JeffNg
2023-03-21

$(FDX)$ I'm mystified at FDX's forward guidance. Per the earnings presentation slides, for FY23, Yields are declining, volumes are declining, and Express is off 81% from a year ago. On the positives, clearly, FDX has made progress in reducing expenses (including an 8% reduction in flight hours, which is significant, but what about revenue associated with those flight hours?), reducing headcount (4% reduction in wage expense), plus a share repurchase to boost EPS.

But I just don't see how FDX can expect a highly-uncertain US economy to be able to support an EPS growth of upwards of 16% in the next year? Wouldn't a cautious outlook have been more appropriate?

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Comments

  • YvetteGunther
    2023-03-23
    YvetteGunther
    Had this for a year or so now... tough one, but I got out at $222. Took the small gain today, I just can't wait it out if it hits $270 again. Any long term lookers out there on this one?
  • YorkTurner
    2023-03-23
    YorkTurner
    Looked what happened in the couple weeks right after a similar gap up at the beginning of February. We'll see 200 again before we see 250.
  • XantheJuliana
    2023-03-23
    XantheJuliana
    I think this will settle around $185 before serious buyers jump on
  • fishinglo
    2023-03-23
    fishinglo
    anyone else seeing the w formation on the 1 day chart? if it holds true we moving back to 226
  • shining87
    2023-03-23
    shining87
    Eventually Express will go all part time.
  • JeremyKok
    2023-03-21
    JeremyKok
    thank you for sharing.
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