DIRS.INFO The most relevant business & tech news

☆ FedEx is frantically cutting billions in costs as its pandemic success evaporates
▼ + stars: | 2022-12-21 | by ( Emma Cosgrove | ) www.businessinsider.com time to read: +5 min

This time last year, the company said it had reached a turning point and would achieve a level of profitability not seen since the first rush of pandemic e-commerce packages. FedEx's Ground business, which makes everyday e-commerce deliveries in the US, struggled to a lesser degree. FedEx's operational missteps, combined with ballooning fuel and labor costs, created unrest among Ground delivery contractors and boosted costs across the company. Spencer Patton tried to unite FedEx contractors. A few big-time FedEx contractors have a new plan to boost struggling delivery outfits.

☆ Jim Cramer weighs in on FedEx's plans to cut costs, Nike earnings
▼ + stars: | 2022-12-21 | by ( ) www.cnbc.com time to read: 1 min

Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailJim Cramer weighs in on FedEx's plans to cut costs, Nike earnings'Mad Money' host Jim Cramer and the 'Squawk on the Street' team discuss shares of FedEx after the company said it would cut costs amid soft demand.

☆ Three stocks this week will give us a better idea about the overall earnings outlook
▼ + stars: | 2022-12-20 | by ( Bob Pisani | ) www.cnbc.com time to read: +4 min

While none of these have been a disaster, only one company — Autozone — has seen first quarter estimates rise after its report, according to Nick Raich at The Earnings Scout. And that is the problem: Earnings estimates have been trending down for weeks. Like all multinational retailers, analysts began slashing Nike's second half 2022 earnings estimates and 2023 estimates this summer. Single-stock ETFs Nike's earnings out after the bell today will focus some attention on a curious phenomenon from 2022: single stock ETFs. Like most of the other single stock ETFs, this has failed to attract any significant assets.

☆ FedEx earnings sink as soft demand persists
▼ + stars: | 2022-12-20 | by ( Leslie Josephs | ) www.cnbc.com time to read: +2 min

FedEx said Tuesday that its quarterly earnings and sales fell from a year ago and warned of persistent weak demand, but said its "aggressive" cost-cutting measures were softening the blow. The package delivery giant's net income fell to $788 million in the three months ended Nov. 30, down from $1.04 billion a year earlier. Adjusting for one-time items, FedEx posted per share earnings of $3.18, ahead of analyst estimates but well off the $4.83 a share it reported during the same period of last year. FedEx Ground operating income rose 24% from last year, and FedEx freight operating income increased 32% year over year. FedEx forecast full-year earnings per share of between $13 and $14, just shy of analysts' expectations of $14.08 per share.

☆ Alabama woman sues FedEx, blames faulty tires after her husband was killed in crash with a delivery truck that had a blowout
▼ + stars: | 2022-12-17 | by ( Jordan Hart | ) www.businessinsider.com time to read: +2 min

Kelsie Platt is suing FedEx, Goodyear, and more for the death of her husband Hamilton. Platt alleges faulty tires were the cause of the fatal accident. Hamilton Platt, 32, died after he slammed into a FedEx truck that had blown a tire on Interstate 10 Sept. 21. According to local news, Kelsie Platt's lawsuit alleges FedEx's faulty retread tires caused the fatal accident. Although neither FedEx nor Goodyear immediately responded to Insider's request for comment on the suit, FedEx provided a statement to local news outlets.

☆ Gig labor could have challenged FedEx and UPS. Now it's making them stronger.
▼ + stars: | 2022-11-26 | by ( Emma Cosgrove | ) www.businessinsider.com time to read: +6 min

But UPS and FedEx have taken the cue and are integrating flexible workers in their own ways. Gig goes mainstreamWhere smaller players sometimes rely entirely on gig workers, UPS and FedEx are incorporating flexible laborers to complement full-time workers where and when deliveries are less consistent or particularly costly. Despite all that growth, the ecosystem around gig workers — regulation, banking, insurance, and more — is underdeveloped. And though gig workers often covet flexibility, they can easily end up with next to no job security and extremely variable earnings. In response, legislators have tended toward blunt force tactics — potentially eliminating all independent contractors in the name of gig workers.

