FedEx said it was running an expanded operation and delivering the "remaining delayed shipments along with our normal Saturday volume" in a statement to Bloomberg.
Packages that were headed for residences received priority and "heavier than planned last-minute shipment volumes" and severe weather also added to the delays, the company said according to Bloomberg.
The company did "everything possible" to move Christmas shipments before the holiday ended, said a FedEx spokesman. Drivers made deliveries on Friday to some markets and FedEx Express stations stayed open until 1 p.m. on Christmas for customer pickups, Bloomberg reported.
Separately, recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
We rate FEDEX CORP as a Buy with a ratings score of B. This is driven by several positive factors, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures, good cash flow from operations, increase in net income and growth in earnings per share. We feel its strengths outweigh the fact that the company has had lackluster performance in the stock itself.
Highlights from the analysis by TheStreet Ratings Team goes as follows:
- FDX's revenue growth has slightly outpaced the industry average of 1.9%. Since the same quarter one year prior, revenues slightly increased by 4.3%. Growth in the company's revenue appears to have helped boost the earnings per share.
- The current debt-to-equity ratio, 0.57, is low and is below the industry average, implying that there has been successful management of debt levels. To add to this, FDX has a quick ratio of 1.60, which demonstrates the ability of the company to cover short-term liquidity needs.
- The net income growth from the same quarter one year ago has greatly exceeded that of the S&P 500, but is less than that of the Air Freight & Logistics industry average. The net income increased by 4.2% when compared to the same quarter one year prior, going from $663.00 million to $691.00 million.
- Net operating cash flow has slightly increased to $1,213.00 million or 3.76% when compared to the same quarter last year. In addition, FEDEX CORP has also modestly surpassed the industry average cash flow growth rate of -2.22%.
- FEDEX CORP has improved earnings per share by 5.6% in the most recent quarter compared to the same quarter a year ago. This company has reported somewhat volatile earnings recently. But, we feel it is poised for EPS growth in the coming year. During the past fiscal year, FEDEX CORP reported lower earnings of $3.60 versus $6.79 in the prior year. This year, the market expects an improvement in earnings ($10.56 versus $3.60).
- You can view the full analysis from the report here: FDX