Recent News
Feb. 12, 2026 — FedEx hosted its 2026 Investor Day, unveiling strategic initiatives focused on premium verticals, digital and AI scaling, network transformation, and targets for margin and free-cash-flow improvement. Jan. 27, 2026 — FedEx Freight priced $3.7 billion of senior notes as part of financing for the planned spin-off. Jan. 25, 2026 — analyst consensus aggregated to a “Hold” recommendation, with mixed individual target revisions and a broker twelve‑month average price objective below current trading levels.
Technical Analysis
Directional indicators: ADX measures 41.92, indicating a very strong trend; DI+ sits at 44.34 and is increasing, while DI- reads 11.58 and is decreasing — a clear bullish directional picture that supports the near-term continuation implicit in the introduction.
MACD momentum: MACD equals 17.41 and is increasing, above the signal line at 13.55, which confirms bullish momentum and suggests continuation of recent upside in the near term.
MRO (Momentum/Regression Oscillator): MRO registers 18.9 and is increasing; because MRO sits positive, price trades above the target and shows heightened potential for corrective pressure even as momentum remains constructive.
RSI and overbought condition: RSI equals 71.87 and is increasing, indicating overbought conditions that raise the probability of a short-term pullback or consolidation despite bullish momentum signals.
Price vs averages and bands: Close at $367.16 sits well above the 200‑day average ($250.95) and above the 20‑day average ($340.15); price12‑day EMA at $349.76 trends upward. The stock trades nearer the upper Bollinger band (upper 1x = $369.49), reinforcing that gains have moved price toward short-term extremes and increasing the chance of a consolidation phase relative to the WMDST valuation context.
Volume and volatility: Ten‑day average volume (2,245,543) exceeds the latest session volume (1,848,281), while 42‑day volatility stays low (0.02), suggesting moves occurred with moderate participation and leave room for follow‑through if volume reaccelerates.
Fundamental Analysis
Operating profitability and margins: Operating (EBIT) equals $1,621,000,000 and operating margin stands at 6.907%, up 18.37% QoQ and up 10.11% YoY — margin expansion aligns with management’s network transformation goals and supports the valuation narrative. Compared with the industry peer mean operating margin of 30.776% and median of 42.63%, operating margin remains below the industry peer mean and median.
Revenue and growth: Total revenue registers $23,469,000,000 with revenue growth YoY at 2.06% and revenue growth QoQ at 49.99% (seasonal timing reflected). YoY revenue growth remains modest while sequential growth shows strong seasonal lift, which complements margin progress for near‑term earnings quality.
Earnings and cash flow: Reported EPS actual at $4.82 versus estimate $4.11 produces an EPS surprise of +17.3%. Operating cash flow equals $1,951,000,000 and free cash flow equals $1,194,000,000; free cash flow yield totals 1.962%, above the industry peer mean of 0.647%, indicating relatively strong cash conversion against peers.
Capital structure and coverage: Total debt equals $37,766,000,000 with net debt of $14,625,000,000. Debt to assets stands at 42.35%, modestly above the industry peer mean of 36.03% and median of 38.26% but below the peer high. Debt to equity equals 1.342 and debt to EBITDA runs 14.04; interest coverage equals 16.89x, well above the industry peer mean of 8.14x, demonstrating ample coverage of interest obligations.
Valuation context: Trailing PE equals 53.73 and forward PE equals 47.12; price-to-book equals 2.16 (below the industry peer mean of 6.05 and median of 7.37). Enterprise multiple sits at 34.23, slightly below the industry peer range low. WMDST values the stock as under‑valued, a conclusion that balances above‑average profitability improvement, strong cash coverage, and a capital structure that shows higher leverage but robust interest coverage.
