FEDEX IS BULLISH Dec 15 2024 READ DESCRIPTION Fedex is looking very good at cmp but I will wait for lower levels around $274s to get a better RR. If yku have any questions feel free to leave a comment.
FDX trade ideas
Fedex Earnings Fedex earnings today , here is your trade at CMP, Target as marked .
#earnings #FEDEX #stock #market
FDX ....Fedex levels for todays earnings pt.1Simple and self explanatory for the levels of concern or price action...Fib lines and channels...play accordingly
FDX ....Fedex levels for todays earnings pt.2Simple and self explanatory for the levels of concern or price action..
FDX has Bull Swing Trade PotentialI sometimes think analyists are on the smoke too often, however that makes picking off a panic sell easier.
In the screenshot I waited to see how serious the sell off was going to be and put in a light Buy Call Option trade on 9/24 with a sell target in the $270's depending on market condition. September has traditionally been an odder month than most so I cautious play my trades.
Technical Analysis on FedEx (FDX)Despite the long- and short-term uptrend, FedEx stock displays some peculiar behavior, with frequent gap ups and gap downs, mostly occurring around earnings reports. Some gap downs have reached up to 20%, but were quickly filled shortly thereafter.
Recently, the stock reached its all-time high, only to be rejected. Therefore, the $320 area serves as a strong resistance (RES) that needs to be broken for the stock to resume its bullish trend.
Bullish Scenario
Following the release of the latest earnings report and declining revenue, the stock dropped 15% in a single day, creating a new gap down. With this decline, the price is now approaching a key volume area, the POC zone around $250. This area could act as support, containing the price and potentially initiating a rebound.
Bearish Scenario
If the POC area fails to hold the price, the stock could continue its decline toward a static support zone around $200.
FedEx remains an interesting stock to watch, especially considering how it reacts in the coming weeks and its ability to maintain key support levels.
Lower oil lower operation Cost? Lower Operating Costs
FedEx relies heavily on fuel for its transportation network, which includes planes, trucks, and delivery vehicles. Fuel is one of FedEx's largest operational costs. If oil and gas prices are kept lower due to increased production, FedEx would benefit from reduced expenses in several ways:
Fuel for Aircraft and Vehicles:
Lower oil prices translate directly to cheaper jet fuel for their aircraft fleet and diesel for their ground vehicles, reducing overall shipping costs.
Increased Margins: As fuel is a major cost component, lower prices improve profit margins without requiring significant adjustments in FedEx’s pricing or operations.
Less Surcharge Pressure: FedEx (like other logistics companies) often imposes fuel surcharges on customers to offset rising fuel costs. When fuel prices drop, the company may reduce these surcharges, making its services more competitive without eating into profits.
2. Competitive Advantage
With fuel costs declining, FedEx can maintain its prices at competitive levels or even reduce them. Lower fuel expenses allow them to price more aggressively in relation to competitors such as UPS, DHL, and Amazon, especially in bulk shipments and long-distance international deliveries. It can also use the extra cash flow to invest in network improvements, further increasing its competitive edge.
3. Increased Demand for Shipping Services
Lower Shipping Costs Encourage Demand: Lower operating costs could enable FedEx to pass savings on to consumers and businesses, making shipping services more affordable. This could drive increased demand for shipping and logistics services, particularly in the e-commerce space.
Fuel-Intensive Business Models Benefit: Companies in sectors such as retail, manufacturing, and wholesale that rely on FedEx for shipping could see their own costs decrease, increasing their reliance on FedEx for cost-effective deliveries.
4. Boost to Consumer Spending
Lower gas prices generally boost consumer disposable income. With more money in consumers' pockets, they tend to spend more on goods, especially through e-commerce channels. Since e-commerce is a major driver of FedEx’s revenue, increased consumer spending can lead to more packages being shipped, benefiting FedEx’s bottom line.
