FDX’ Improving Fundamentals Create Entry Point For Investors

Analysts at Piper Jaffray reiterate their "overweight" rating on FedEx FDX. The target price for FDX is set to $110. FDX is set to report its Q4 results on June 16. “We believe International Express ops likely saw continued strong volume growth acceleration with yields also being pushed incrementally higher due to a tight capacity environment. We also believe that FDX Freight (LTL) is now committed to improving yields moving forward albeit a gradual process. We believe improving fundamentals across FDX' business lines and a pullback in the stock have created a very attractive entry,” Piper Jaffray mentions. The analysts further add that, “We also note into recovery, and given DHL's pullout of US Domestic parcel market, we would expect parcel operators both UPS and FDX to likely achieve strong pricing versus past cycles on both US domestic Ground and Express products.” More Analyst Ratings here