull, base, and #bear case scenarios for the stock.
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