5. Global Economic Growth
Low oil prices can stimulate broader economic growth by reducing transportation and production costs globally. As a company with international operations, FedEx is well-positioned to benefit from rising global trade and shipping volumes as businesses grow and expand in a lower-cost environment.
FDX is a BUY at $242++++We hit some support on Fridays drop but I believe this will gravitate lower to $242 strong support FDX is highly oversold on 4 hour and under charts but one day has room lower. Will be watching for under $245 to start a position and buy calls
Fedex Taking Flight?Fedex took a 10% dip today based on their earnings report on Sept. 19th, 2024. Their profit showed a decline of profit near $382 million year over year. However reading into it, they invested heavily in cost reductions and optimization that should start being evident in the next year or so. Fedex right now seems like an undervalued stock pick. We could possibly see a correction to the Gap Fill Target of 300$ in the next two or three weeks.
FedEx Shares Drop 13% Amid Weak Demand for Priority DeliveriesFedEx Corp (NYSE: NYSE:FDX ) witnessed a significant 13.28% tumble in its stock price as weak demand for high-margin priority delivery services led the company to slash its annual revenue forecast. This drop has raised concerns among investors, highlighting challenges faced by the global logistics giant. But is this decline a buying opportunity? Let’s break down both the fundamental and technical aspects of the situation.
Weak Demand and Forecast Downgrades
FedEx (NYSE: NYSE:FDX ), often seen as a bellwether for global trade, has struggled with declining demand for its priority shipping services, particularly between businesses, as companies look to cut expenses. CEO Raj Subramaniam cited weaker-than-expected industrial demand as a primary reason for the reduced profits, signaling a slowdown in global economic activity.
Key challenges that have impacted FedEx's financials include:
- Lower Revenue Forecast: The company downgraded its revenue growth forecast for fiscal 2025 to low single digits, compared to the previous expectation of low-to-mid single-digit growth.
- Profit Decline: FedEx also reduced the upper range of its full-year adjusted earnings per share (EPS) forecast to $20-$21, down from the previously projected $20-$22, reflecting a more competitive pricing environment and ongoing economic challenges.
- Contract Loss: The winding down of its contract with the U.S. Postal Service (USPS), FedEx's largest client, is expected to result in a $500 million hit to revenue in the current fiscal year. This is another significant blow as it reduces a critical revenue stream for the company.
However, amidst these difficulties, FedEx (NYSE: NYSE:FDX ) is undergoing a major restructuring with its **DRIVE program**, aimed at cutting billions in overhead costs and improving operational efficiencies. While the program’s savings are expected to accelerate over the coming quarters, analysts remain cautious about the near-term outlook, noting that FedEx's pricing power is constrained, especially in the competitive logistics market.
Despite these challenges, some analysts see a silver lining. JP Morgan’s Brian P. Ossenbeck mentioned there is “room for optimism” as cost savings from the DRIVE initiative take effect, particularly during the upcoming peak holiday season.
Technical Outlook: Gap Down Pattern and Potential Buy Zone
From a technical standpoint, FedEx’s sharp 13% drop has created an interesting setup for investors. The stock was already showing signs of exhaustion after its recent rally, and with this premarket decline, FedEx (NYSE: NYSE:FDX ) is entering oversold territory.
Key Technical Indicators:
As of yesterday, FedEx had an RSI of 64.97, placing it in the upper range but still not yet overbought. However, with the sharp premarket drop, the RSI will now head towards a sell zone, indicating potential overselling pressure. Also, FedEx's stock chart has exhibited multiple gap-up patterns that have remained unfilled since December 2023, March, and June 2024. With the current gap down in premarket trading, these unfilled gaps are now being addressed. Historically, gap patterns tend to be filled, suggesting that a rebound may occur once this downward gap is complete.
FedEx (NYSE: NYSE:FDX ) is now approaching a key technical support level formed in June 2024, around the $265-$270 range. This level could act as a floor, providing some price stabilization and potentially a buying opportunity for long-term investors.