MOST-RECENT QUARTERLY REPORT
| REPORT PERIOD ENDING: | 2025-11-30 |
| REPORT DATE: | 2025-12-18 |
| NEXT REPORT DATE: | 2026-03-19 |
| CASH FLOW | Begin Period Cash Flow | $ 6.2 B |
| Operating Cash Flow | $ 2.0 B | |
| Capital Expenditures | $ -757.00 M | |
| Change In Working Capital | $ -1.18 B | |
| Dividends Paid | $ -342.00 M | |
| Cash Flow Delta | $ 404.0 M | |
| End Period Cash Flow | $ 6.6 B | |
| INCOME STATEMENT | REVENUE | |
| Total Revenue | $ 23.5 B | |
| Forward Revenue | $ 7.7 B | |
| COSTS | ||
| Cost Of Revenue | $ 18.3 B | |
| Depreciation | $ 1.1 B | |
| Depreciation and Amortization | $ 1.1 B | |
| Research and Development | — | |
| Total Operating Expenses | $ 21.8 B | |
| PROFITABILITY | ||
| Gross Profit | $ 5.1 B | |
| EBITDA | $ 2.7 B | |
| EBIT | $ 1.6 B | |
| Operating Income | $ 1.6 B | |
| Interest Income | $ -135.00 M | |
| Interest Expense | — | |
| Net Interest Income | $ -135.00 M | |
| Income Before Tax | $ 1.3 B | |
| Tax Provision | $ 333.0 M | |
| Tax Rate | 25.8 % | |
| Net Income | $ 956.0 M | |
| Net Income From Continuing Operations | $ 956.0 M | |
| EARNINGS | ||
| EPS Estimate | $ 4.11 | |
| EPS Actual | $ 4.82 | |
| EPS Difference | $ 0.71 | |
| EPS Surprise | 17.275 % | |
| Forward EPS | $ 5.35 | |
| BALANCE SHEET | ASSETS | |
| Total Assets | $ 89.2 B | |
| Intangible Assets | $ 6.6 B | |
| Net Tangible Assets | $ 21.5 B | |
| Total Current Assets | $ 20.7 B | |
| Cash and Short-Term Investments | $ 6.6 B | |
| Cash | $ 6.6 B | |
| Net Receivables | $ 12.2 B | |
| Inventory | $ 631.0 M | |
| Long-Term Investments | $ 4.4 B | |
| LIABILITIES | ||
| Accounts Payable | $ 4.7 B | |
| Short-Term Debt | $ 901.0 M | |
| Total Current Liabilities | $ 16.2 B | |
| Net Debt | $ 14.6 B | |
| Total Debt | $ 37.8 B | |
| Total Liabilities | $ 61.0 B | |
| EQUITY | ||
| Total Equity | $ 28.1 B | |
| Retained Earnings | $ 42.2 B | |
| VALUATION & PER-SHARE METRICS | EQUITY & PER-SHARE METRICS | |
| Book Value Per-Share | $ 119.74 | |
| Shares Outstanding | 235.000 M | |
| Revenue Per-Share | $ 99.87 | |
| VALUATION | Market Capitalization | $ 60.9 B |
| Enterprise Value | $ 92.1 B | |
| Enterprise Multiple | 34.234 | |
| Enterprise Multiple QoQ | -4.1 % | |
| Enterprise Multiple YoY | 32.631 % | |
| Enterprise Multiple IPRWA | high: 75.058 mean: 50.635 median: 49.865 low: 34.46 FDX: 34.234 |
|
| EV/R | 3.922 | |
| CAPITAL STRUCTURE | ||
| Asset To Equity | 3.169 | |
| Asset To Liability | 1.461 | |
| Debt To Capital | 0.573 | |
| Debt To Assets | 0.423 | |
| Debt To Assets QoQ | -1.222 % | |
| Debt To Assets YoY | 6010.823 % | |
| Debt To Assets IPRWA | high: 0.499 FDX: 0.423 median: 0.383 mean: 0.36 low: 0.091 |
|
| Debt To Equity | 1.342 | |
| Debt To Equity QoQ | -1.676 % | |
| Debt To Equity YoY | 5899.464 % | |
