Earnings Alerts

FedEx Corp (FDX) Earnings: 1Q Adjusted EPS Misses Estimates Significantly

By September 20, 2024 No Comments
  • FedEx 1Q Adjusted EPS: Underperformed expectations with an EPS of $3.60, falling short of the estimated $4.77.
  • Revenue: Reported revenue of $21.6 billion, which did not meet the estimate of $21.93 billion.
  • Adjusted Operating Income: Recorded at $1.21 billion, below the expected $1.63 billion.
  • Adjusted Operating Margin: Stood at 5.6%, whereas the estimate was 7.41%.
  • CEO’s Comments: Raj Subramaniam, President and CEO of FedEx, emphasized a focus on network transformation, efficiency improvement, cost reduction, and adaptability to market changes.
  • Analyst Ratings: 24 buys, 10 holds, 1 sell.

FedEx Corp on Smartkarma

Analysts at Baptista Research on Smartkarma have provided insightful coverage of FedEx Corp, offering a positive outlook on the company’s performance and strategic moves. In one report titled “FedEx Corporation: Can The Potential Sale of FedEx Freight Enable Some Kind Of Strategic Growth? – Major Drivers,” Baptista Research highlighted the company’s strong finish in fiscal year 2024, navigating through challenges in the global logistics landscape. The analysis delves into FedEx’s revenue growth, structural reforms for efficiency, and outlines factors influencing its future price, including a Discounted Cash Flow valuation.

In another report, “FedEx Corporation: Will The Implementation Of The One FedEx Strategy Pay Off? – Major Drivers,” Baptista Research discusses the company’s improved profits in the third quarter of Fiscal Year 2024, despite revenue declines. The report credits FedEx’s customer service excellence and transformation initiatives for driving profitability. Overall, the analysis showcases optimism for FedEx’s strategic direction and operational management, indicating a bullish sentiment towards the company’s growth prospects.


A look at FedEx Corp Smart Scores

FactorScoreMagnitude
Value3
Dividend3
Growth3
Resilience2
Momentum4
OVERALL SMART SCORE3.0

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Based on the Smartkarma Smart Scores, FedEx Corp seems to have a promising long-term outlook. With a Momentum score of 4, the company appears to have strong positive price momentum, indicating potential growth in the future. Additionally, receiving a score of 3 in both Value and Dividend factors suggests that FedEx Corp is reasonably priced and offers a stable dividend to investors. The Growth score of 3 further supports the expectation of potential expansion and increase in earnings for the company.

However, the Resilience score of 2 indicates that FedEx Corp may have some vulnerabilities that could impact its ability to withstand economic challenges. Despite this, the overall Smart Scores paint a positive picture for FedEx Corp‘s prospects moving forward, with particular strengths in momentum, value, and growth factors. With its global network and diverse range of services, FedEx Corp is positioned to leverage these strengths for continued success in the delivery and logistics industry.


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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