Buying Opportunity?
With FedEx (NYSE: NYSE:FDX ) now approaching a significant gap down pattern and entering oversold conditions, it could be an opportune time for investors looking for a potential bounce. As the saying goes, "everything that goes up must come down and vice versa," and with FedEx (NYSE: NYSE:FDX ) filling these long-standing gap-up patterns, a reversal might be in the cards.
However, caution is warranted as market sentiment will likely remain fragile in the near term, especially as FedEx (NYSE: NYSE:FDX ) grapples with weak industrial demand and the upcoming USPS contract loss. That said, the DRIVE initiative’s cost-cutting efforts, coupled with a possible rebound in demand during the peak shipping season, may help FedEx recover.
Conclusion:
FedEx’s sharp 13% drop reflects deeper concerns about weakening demand and competitive pressures, but the company’s restructuring efforts and cost-cutting initiatives provide a glimmer of hope. On the technical side, the stock is approaching oversold conditions, and the filling of gap patterns suggests that a bounce could occur. For long-term investors, this dip may present a buying opportunity, especially if FedEx (NYSE: NYSE:FDX ) can successfully execute its DRIVE program and regain pricing power in the quarters ahead.
FDX FedEx Corporation Options Ahead of EarningsIf you haven`t bought FDX before the previous earnings:
Now analyzing the options chain and the chart patterns of FDX FedEx Corporation prior to the earnings report this week,
I would consider purchasing the 270usd strike price Puts with
an expiration date of 2024-9-20,
for a premium of approximately $4.40.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
FDX OutlookPAIR:
Bullish Outlook:
FDX /FedEx Corporation has been breaking into new highs on our Weekly, Daily, and 4hr time frame. I would like to see price make a valid HL pullback followed by 1 of our Valid Engulfing Patterns while staying above the 50ema.
$FDX Gap Below?A lot time price returns back to its proximal line and currently for NYSE:FDX thats lower than its currenlt price... could it return down? thinking so right now currently in a squeeze
$FDX - Gapped into it's bullish range, but over extendedFDX has spent time in this range before, thing is, it's at the top, and the path there was a massive gap up. Unlike it's other entrances into this range, this gap up over extended the crap out of the stock. It can live in this range, but it needs to cool before it's next move up, unless it's just defying gravity, which most stocks tend not to do. FDX is an old company. Weird to have so much volatility.
not trade advice
Watch out FDX, ZION and HLNE - Prices are ready to soar!FedEx
The stock price has been following a downward trend within a parallel channel.
After reaching a base near the 145 level, the price started to move in an upward direction.
With the support of a trendline, the stock managed to break through its trendline resistance with strong volume.
As long as the price remained below the 50 EMA, it faced resistance from the 50 EMA. However, once it broke above the EMA, it found support from the 50 EMA multiple times.
The current RSI is above 60, indicating the strength of the buyers.
The MACD line recently crossed over the signal line from below, signalling a bullish sentiment.
Zions Bancorporation
After the Symmetrical Triangle pattern breakout, the price surged and reached a high near the 75 level.
However, the stock failed to sustain the uptrend and dropped to its support zone.
A Head & Shoulder pattern emerged, signalling bearish sentiment.
When the neckline was breached, the price significantly dropped to its previous support level near 22.
The stock then moved up with higher trading volume.
It later formed an Ascending pattern and recently experienced a sharp breakout.
The current RSI is above 60 and trending upwards, indicating buyer strength.
Hamilton Lane
Before, the stock price made an Ascending triangle pattern and after breaking out, the price consolidated before going up.
The stock price encountered a sharp rejection around the 115 level and fell significantly.
Following a substantial consolidation, the stock formed a Cup & Handle pattern.
When this pattern appears on the chart, it typically signals a continuation of the trend.
After the breakout, the stock price is on the rise.
