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Investing.com - Goldman Sachs has lowered its price target on FedEx (NYSE:FDX) to $276.00 from $290.00 while maintaining a Buy rating on the stock. According to InvestingPro data, the stock currently trades at $228.81, with analyst targets ranging from $200 to $320, suggesting potential upside from current levels.
The firm cited ongoing uncertainty around tariffs and potential impacts to global trade as making near-term forecasting challenging for companies like FedEx that are deeply connected to international commerce.
Goldman Sachs believes domestic package volume likely decreased during FedEx’s fiscal first quarter as earlier freight pull-forward effects diminished, while business-to-business volumes remained static at best and less-than-truckload shipments trended downward.
The investment bank reduced its fiscal first-quarter earnings forecast for FedEx to $3.50 per share from $3.75, placing it at the lower end of management’s previously announced guidance range of $3.40-$4.00.
For fiscal year 2026, Goldman Sachs lowered its earnings forecast to $18.00 per share from $18.80, reflecting a more cautious stance on earnings for the remainder of the calendar year due to tariff impacts and additional headwinds following the end of DeMinimis for rest-of-world shipments.
In other recent news, FedEx has announced several key developments. The company declared a quarterly cash dividend of $1.45 per share, payable on October 1, 2025, to stockholders of record as of September 8, 2025. Meanwhile, JPMorgan has lowered its price target for FedEx to $285, citing potential downside risks to the fiscal first-quarter 2026 earnings due to stagnant business-to-business demand and deteriorating business-to-consumer trends. Similarly, UBS adjusted its price target to $293 following reports of a modest slowdown in volume growth affecting the Ground division and Domestic Express services.
In executive changes, FedEx has appointed Vishal Talwar as the new executive vice president, chief digital and information officer, and president of FedEx Dataworks, effective August 15. Talwar brings extensive experience from Accenture Technology, where he held the position of senior managing director and chief growth officer. Additionally, Sriram Krishnasamy has stepped down from his roles as executive vice president, chief digital and information officer, and chief transformation officer but will remain as an executive advisor until October 31, 2025. The details of Krishnasamy’s departure are still being finalized, with an amendment to the current report expected within four business days.
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