Pinnacle Associates Ltd. Decreases Position in FedEx Corporation $FDX

Pinnacle Associates Ltd. cut its position in FedEx Corporation (NYSE:FDX) by 6.1% in the 4th quarter, according to its most recent disclosure with the SEC. The fund owned 76,287 shares of the shipping service provider’s stock after selling 4,936 shares during the period. Pinnacle Associates Ltd.’s holdings in FedEx were worth $22,036,000 as of its most recent SEC filing.

Other large investors have also bought and sold shares of the company. Grey Fox Wealth Advisors LLC purchased a new position in FedEx in the third quarter worth about $27,000. Wealth Watch Advisors INC purchased a new position in FedEx in the third quarter worth about $28,000. Ameriflex Group Inc. raised its holdings in FedEx by 103.3% in the third quarter. Ameriflex Group Inc. now owns 124 shares of the shipping service provider’s stock worth $29,000 after buying an additional 63 shares during the last quarter. Ulland Investment Advisors LLC purchased a new position in FedEx in the fourth quarter worth about $29,000. Finally, ORG Partners LLC raised its holdings in FedEx by 50.0% in the fourth quarter. ORG Partners LLC now owns 105 shares of the shipping service provider’s stock worth $30,000 after buying an additional 35 shares during the last quarter. 84.47% of the stock is owned by hedge funds and other institutional investors.

FedEx Stock Performance

FDX opened at $369.50 on Thursday. The company has a current ratio of 1.47, a quick ratio of 1.44 and a debt-to-equity ratio of 0.77. The company has a market cap of $88.17 billion, a price-to-earnings ratio of 19.66, a PEG ratio of 1.43 and a beta of 1.29. The company’s 50 day moving average is $369.26 and its 200 day moving average is $326.86. FedEx Corporation has a 12-month low of $214.35 and a 12-month high of $404.03.

FedEx (NYSE:FDX) last posted its quarterly earnings data on Thursday, March 19th. The shipping service provider reported $5.25 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $4.12 by $1.13. The company had revenue of $24 billion for the quarter, compared to the consensus estimate of $23.44 billion. FedEx had a net margin of 4.88% and a return on equity of 16.76%. The firm’s revenue was up 8.3% compared to the same quarter last year. During the same quarter last year, the firm posted $4.51 earnings per share. On average, equities research analysts predict that FedEx Corporation will post 19.72 EPS for the current year.

FedEx Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, April 1st. Investors of record on Monday, March 9th were issued a $1.45 dividend. The ex-dividend date of this dividend was Monday, March 9th. This represents a $5.80 dividend on an annualized basis and a dividend yield of 1.6%. FedEx’s dividend payout ratio (DPR) is presently 30.87%.

Insider Buying and Selling at FedEx

In related news, Director Susan C. Schwab sold 5,795 shares of the firm’s stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $369.00, for a total value of $2,138,355.00. Following the transaction, the director owned 10,038 shares of the company’s stock, valued at approximately $3,704,022. This trade represents a 36.60% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, EVP Tracy B. Brightman sold 16,959 shares of FedEx stock in a transaction that occurred on Wednesday, April 15th. The shares were sold at an average price of $363.47, for a total transaction of $6,164,087.73. Following the transaction, the executive vice president directly owned 11,052 shares in the company, valued at $4,017,070.44. This represents a 60.54% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 48,104 shares of company stock worth $17,599,006. 0.53% of the stock is owned by corporate insiders.

Wall Street Analyst Weigh In

FDX has been the subject of several recent analyst reports. Susquehanna lifted their target price on shares of FedEx from $410.00 to $455.00 and gave the stock a “positive” rating in a report on Friday, March 20th. Citigroup lifted their price target on shares of FedEx from $327.00 to $401.00 and gave the stock a “buy” rating in a research note on Thursday, February 5th. HSBC upgraded shares of FedEx from a “reduce” rating to a “hold” rating and set a $360.00 price target for the company in a research note on Friday, March 20th. Sanford C. Bernstein lifted their price target on shares of FedEx from $457.00 to $470.00 and gave the stock an “outperform” rating in a research note on Thursday, April 9th. Finally, Wolfe Research reduced their price target on shares of FedEx from $427.00 to $423.00 and set an “outperform” rating for the company in a research note on Tuesday, April 7th. Eighteen analysts have rated the stock with a Buy rating, ten have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat.com, FedEx currently has a consensus rating of “Moderate Buy” and an average target price of $398.04.

Key Stories Impacting FedEx

Here are the key news stories impacting FedEx this week:

• Positive Sentiment: FedEx’s board approved the spin-off of its FedEx Freight unit, a move that should sharpen the company’s focus on its higher-margin package and air network businesses and could unlock value for shareholders. FedEx Board of Directors Approves Spin-off of FedEx Freight
• Positive Sentiment: The company set the distribution ratio for the freight spinoff at one FedEx Freight share for every two FedEx shares held, and the new Freight entity is expected to begin trading on June 1, giving investors clearer visibility into the transaction timeline. FedEx sets one-for-two share ratio for freight unit spinoff
• Neutral Sentiment: FedEx management said Amazon’s new logistics offering is not a major threat to its business, suggesting the company believes its network and services remain differentiated. FedEx Boss Dismisses Threat From New Amazon Logistics Service
• Neutral Sentiment: Analysts at JPMorgan kept a neutral view on FDX, while Barclays reportedly reiterated a buy rating, indicating Wall Street remains mixed but generally constructive on the stock after the restructuring news. FedEx (NYSE:FDX) Receives “Neutral” Rating from JPMorgan Chase & Co.
• Negative Sentiment: The stock was also described as sliding in the latest session, reflecting some profit-taking or caution even as the broader market rose. FedEx (FDX) Stock Slides as Market Rises: Facts to Know Before You Trade

FedEx Profile

FedEx Corporation (NYSE: FDX) is a global logistics and courier company headquartered in Memphis, Tennessee. Founded by Frederick W. Smith in 1971 and beginning operations in the early 1970s, the company pioneered overnight express shipping and has since expanded into a diversified portfolio of transportation, e-commerce and supply-chain services. FedEx operates an integrated air-and-ground network that moves parcels, freight and documents for businesses and consumers worldwide.

FedEx’s core operating segments include express parcel delivery via its FedEx Express division, domestic and residential parcel delivery through FedEx Ground, less-than-truckload (LTL) freight services, and logistics and supply-chain management solutions.