FedEx Reports Earnings Tuesday. Is the Delivery Giant a Buy?
The shipping giant gives investors an insightful view into the economy, and it reports just days after a hawkish turn from the Federal Reserve.
FedEx Reports Earnings Tuesday. Is the Delivery Giant a Buy?
Overview
When investors want a quick read on where the economy is heading, they often look to FedEx (NYSE: FDX). The company moves packages and freight for businesses across the globe, so the volume flowing through its network tracks the health of trade and industrial activity. In fact, its CEO, Raj Subramaniam, has called FedEx the heartbeat of the industrial economy.
FedEx releases its fiscal fourth-quarter results (the period ended May 31) on Tuesday, June 23 -- its first update since the Federal Reserve held interest rates steady on June 17 and signaled it now sees a rate hike as a real possibility this year rather than the cuts markets had hoped for earlier this year. With borrowing costs staying higher for longer, any softness in FedEx's business could add to growing concerns about how the economy could fare in an interest rate environment like this.
Details
So is the stock a buy ahead of the report?
Source
Originally published at www.fool.com.