☆ FedEx's freight unit to furlough workers
▼ + stars: | 2022-11-14 | by ( ) www.reuters.com time to read: +1 min

Nov 14 (Reuters) - FedEx Corp's (FDX.N) freight division is furloughing employees in some U.S. markets as current business conditions are hurting its volumes, the package-delivery company said on Monday. The move comes barely a week after the Memphis, Tennessee-based company warned of lower-than-expected delivery volumes in the United States as the pandemic-driven e-commerce bubble deflates. read moreThe company "will continue to evaluate the environment and bring back furloughed employees as business circumstances allow," FedEx said in an emailed statement. Some eligible employees will be offered permanent transfer opportunities to other markets that have hiring needs, it added. FedEx Freight will maintain health benefits and provide other financial incentives for furloughed employees, the company said.

Nov 1 (Reuters) - FedEx Corp (FDX.N) said it would ask a federal judge in Texas to throw out or reduce a jury's $366 million damages award to a Black former employee who accused the company of disciplining and firing her after she complained about racial discrimination. In a regulatory filing on Tuesday, FedEx said it was expecting the Oct. 25 award by a Houston jury to Jennifer Harris of $1.16 million in compensatory damages and $365 million in punitive damages to be reduced. The package delivery company said that under U.S. Supreme Court precedent, punitive damages are normally capped at less than 10 times compensatory damages, with a multiple closer to one being appropriate when compensatory damages are substantial. FedEx said it believed any payout up to $75 million would be covered by insurance, subject to a $10 million retention. She said she later reported discrimination by her supervisor to FedEx's human resources department, leading to a letter complaining about her "unacceptable performance," a written warning, and her termination in January 2020.

Oct 24 (Reuters) - United Parcel Service (UPS.N) investors want to see this week how the delivery giant is managing through the bursting e-commerce delivery bubble better than rival FedEx (FDX.N). Shares in UPS are down roughly 20% so far this year, versus the 40% decline in FedEx stock. At the same time, the UPS sales team has been working to drum up new business. Lego, the $7.3 billion Danish maker of colorful plastic bricks used to build everything from UPS delivery trucks to Hogwarts Castle of Harry Potter fame, switched from FedEx to UPS, according to the sources, who asked not to be identified. Global air and ocean import cargo volumes, a gauge of demand for logistics companies like UPS and FedEx, are slumping.

☆ FedEx's reduced holiday forecast no surprise to skeptical contractors
▼ + stars: | 2022-10-11 | by ( Lisa Baertlein | ) www.reuters.com time to read: +5 min

Bush has delivered packages for FedEx Ground for 15 years, and in that time, he said, "they haven't had accurate projections." The updated holiday forecast will help ensure that contractors have appropriate resources for the peak delivery season while minimizing preparation costs, FedEx said in a statement. More than half the 20 contractors who spoke with Reuters for this story were not planning to bulk up operations to meet the company's original holiday forecast. Their previously unreported silent work action shows the distrust many Ground contractors have in company leadership. Last year, FedEx's overly bullish holiday forecast left many contractors with losses after they geared up with trucks and employees for a surge that failed to materialize.

☆ Central banks around the world are willing to risk recession to fight inflation — and early signs suggest widespread pain for everyone, everywhere
▼ + stars: | 2022-09-24 | by ( Ben Winck | ) www.businessinsider.com time to read: +9 min

How a mild US slump becomes a deep global recessionMore than 80 central banks are staring down the same problem. That followed a hike of the same size by the European Central Bank on September 8. That so many central banks share the Fed's outlook could become a huge problem. "But because they are highly synchronous across countries, they could be mutually compounding in tightening financial conditions and steepening the global growth slowdown." Central banks could be mere months away from a lose-lose scenario.

FedEx announced Thursday it was raising prices for all of its consumer delivery services an average of 6.9% effective Jan. 2. FedEx Freight rates, meanwhile, will increase by an average of 6.9% to 7.9%. The shipping giant recently missed earnings expectations and announced significant cost-cutting measures as it warned of a global economic slowdown. "We regularly evaluate our shipping rates and fees and adjust them when needed," the company said on its website. Postal Service announced a holiday rate increase, with priority mail rates set to increase $0.95.

☆ FedEx needs to deliver on cost-cut plan as investor patience wanes, analysts say
▼ + stars: | 2022-09-23 | by ( Kannaki Deka | ) www.reuters.com time to read: +2 min

A FedEx last-mile delivery van is seen near a FedEx Ground distribution center in Carson, California, U.S., September 16, 2022. Last week, FedEx withdrew the financial forecast it issued just three months ago, adding to investor frustrations about a delay in turnaround. Some analysts said FedEx had enough room to cut costs and pricing power was holding up, for now. "There is abundant evidence that there are excess costs at FedEx, which could be trimmed with proper management focus and execution," Credit Suisse analysts said. Register now for FREE unlimited access to Reuters.com RegisterReporting by Kannaki Deka in Bengaluru; Editing by Anil D'SilvaOur Standards: The Thomson Reuters Trust Principles.

