Should you buy FedEx stock? (December 2023)

See more of my work at https://www.3minutebreakdowns.com FedEx stock analysis. Ticker: $FDX Fedex just reported earnings and the stock dropped by 12%. At the latest share price the company has a market cap of 63 billion dollars. With 6.7 billion of cash and 21 billion of debt the enterprise value is 76.4 billion. And the company also pays a dividend of about 2%. Fedex has reported 88 billion of revenue over the last 12 months, 4.3 billion of net income and just over 10 billion of EBITDA. As a result, the stock looks cheap trading at under 15 times earnings and under 8 times EBITDA. By comparison, UPS is trading at 16 times earnings and almost 10 times ebitda. However, that discount seems justified. Fedex has been losing market share and in terms of deliveries now sits in fourth place behind the United States Postal Service, Amazon and UPS. Based on the company's own outlook for 2024 that doesn’t look likely to change. The clear upstart here is Amazon. The retail giant has quickly overtaken rivals and should deliver 5.9 billion packages this year. The most worrying aspect for Fedex is is that the gap shows no sign of slowing down. #investing #stocks #fedex #stockstowatch