Goldman Sachs Suggests Buying Calls on FedEx Corporation (FDX)

Goldman Sachs is out with a research note this morning, where it suggests that traders buy calls on FedEx Corporation FDX to position for a rebound in growth expectations.

The analysts noted that they continue to recommend buying the FDX April $90 calls ahead of earnings on March 17th, as they believe investors sold FDX over the past few weeks due to a number of factors, including its high sensitivity to US growth and oil prices.

The analysts further noted that the weakness is overdone given their economist's view that US growth is likely to be strong in 2011-2012.

Goldman suggests buying the April $90 call for $2.53.

FedEx Corporation is a holding company. It provides a portfolio of transportation, e-commerce and business services under, the FedEx brand. It operates in four segments: FedEx Express, FedEx Ground, FedEx Ground and FedEx Services.