☆ FedEx's Shopify strategy could prove costly as e-commerce cools and logistics firms fight over small business, analysts say
▼ + stars: | 2022-09-23 | by ( Emma Cosgrove | ) www.businessinsider.com time to read: +5 min

The logistics giants are taking different paths when it comes to e-commerce platforms like Shopify. "Every entity in the parcel-delivery market — i.e., UPS, FedEx, USPS, Amazon Logistics, and every third party out there — is looking to that SMB customer," Shanker said. UPS and FedEx are taking opposite approachesMany small e-commerce businesses buy their shipping services through the online platforms they use to sell their products. "They want you to click on the FedEx logo because you think FedEx is great." "I think while FedEx talks about its focus on SMB shippers, I think UPS is actually executing on it," said Rick Watson, the CEO of RMW Commerce Consulting.

☆ Analysis: FedEx investors frustrated with new CEO after withdrawn forecast
▼ + stars: | 2022-09-22 | by ( Lisa Baertlein | ) www.reuters.com time to read: +5 min

A FedEx Ground truck drives near a FedEx regional hub at Los Angeles International Airport (LAX) in Los Angeles, California, U.S., September 16, 2022. Investors, already frustrated by last year's overly optimistic estimate for the holiday shopping season, were disappointed with its profit warning on Sept. 15. Reuters spoke with Bradshaw and five other investors who bought FedEx stock when it looked cheap versus its more profitable and better performing rival United Parcel Service (UPS.N), believing a FedEx business revamp promised healthy returns. FedEx warned business conditions would worsen in the current quarter, which ends as the key Christmas package delivery season begins. Late last month, FedEx told Reuters it was confident in its "stress tested" holiday forecast for this year.

☆ 'Boring is beautiful': Morgan Stanley's Mike Wilson says play it safe with stocks of this kind
▼ + stars: | 2022-09-22 | by ( Zavier Ong | ) www.cnbc.com time to read: +3 min

It has worked out quite well," Morgan Stanley 's chief U.S. equity strategist told CNBC's " Squawk Box Asia " on Wednesday. There have been several false dawns in this year's bear market, including a summer rally that saw a resurgence in technology stocks — one of the most beaten down sectors in the first half's market rout. Wilson said companies with operational efficiency are likely to do well in the current environment. The bank takes into account three types of costs: labor costs, inventory costs and capital expenditure. Here's what the pros say Fund manager says the bear market is going to get 'nasty' — but says he's not 'freaking out' Want to play the EV sector?

☆ FedEx posts over 5% rise in quarterly revenue
▼ + stars: | 2022-09-22 | by ( ) www.reuters.com time to read: +1 min

Register now for FREE unlimited access to Reuters.com RegisterA FedEx Express delivery vehicle is seen in Long Beach, California, U.S., September 16, 2022. FedEx said it expects cost savings between $2.2 billion and 2.7 billion in fiscal 2023, amid weaking demand due to a weaker-than-expected business environment. The cost savings will come from reducing flight frequencies at FedEx Express, suspending certain operations at FedEx Ground, among other measures, the company said. The company's quarterly net profit fell to $875 million, or $3.33 per share, from $1.11 billion, or $4.09 per share, a year earlier. Register now for FREE unlimited access to Reuters.com RegisterReporting by Nathan Gomes in Bengaluru; Editing by Shinjini GanguliOur Standards: The Thomson Reuters Trust Principles.

☆ Does FedEx's bleak outlook flash a warning signal for investors? Here's what the pros say
▼ + stars: | 2022-09-21 | by ( Zavier Ong | ) www.cnbc.com time to read: +5 min

FedEx 's bleak preliminary earnings and outlook sent shockwaves through the market and stocks lower during last Friday's trade. And the World Trade Organization similarly painted a grim picture, with an August report pointing to "stagnating global trade growth." It's one of those tea leaves you can take when you look at the global economy. Investors are not entirely sure which way the global economy, inflation and growth are going. "Investors are not entirely sure which way the global economy, inflation and growth are going.

☆ Here’s why understanding de-risking is key as the Fed readies another rate hike and earnings loom
▼ + stars: | 2022-09-21 | by ( Zev Fima | ) www.cnbc.com time to read: +8 min

Put another way, this hike has been de-risked but additional aggressive rate increases in the near term likely have not. The market wants to understand at what terminal rate the Fed will hold. If the Fed goes with a 75-basis-point hike Wednesday, that would bring the target range for the central bank's key fed funds rate to 3%-3.25%. On that note, current estimates for S & P 500 earnings are roughly $222 in 2022 and $240 for 2023. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade.

