FedEx (FDX) Stock Gaining After Credit Suisse Raises Earnings Estimates

NEW YORK (TheStreet) -- Shares of FedEx Corp. (FDX) are gaining 1.21% to $178.87 after Credit Suisse raised its 2016 earnings estimates to $10.91 from $10.89 per share, and 2017 earnings estimates to $12.56 from $12.54 per share.

The firm also introduced a fiscal year 2018 earnings forecast of $13.81 per share, according to the analyst note.

"The EPS guidance will be supported by continued improvement in base pricing and volume growth as well as further progress on the profit improvement plan (PIP)," Credit Suisse analysts said.

Within the context of a significantly underperforming transports sector, FedEx is one of the few stocks that offers insulation from broad-based commodities weakness, exposure to the consumer, and self-help via the PIP at Express, Credit Suisse added.

FedEx provides a portfolio of transportation, e-commerce, and a range of domestic and international shipping services for delivery of packages and freight under the FedEx brand.

Separately, TheStreet Ratings team rates FEDEX CORP as a Buy with a ratings score of A. TheStreet Ratings Team has this to say about their recommendation:

"We rate FEDEX CORP (FDX) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. 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, solid stock price performance, impressive record of earnings per share growth and compelling growth in net income. We feel its strengths outweigh the fact that the company shows low profit margins."

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