Why FedEx Corp Stock Is A Buy? Acquirer’s Multiple Stock Screener Analysis
Thursday, February 8, 2024 · Johnny Hopkins
As part of our ongoing series here at The Acquirer’s Multiple, each week we focus on one of the stocks from our Stock Screeners, and why it’s a ‘buy’ based on key fundamentals.
One of the cheapest stocks in our Stock Screeners is:
FedEx Corp (FDX)
FedEx pioneered overnight delivery in 1973 and remains the world’s largest express package provider. In its fiscal 2023, which ended May 2023, FedEx derived 47% of revenue from its express division, 37% from ground, and 11% from freight, its asset-based less-than-truckload shipping segment. The remainder comes from other services, including FedEx Office, which provides document production/shipping, and FedEx Logistics, which provides global forwarding. FedEx acquired Dutch parcel delivery firm TNT Express in 2016. TNT was previously the fourth-largest global parcel delivery provider.
A quick look at the share price history (below) over the past twelve months shows that the price is up 31.08%. Here’s why the company is undervalued.
Key Stats
Market Cap: $76.73 Billion
Enterprise Value: $108.18 Billion
Operating Earnings
Operating Earnings: $5.95 Billion
Acquirer’s Multiple
Acquirer’s Multiple: 18.20
Free Cash Flow (TTM)
Free Cash Flow: $4.10 Billion
FCF/EV Yield %:
FCF/EV Yield: 5.34
Shareholder Yield %:
Shareholder Yield: 2.40
Other Indicators
Piotroski F Score: 7.00
Altman Z-Score (TTM): 2.529
ROA (5 Year Avge%): 7