Why the dividend investor may take a look at NYSE:FDX.

FEDEX CORP (NYSE:FDX) has caught the attention of dividend investors as a stock worth considering. NYSE:FDX excels in profitability, solvency, and liquidity, all while providing a decent dividend. Let's delve into the details.

ChartMill's Evaluation of Dividend

ChartMill assigns a Dividend Rating to every stock. This score ranges from 0 to 10 and evaluates the different dividend aspects, including the yield, the growth and sustainability. NYSE:FDX scores a 7 out of 10:

• Compared to an average industry Dividend Yield of 2.64, FDX pays a better dividend. On top of this FDX pays more dividend than 84.21% of the companies listed in the same industry.
• On average, the dividend of FDX grows each year by 14.41%, which is quite nice.
• FDX has been paying a dividend for at least 10 years, so it has a reliable track record.
• FDX has not decreased their dividend for at least 10 years, which is a reliable track record.
• FDX pays out 33.49% of its income as dividend. This is a sustainable payout ratio.

Health Analysis for NYSE:FDX

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:FDX has received a 5 out of 10:

• FDX's Debt to FCF ratio of 7.57 is fine compared to the rest of the industry. FDX outperforms 68.42% of its industry peers.

Profitability Examination for NYSE:FDX

ChartMill assigns a proprietary Profitability Rating to each stock. The score is computed by evaluating various profitability ratios and margins and ranges from 0 to 10. NYSE:FDX was assigned a score of 7 for profitability:

• With a decent Return On Assets value of 4.54%, FDX is doing good in the industry, outperforming 73.68% of the companies in the same industry.
• The Return On Equity of FDX (14.67%) is better than 78.95% of its industry peers.
• With a decent Return On Invested Capital value of 6.07%, FDX is doing good in the industry, outperforming 68.42% of the companies in the same industry.
• FDX has a Profit Margin of 4.44%. This is in the better half of the industry: FDX outperforms 78.95% of its industry peers.
• FDX's Profit Margin has improved in the last couple of years.
• FDX has a Operating Margin of 6.65%. This is in the better half of the industry: FDX outperforms 78.95% of its industry peers.
• Looking at the Gross Margin, with a value of 70.74%, FDX belongs to the top of the industry, outperforming 94.74% of the companies in the same industry.

Our Best Dividend screener lists more Best Dividend stocks and is updated daily.

Our latest full fundamental report of FDX contains the most current fundamental analsysis.

Disclaimer

This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.