From Financial Modeling Prep: 2025-03-24 17:21:00

Jefferies analysts upgraded FedEx (NYSE:FDX) from Hold to Buy, setting a new price target of $275. Shares rose over 5% on Monday as confidence in the company’s internal transformation efforts grew.

FedEx’s structural cost improvements are being overlooked by investors amidst macroeconomic concerns. Analysts believe these improvements could drive earnings growth through fiscal 2026 and 2027, even in a slow revenue environment.

The company’s Network 2.0 restructuring and Tri-Color optimization strategies are expected to streamline operations and boost profit margins. Jefferies sees these initiatives as catalysts for unlocking significant value in the next two years.

A rebound in industrial activity, a key revenue driver for FedEx, could further boost earnings. Despite recent guidance cuts and macro pressures, Jefferies sees a favorable risk-reward setup for FedEx, making the stock attractive at current levels.



Read more at Financial Modeling Prep:: FedEx Soars 5% Following Jefferies’ Upgrade