| Debt To Equity IPRWA | high: 2.198 FDX: 1.342 mean: 1.203 median: 1.113 low: 0.166 |
|
| PRICE-BASED VALUATION | ||
| Price To Book (P/B) | 2.163 | |
| Price To Book QoQ | 12.103 % | |
| Price To Book YoY | -15.148 % | |
| Price To Book IPRWA | high: 9.141 median: 7.369 mean: 6.049 FDX: 2.163 low: 1.344 |
|
| Price To Earnings (P/E) | 53.73 | |
| Price To Earnings QoQ | -9.372 % | |
| Price To Earnings YoY | -22.289 % | |
| Price To Earnings IPRWA | high: 219.55 mean: 137.396 FDX: 53.73 median: 38.512 low: -54.552 |
|
| PE/G Ratio | 2.079 | |
| Price To Sales (P/S) | 2.593 | |
| Price To Sales QoQ | 7.663 % | |
| Price To Sales YoY | -15.536 % | |
| Price To Sales IPRWA | high: 22.365 median: 22.128 mean: 19.497 FDX: 2.593 low: 1.646 |
|
| FORWARD MULTIPLES | ||
| Forward P/E | 47.12 | |
| Forward PE/G | 1.823 | |
| Forward P/S | 7.985 | |
| EFFICIENCY | OPERATIONAL | |
| Operating Leverage | 4.519 | |
| ASSET & SALES | ||
| Asset Turnover Ratio | 0.264 | |
| Asset Turnover Ratio QoQ | 4.586 % | |
| Asset Turnover Ratio YoY | 3.586 % | |
| Asset Turnover Ratio IPRWA | high: 0.454 FDX: 0.264 mean: 0.113 median: 0.088 low: 0.066 |
|
| Receivables Turnover | 1.983 | |
| Receivables Turnover Ratio QoQ | 1.982 % | |
| Receivables Turnover Ratio YoY | -5.013 % | |
| Receivables Turnover Ratio IPRWA | high: 8.129 mean: 3.585 median: 3.219 FDX: 1.983 low: 1.261 |
|
| Inventory Turnover | 29.696 | |
| Inventory Turnover Ratio QoQ | 2.031 % | |
| Inventory Turnover Ratio YoY | 5.116 % | |
| Inventory Turnover Ratio IPRWA | FDX: 29.696 high: 7.06 mean: 4.594 median: 4.257 low: 1.117 |
|
| Days Sales Outstanding (DSO) | 46.025 | |
| CASH CYCLE | ||
| Cash Conversion Cycle Days (CCC) | 26.132 | |
| Cash Conversion Cycle Days QoQ | -9.379 % | |
| Cash Conversion Cycle Days YoY | -2.26 % | |
| Cash Conversion Cycle Days IPRWA | high: 27.149 FDX: 26.132 mean: 1.611 median: -11.772 low: -28.004 |
|
| CAPITAL DEPLOYMENT | ||
| Cash Conversion Ratio | 5.287 | |
| CapEx To Revenue | -0.032 | |
| CapEx To Depreciation | -0.709 | |
| CAPITAL, LIQUIDITY & COVERAGE | CAPITAL STRUCTURE | |
| Total Capital | $ 48.4 B | |
| Net Invested Capital | $ 49.3 B | |
| Invested Capital | $ 49.3 B | |
| Net Tangible Assets | $ 21.5 B | |
| Net Working Capital | $ 4.4 B | |
| LIQUIDITY | ||
| Cash Ratio | 0.405 | |
| Current Ratio | 1.274 | |
| Current Ratio QoQ | 2.224 % | |
| Current Ratio YoY | 3.449 % | |
| Current Ratio IPRWA | high: 1.447 FDX: 1.274 median: 0.847 mean: 0.835 low: 0.666 |
|
| Quick Ratio | 1.235 | |
| Quick Ratio QoQ | 2.295 % | |
| Quick Ratio YoY | 3.924 % | |
| Quick Ratio IPRWA | high: 1.347 FDX: 1.235 median: 0.751 mean: 0.707 low: 0.47 |
|
| COVERAGE & LEVERAGE | ||
| Debt To EBITDA | 14.045 | |
| Cost Of Debt | 0.188 % | |
| Interest Coverage Ratio | 16.885 | |
| Interest Coverage Ratio QoQ | 24.884 % | |
| Interest Coverage Ratio YoY | 17.634 % | |
