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What FedEx's Earnings Mean For Mutual Fund Investors (FDX)

Before Wednesday’s opening bell, FedEx released its third quarter financial results. Here’s what the results mean for mutual fund investors.

Inside FDX’s Results

Earnings

The company reported earnings of $580 million, or $2.01 per share, up from $378 million, or $1.23 per share, a year ago. Analysts expected to see earnings of $1.87 per share.

Revenue
Revenue increased 4% to $11.7 billion from $11.3 billion last year. Analysts expected to see revenue of $11.79 billion.

Outlook
Looking forward, FedEx expects to see FY2015 earnings between $8.80 and $8.98 per share. Analysts are expecting EPS of $8.97.

Profits Soar on Lower Fuel Costs

FedEx’s profits soared 53% in the third quarter, primarily due to lower fuel costs, mild weather, and restructuring benefits.

The company benefited from lower fuel costs on both its aircraft and vehicles. If fuel costs remain low, the company could continue to thrive amid lower energy prices.

In addition to lower fuel costs, FDX benefited from the restructuring of its air express division and favorable weather conditions.

Mutual Funds to Watch

Investors interested in FexEx may also consider the following mutual funds as an alternative to investing directly in the stock. The funds below currently hold the largest stakes in the company.

The Bottom Line

The funds listed above offer investors a stake in FDX, while remaining diversified. Investors interested in FDX may also be interested in UPS (UPS).

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What FedEx's Earnings Mean For Mutual Fund Investors (FDX)

Before Wednesday’s opening bell, FedEx released its third quarter financial results. Here’s what the results mean for mutual fund investors.

Inside FDX’s Results

Earnings

The company reported earnings of $580 million, or $2.01 per share, up from $378 million, or $1.23 per share, a year ago. Analysts expected to see earnings of $1.87 per share.

Revenue
Revenue increased 4% to $11.7 billion from $11.3 billion last year. Analysts expected to see revenue of $11.79 billion.

Outlook
Looking forward, FedEx expects to see FY2015 earnings between $8.80 and $8.98 per share. Analysts are expecting EPS of $8.97.

Profits Soar on Lower Fuel Costs

FedEx’s profits soared 53% in the third quarter, primarily due to lower fuel costs, mild weather, and restructuring benefits.

The company benefited from lower fuel costs on both its aircraft and vehicles. If fuel costs remain low, the company could continue to thrive amid lower energy prices.

In addition to lower fuel costs, FDX benefited from the restructuring of its air express division and favorable weather conditions.

Mutual Funds to Watch

Investors interested in FexEx may also consider the following mutual funds as an alternative to investing directly in the stock. The funds below currently hold the largest stakes in the company.

The Bottom Line

The funds listed above offer investors a stake in FDX, while remaining diversified. Investors interested in FDX may also be interested in UPS (UPS).

If you’ve enjoyed this article, sign up for the free MutualFunds.com newsletter; we’ll send you similar content weekly.


Sign up for Advisor Access

Receive email updates about best performers, news, CE accredited webcasts and more.

Popular Articles

Read Next