The current RSI is above 60 and the RSI line is also trending upwards, demonstrating the strength of the buyers.
FDX “FedEx”……Oversold on the RSIFedEx is oversold on the RSI and approaching resistance at the top of a parellel channel on a strong trend line for the 4th time since June 2023….I believe we could see FedEx pullback going into Q3…..let’s see if the bears step in!
FDX FedEx Corporation Options Ahead of EarningsIf you haven`t bought FDX calls ahead of the previous earnings:
Now analyzing the options chain and the chart patterns of FDX FedEx Corporation prior to the earnings report this week,
I would consider purchasing the 260usd strike price Calls with
an expiration date of 2024-12-20,
for a premium of approximately $19.30.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
FDX (FedEx) LongSuper strong day for FDX after earnings beat... This could be start of a strong new uptrend for the shipping company after emerging from a trading range.
FedEx Stock Soars on Strong Results, Potential SpinoffFedEx's (FDX) fiscal Q4 results exceeded analyst expectations, propelling its stock towards a potential all-time high. This momentum is driven by several key factors:
Margin Expansion via DRIVE Program: Despite tepid revenue growth, FedEx's DRIVE program delivered significant cost reductions, leading to margin improvement across segments.
Cautiously Optimistic Guidance: The company forecasts low-to-mid single-digit revenue growth for fiscal 2025, accompanied by continued margin expansion. This cautious optimism reflects strategic initiatives aimed at maximizing profitability.
Analyst Revisions and Price Target Increases: The success of the DRIVE program and FedEx's shift toward profitable growth have garnered positive analyst revisions, including price target increases.
Potential Spinoff of FedEx Freight: The company's ongoing evaluation of FedEx Freight's role within its portfolio has sparked speculation about a potential spinoff. This scenario has the potential to unlock significant shareholder value.
Looking forward, FedEx's fiscal 2025 outlook remains optimistic. The company projects low-to-mid single-digit revenue growth and adjusted EPS of $20.00-$22.00. Furthermore, FedEx plans to repurchase $2.5 billion in stock and achieve its $4 billion cost-cutting target through the DRIVE program.
In conclusion, FedEx's strategic focus on operational efficiency, the success of the DRIVE program, and the potential for a FedEx Freight spinoff combine to create a compelling investment opportunity. This confluence of factors positions FDX for a strong year with the potential to reach new highs.
FEDEX Uptrend Line Rejection at $243.69 25.06.2024- Uptrend line Rejection: FedEx (NYSE: FDX) at $243.69 on 4hr chart, current price $256.62
- Bullish Scenario:
- Target 1: $261.90
- Target 2: $267.52 (if $261.90 breaks)
- Bearish Scenario:
- Target 1: $230.73
- Target 2: $214.23 (if $230.73 breaks)
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Disclaimer
6/20/24 - $fdx - Great biz but lacks juice6/20/24 :: VROCKSTAR :: NYSE:FDX
Great biz but lacks juice
You'll have to forgive me fam, i'm out in vegas this week and in Miami next. i keep on top of it all tho as u know. except for i mis typed FDS which reports tmr and i'm writing up as we speak... and typed in the wrong ticker - so that's why i'm writing this lol
- 3.5% fcf yield. good. but for co that's not >5% (or better 10%) on the top line for tech, that's just better 10Y stuff. nothing i'd want to have sized up in my portfolio
- 14x PE looks cheap but remember this cash cow has like 35 bn of debt on 60+ bn of equity. that's not an ideal factor in this environment, so adj. for the debt and PE is really closer to 21x
- 21x is good, again, not great, growth should be 20% which makes 1x peg good... and... can you guess... not great.
so setup on the stock all else equal skews more +ve into results but this toppy tape is not one you can step into names unless u know the beats/ raises and multiples will expand. the charts already tell us the mkt will need more here.
so i'd rather just watch it on the sidelines. gl to holders.
V
