FEDEX CORP (FDX) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:FDX • US31428X1063
319.93 USD
+5.28 (+1.68%)
At close: Jan 29, 2026
320 USD
+0.07 (+0.02%)
After Hours: 1/29/2026, 8:12:34 PM
FDX gets a fundamental rating of 6 out of 10. The analysis compared the fundamentals against 23 industry peers in the Air Freight & Logistics industry. While FDX has a great profitability rating, there are some minor concerns on its financial health. FDX has a correct valuation and a medium growth rate. FDX also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
- FDX had positive earnings in the past year.
- In the past year FDX had a positive cash flow from operations.
- In the past 5 years FDX has always been profitable.
- FDX had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- The Return On Assets of FDX (4.86%) is better than 78.26% of its industry peers.
- FDX has a Return On Equity of 15.39%. This is amongst the best in the industry. FDX outperforms 82.61% of its industry peers.
- Looking at the Return On Invested Capital, with a value of 6.56%, FDX is in the better half of the industry, outperforming 73.91% of the companies in the same industry.
- The Average Return On Invested Capital over the past 3 years for FDX is significantly below the industry average of 12.29%.
- The last Return On Invested Capital (6.56%) for FDX is above the 3 year average (6.03%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.86% | ||
| ROE | 15.39% | ||
| ROIC | 6.56% |
ROA(3y)4.73%
ROA(5y)4.99%
ROE(3y)15.15%
ROE(5y)16.47%
ROIC(3y)6.03%
ROIC(5y)6.27%
1.3 Margins
- Looking at the Profit Margin, with a value of 4.81%, FDX belongs to the top of the industry, outperforming 82.61% of the companies in the same industry.
- In the last couple of years the Profit Margin of FDX has grown nicely.
- FDX has a better Operating Margin (7.11%) than 86.96% of its industry peers.
- In the last couple of years the Operating Margin of FDX has grown nicely.
- Looking at the Gross Margin, with a value of 71.27%, FDX belongs to the top of the industry, outperforming 95.65% of the companies in the same industry.
- In the last couple of years the Gross Margin of FDX has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 7.11% | ||
| PM (TTM) | 4.81% | ||
| GM | 71.27% |
OM growth 3Y-0.28%
OM growth 5Y10.92%
PM growth 3Y4.41%
PM growth 5Y20.17%
GM growth 3Y1.06%
GM growth 5Y0.21%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), FDX is destroying value.
- The number of shares outstanding for FDX has been reduced compared to 1 year ago.
- The number of shares outstanding for FDX has been reduced compared to 5 years ago.
- The debt/assets ratio for FDX is higher compared to a year ago.
2.2 Solvency
- An Altman-Z score of 2.71 indicates that FDX is not a great score, but indicates only limited risk for bankruptcy at the moment.
- The Altman-Z score of FDX (2.71) is comparable to the rest of the industry.
- FDX has a debt to FCF ratio of 4.87. This is a neutral value as FDX would need 4.87 years to pay back of all of its debts.
- FDX's Debt to FCF ratio of 4.87 is fine compared to the rest of the industry. FDX outperforms 78.26% of its industry peers.
- FDX has a Debt/Equity ratio of 0.72. This is a neutral value indicating FDX is somewhat dependend on debt financing.
- With a Debt to Equity ratio value of 0.72, FDX is not doing good in the industry: 65.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.72 | ||
| Debt/FCF | 4.87 | ||
| Altman-Z | 2.71 |
ROIC/WACC0.86
WACC7.64%
2.3 Liquidity
- FDX has a Current Ratio of 1.27. This is a normal value and indicates that FDX is financially healthy and should not expect problems in meeting its short term obligations.
- With a Current ratio value of 1.27, FDX is not doing good in the industry: 69.57% of the companies in the same industry are doing better.
- FDX has a Quick Ratio of 1.23. This is a normal value and indicates that FDX is financially healthy and should not expect problems in meeting its short term obligations.
- FDX has a Quick ratio of 1.23. This is in the lower half of the industry: FDX underperforms 65.22% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.27 | ||
| Quick Ratio | 1.23 |
3. Growth
3.1 Past
- The Earnings Per Share has grown by an nice 13.65% over the past year.
- The Earnings Per Share has been growing by 13.92% on average over the past years. This is quite good.
- FDX shows a small growth in Revenue. In the last year, the Revenue has grown by 3.09%.
- The Revenue has been growing slightly by 4.90% on average over the past years.
EPS 1Y (TTM)13.65%
EPS 3Y-4.09%
EPS 5Y13.92%
EPS Q2Q%19.01%
Revenue 1Y (TTM)3.09%
Revenue growth 3Y-2.03%
Revenue growth 5Y4.9%
Sales Q2Q%6.84%
3.2 Future
- FDX is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 11.48% yearly.
- FDX is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.28% yearly.
EPS Next Y2.73%
EPS Next 2Y8.31%
EPS Next 3Y8.99%
EPS Next 5Y11.48%
Revenue Next Year5.9%
Revenue Next 2Y5.11%
Revenue Next 3Y4.66%
Revenue Next 5Y4.28%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
- The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 16.64, the valuation of FDX can be described as correct.
- FDX's Price/Earnings ratio is a bit cheaper when compared to the industry. FDX is cheaper than 78.26% of the companies in the same industry.
- FDX's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 28.39.
- Based on the Price/Forward Earnings ratio of 14.96, the valuation of FDX can be described as correct.
- Based on the Price/Forward Earnings ratio, FDX is valued cheaply inside the industry as 86.96% of the companies are valued more expensively.
- FDX's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 25.72.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.64 | ||
| Fwd PE | 14.96 |
4.2 Price Multiples
- 82.61% of the companies in the same industry are more expensive than FDX, based on the Enterprise Value to EBITDA ratio.
- 91.30% of the companies in the same industry are more expensive than FDX, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 17.36 | ||
| EV/EBITDA | 8.43 |
4.3 Compensation for Growth
- The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
- The excellent profitability rating of FDX may justify a higher PE ratio.
PEG (NY)6.1
PEG (5Y)1.19
EPS Next 2Y8.31%
EPS Next 3Y8.99%
5. Dividend
5.1 Amount
- FDX has a Yearly Dividend Yield of 1.87%.
- FDX's Dividend Yield is rather good when compared to the industry average which is at 1.11. FDX pays more dividend than 86.96% of the companies in the same industry.
- FDX's Dividend Yield is comparable with the S&P500 average which is at 1.82.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.87% |
5.2 History
- On average, the dividend of FDX grows each year by 16.41%, 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.
Dividend Growth(5Y)16.41%
Div Incr Years4
Div Non Decr Years22
5.3 Sustainability
- FDX pays out 31.16% of its income as dividend. This is a sustainable payout ratio.
- The dividend of FDX is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP31.16%
EPS Next 2Y8.31%
EPS Next 3Y8.99%
FEDEX CORP / FDX FAQ
Can you provide the ChartMill fundamental rating for FEDEX CORP?
ChartMill assigns a fundamental rating of 6 / 10 to FDX.
What is the valuation status of FEDEX CORP (FDX) stock?
ChartMill assigns a valuation rating of 6 / 10 to FEDEX CORP (FDX). This can be considered as Fairly Valued.
What is the profitability of FDX stock?
FEDEX CORP (FDX) has a profitability rating of 8 / 10.
Can you provide the financial health for FDX stock?
The financial health rating of FEDEX CORP (FDX) is 4 / 10.
How sustainable is the dividend of FEDEX CORP (FDX) stock?
The dividend rating of FEDEX CORP (FDX) is 7 / 10 and the dividend payout ratio is 31.16%.