But some analysts note the relative stability of rivals UPS and DHL, and said FedEx's own failure to adapt also contributed to its performance. related investing news Does FedEx's bleak outlook flash a warning signal for investors? Kanarek was among the analysts who noted the mix of factors − internal and external − that likely played a role in FedEx's disappointing results. Confronting realitySome experts see FedEx's performance as an overdue confrontation with market realities coming out of the pandemic, which the company previously failed to acknowledge. If demand continues to slow and manufacturers require less production, Hoexter said FedEx could start to see freight volumes soften too.

☆ Here are Monday's biggest analyst calls: Apple, Amazon, Adobe, Peloton, Bed Bath & Beyond and more
▼ + stars: | 2022-09-19 | by ( Michael Bloom | ) www.cnbc.com time to read: +6 min

Oppenheimer reiterates Peloton as outperform Oppenheimer said it sees signs that Peloton's turnaround is starting to take hold. Bank of America reiterates Amazon as buy Bank of America noted that Amazon is poised to gain share, especially after FedEx's disappointing earnings report last week. JPMorgan reiterates Apple as overweight JPMorgan said in a note that demand remains "elevated" for Apple's latest iPhone models. Jefferies reiterates Bed Bath & Beyond as hold Jefferies said its analysis shows retailers such as Walmart and Target are key beneficiaries of Bed Bath & Beyond store closures. "After reviewing locations of upcoming Bed Bath store closures, we believe Walmart, Target, and Big Lots will be prime beneficiaries of sales transfer.

Organizations: ~$

☆ FedEx boss tells the US to brace for stagflation because there aren't enough workers to meet juiced-up demand
▼ + stars: | 2022-09-19 | by ( George Glover | ) www.businessinsider.com time to read: +4 min

FedEx founder Fred Smith warned that labor shortages could lead to stagflation in the US. "You simply do not have the workers to meet the demand that's been juiced by the printing of money," Smith said. "You simply do not have the workers to meet the demand that's been juiced by the printing of money," the delivery giant's executive chairman told Fox Business's 'Kudlow' on Saturday. "The problem is when that comes head-to-head with the lack of labor we have in the United States to meet the demand," he added. Labor shortages, rather than the coronavirus pandemic, fueled last year's supply-chain crisis, according to Smith.

☆ Traders worry there are more earnings warnings like FedEx's about to come out
▼ + stars: | 2022-09-19 | by ( Bob Pisani | ) www.cnbc.com time to read: +4 min

Michael Hartnett at Bank of America said that for the S & P 500, "we say nibble at SPX 3600, bite at 3300, gorge at 3000." The S & P 500 closed Friday at 3,873, and the June 16 bottom was 3,666, so 3,300 and 3,000 are a ways away. What about 3,000, the level Hartnett suggested investors should "gorge" on the S & P 500? A much lower multiple with a contraction in earnings: That is what you call a recessionary earnings picture. Bottom line: Lower mortgage rates definitely have been a factor in higher home prices for some time.

☆ Investing Club: The week in review, the week ahead — Sept. 16, 2022
▼ + stars: | 2022-09-16 | by ( Zev Fima | ) www.cnbc.com time to read: +5 min

As we saw from Starbucks (SBUX), Humana (HUM) and Danaher (DHR) this week, companies are still investing in the future despite the difficult macroeconomic environment. Conferences will continue next week and within the portfolio we look forward to hearing from Nvidia (NVDA), Salesforce (CRM) and Qualcomm (QCOM). On Thursday, initial jobless claims for the week ending Sept. 10 came in at 213,000, a decrease of 5,000 from the prior week and below expectations of 227,000. As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER .

☆ FedEx inflamed recession fears. These are our least economically sensitive stocks
▼ + stars: | 2022-09-16 | by ( Kevin Stankiewicz | ) www.cnbc.com time to read: +12 min

FedEx hasn't exactly been a perfect company in recent years, and Subramaniam acknowledged to Jim that FedEx needs to get its own house in order. However, the traditional recession playbook involves selling energy stocks due to fears of demand collapsing. Mixed bag The stocks discussed here have a mixture of economically resilient and sensitive characteristics to them, such as Microsoft (MSFT) and Apple (AAPL). (See here for a full list of the stocks in Jim Cramer's Charitable Trust.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade.

Search resuls for: "FedEx's"

25 mentions found