| Interest Coverage Ratio IPRWA | FDX: 16.885 high: 13.403 median: 8.409 mean: 8.139 low: -4.667 |
|
| Operating Cash Flow Ratio | 0.111 | |
| TIMING / LIQUIDITY | ||
| Days Payables Outstanding (DPO) | 23.104 | |
| DIVIDENDS | ||
| Dividend Coverage Ratio | 2.795 | |
| Dividend Payout Ratio | 0.358 | |
| Dividend Rate | $ 1.46 | |
| Dividend Yield | 0.006 | |
| PERFORMANCE | GROWTH | |
| Asset Growth Rate | 0.865 % | |
| Revenue Growth | 5.507 % | |
| Revenue Growth QoQ | 4999.074 % | |
| Revenue Growth YoY | 206.285 % | |
| Revenue Growth IPRWA | — | |
| Earnings Growth | 25.849 % | |
| Earnings Growth QoQ | -170.046 % | |
| Earnings Growth YoY | 106.792 % | |
| Earnings Growth IPRWA | high: 237.5 % FDX: 25.849 % mean: 14.01 % low: -75.342 % median: -75.342 % |
|
| MARGINS | ||
| Gross Margin | 21.867 % | |
| Gross Margin QoQ | 3.625 % | |
| Gross Margin YoY | 4.903 % | |
| Gross Margin IPRWA | high: 86.14 % median: 43.929 % mean: 34.891 % FDX: 21.867 % low: 8.624 % |
|
| EBIT Margin | 6.907 % | |
| EBIT Margin QoQ | 18.372 % | |
| EBIT Margin YoY | 10.107 % | |
| EBIT Margin IPRWA | high: 44.914 % median: 42.63 % mean: 30.776 % FDX: 6.907 % low: -2.859 % |
|
| Return On Sales (ROS) | 6.907 % | |
| Return On Sales QoQ | 18.372 % | |
| Return On Sales YoY | 10.107 % | |
| Return On Sales IPRWA | high: 39.458 % median: 38.937 % mean: 29.387 % FDX: 6.907 % low: -0.613 % |
|
| CASH FLOW | ||
| Free Cash Flow (FCF) | $ 1.2 B | |
| Free Cash Flow Yield | 1.962 % | |
| Free Cash Flow Yield QoQ | -3.824 % | |
| Free Cash Flow Yield YoY | 164.777 % | |
| Free Cash Flow Yield IPRWA | FDX: 1.962 % high: 1.663 % median: 0.901 % mean: 0.647 % low: -0.558 % |
|
| Free Cash Growth | 9.241 % | |
| Free Cash Growth QoQ | 105.675 % | |
| Free Cash Growth YoY | -51.486 % | |
| Free Cash Growth IPRWA | high: 133.903 % mean: 10.381 % FDX: 9.241 % median: -22.01 % low: -53.611 % |
|
| Free Cash To Net Income | 1.249 | |
| Cash Flow Margin | 7.648 % | |
| Cash Flow To Earnings | 1.878 | |
| VALUE & RETURNS | ||
| Economic Value Added | $ 0.03 | |
| Return On Assets (ROA) | 1.077 % | |
| Return On Assets QoQ | 15.064 % | |
| Return On Assets YoY | 25.087 % | |
| Return On Assets IPRWA | high: 2.672 % median: 2.148 % mean: 1.674 % FDX: 1.077 % low: -1.42 % |
|
| Return On Capital Employed (ROCE) | 2.222 % | |
| Return On Equity (ROE) | 0.034 | |
| Return On Equity QoQ | 14.493 % | |
| Return On Equity YoY | 21.321 % | |
| Return On Equity IPRWA | high: 0.1 median: 0.058 mean: 0.056 FDX: 0.034 low: -0.03 |
|
| DuPont ROE | 3.419 % | |
| Return On Invested Capital (ROIC) | 2.438 % | |
| Return On Invested Capital QoQ | 26.452 % | |
| Return On Invested Capital YoY | -110.397 % | |
| Return On Invested Capital IPRWA | high: 4.171 % median: 3.327 % mean: 2.818 % FDX: 2.438 % low: -1.948 % |
|