(1888PressRelease)
March 18, 2009 - Mira, Portugal – SADIF Investment Analytics SA, today announced the release of a new equity research report covering FedEx Corporation (FDX). The report utilizes SADIF's powerful StockMarks™ stock rating system and is required reading for any current or potential FedEx investor.
Report Summary: US logistics company FedEx posts quarterly results on 19th March. The company's results are seen as an indicator of the overall health of the US economy as its business depends largely on the activities of other large companies. However, FedEx investors will be watching closely for the company's plans for weathering the recession to stem the decline in its share price which has accelerated since December 2008. In the company's fiscal second-quarter results announced December 18 2008, FedEx revealed that operating income was flat relative to the year-earlier period despite lower fuel costs. Weakening demand has already taken a toll on the company, with December's results announcement revealing that declining commercial volume in the company's FedEx Ground unit offset the benefits of DHL's exit from the US home delivery market in 2008 and the growth of FedEx's home delivery service.
The company also announced cost-cutting measures in an attempt to offset declining volumes, with a 20% reduction in salary for CEO Fred Smith, 7.5%-10% reduction for other senior executives and a 5% reduction for other US salaried exempt employees. With the company already having cut salaries, investors will be looking for any further planned cost-cutting measures when the company announces its results. Nevertheless, in order to assess the company's long-term outlook, we should focus on its long-term fundamentals. We can assess FedEx's fundamentals through the use of the StockMarks framework. FedEx currently has an overall long-term investment-attractiveness rating (Total StockMark or SMT) of 53, rating close to the US market average. This rating places FedEx fifth when compared to ten of its closest peers, selected on the basis of similarity of business, market positioning factors such as size and share comparisons.
The complete report breaks down the Total StockMark into its three components – Business, Management and Price, performing a thorough analysis of FedEx for long-term investors.
A summary of the StockMarks™ ratings for FedEx Corporation is available here:
http://sadifanalytics.com/stockmarks/company.php?ticker=FDX&cod_country=125
The report has been distributed to Reuters, and forwarded to Yahoo Finance and FT.com. It is available under 'Analyst Reports' from these websites, from multiple professional platforms including Reuters Knowledge, TheMarkets.com and Thomson Research or directly from SADIF-Investment Analytics SA at:
http://sadifanalytics.com/stockmarks/article/hist_article.php?cod_country=125
About SADIF-Investment Analytics SA:
SADIF-Investment Analytics SA is an independent investment research company covering sixteen different markets and over 12,000 companies. The StockMarks™ system is based on proven investment principles and is designed to drive long-term shareholder returns.
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