Fintel reports that on January 8, 2024, Melius Research upgraded their outlook for FedEx (NYSE:FDX) from Hold to Buy .
Analyst Price Forecast Suggests 23.18% Upside
As of December 16, 2023, the average one-year price target for FedEx is 304.03. The forecasts range from a low of 207.05 to a high of $388.50. The average price target represents an increase of 23.18% from its latest reported closing price of 246.81.
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The projected annual revenue for FedEx is 97,098MM, an increase of 10.41%. The projected annual non-GAAP EPS is 18.05.
FedEx Declares $1.26 Dividend
On November 17, 2023 the company declared a regular quarterly dividend of $1.26 per share ($5.04 annualized). Shareholders of record as of December 11, 2023 received the payment on January 2, 2024. Previously, the company paid $1.26 per share.
At the current share price of $246.81 / share, the stock's dividend yield is 2.04%.
Looking back five years and taking a sample every week, the average dividend yield has been 1.64%, the lowest has been 0.83%, and the highest has been 3.22%. The standard deviation of yields is 0.53 (n=234).
The current dividend yield is 0.77 standard deviations above the historical average.
Additionally, the company's dividend payout ratio is 0.29. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.94%, demonstrating that it has increased its dividend over time.
What is the Fund Sentiment?
There are 2547 funds or institutions reporting positions in FedEx. This is an increase of 89 owner(s) or 3.62% in the last quarter. Average portfolio weight of all funds dedicated to FDX is 0.47%, an increase of 2.17%. Total shares owned by institutions increased in the last three months by 3.18% to 222,078K shares. 
The put/call ratio of FDX is 0.75, indicating a bullish outlook.
What are Other Shareholders Doing?
Dodge & Cox holds 14,471K shares representing 5.79% ownership of the company. In it's prior filing, the firm reported owning 14,854K shares, representing a decrease of 2.65%. The firm increased its portfolio allocation in FDX by 5.13% over the last quarter.
Primecap Management holds 13,078K shares representing 5.23% ownership of the company. In it's prior filing, the firm reported owning 13,183K shares, representing a decrease of 0.80%. The firm increased its portfolio allocation in FDX by 7.10% over the last quarter.
DODGX - Dodge & Cox Stock Fund holds 9,533K shares representing 3.81% ownership of the company. In it's prior filing, the firm reported owning 9,765K shares, representing a decrease of 2.44%. The firm increased its portfolio allocation in FDX by 4.83% over the last quarter.
VPMCX - Vanguard PRIMECAP Fund Investor Shares holds 8,573K shares representing 3.43% ownership of the company. In it's prior filing, the firm reported owning 8,573K shares, representing a decrease of 0.00%. The firm increased its portfolio allocation in FDX by 8.19% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 7,045K shares representing 2.82% ownership of the company. In it's prior filing, the firm reported owning 7,051K shares, representing a decrease of 0.08%. The firm increased its portfolio allocation in FDX by 10.83% over the last quarter.
Fedex Background Information
(This description is provided by the company.)
FedEx Corp. provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services. With annual revenue of $75 billion, the company offers integrated business solutions through operating companies competing collectively, operating collaboratively and innovating digitally under the respected FedEx brand. Consistently ranked among the world’s most admired and trusted employers, FedEx inspires its nearly 600,000 team members to remain focused on safety, the highest ethical and professional standards and the needs of their customers and communities.
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