Insider Buying Report: FedEx Corporation (FDX:US)

Robert Hable 5 August 2020

FedEx Corporation (FDX:US)

12-month performance: +7%
Insider activity: Bullish
Insider buying pattern: Large purchase from board member
Recent news: Q4 earnings beat 

FedEx is an American multinational courier delivery services company. The world’s largest express transportation company, it serves more than 220 countries, making around six million shipments every day. The company is listed on the New York Stock Exchange and currently has a market capitalisation of $45 billion.

Brokers are lifting their price targets

FedEx shares jumped recently after fourth-quarter results beat expectations. Boosted by a surge in home deliveries, adjusted earnings per share came in at $2.53, well above the consensus forecast of $1.52. As a result of this earnings beat, a number of analysts have raised their price targets for the stock. Wells Fargo, for example, has lifted its price target from $153 to $179. Meanwhile, UBS has lifted its price target from $158 to $181.

05-08       Source: 2iQ Research

Insider buying: two board members just bought FDX stock

What has caught our attention here is the fact that two board members have just purchased FedEx shares. According to Form 4 SEC filings, on 22 July, Marvin Ellison – who is CEO at Lowe’s and a prominent figure in the logistics world – purchased 2,200 shares, spending roughly $362,000 on stock. Then, between 23 July and 24 July, Kimberly Jabal purchased 363 shares, spending approximately $60,000 on stock. These insider purchases look interesting to us, particularly Ellison’s purchase. The last time he purchased shares in his own company, Lowe’s, the stock rocketed around 50% in just a few months. All things considered, we see this insider buying pattern as bullish.

Disclaimer: Neither 2iQ Research GmbH nor its content providers are responsible for any damages or losses arising from any use of this information.

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