FedEx Total Debt vs. Gross Profit

FDXB34 Stock  BRL 1,824  48.16  2.71%   
Based on the key profitability measurements obtained from FedEx's financial statements, FedEx may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess FedEx's ability to earn profits and add value for shareholders.
For FedEx profitability analysis, we use financial ratios and fundamental drivers that measure the ability of FedEx to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well FedEx utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between FedEx's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of FedEx over time as well as its relative position and ranking within its peers.
  
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For information on how to trade FedEx Stock refer to our How to Trade FedEx Stock guide.
Please note, there is a significant difference between FedEx's value and its price as these two are different measures arrived at by different means. Investors typically determine if FedEx is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, FedEx's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

FedEx Gross Profit vs. Total Debt Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining FedEx's current stock value. Our valuation model uses many indicators to compare FedEx value to that of its competitors to determine the firm's financial worth.
FedEx is rated below average in total debt category among its peers. It is rated below average in gross profit category among its peers fabricating about  1.19  of Gross Profit per Total Debt. Comparative valuation analysis is a catch-all model that can be used if you cannot value FedEx by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for FedEx's Stock. Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued.

FedEx Total Debt vs. Competition

FedEx is rated below average in total debt category among its peers. Total debt of Integrated Freight & Logistics industry is currently estimated at about 125.53 Billion. FedEx retains roughly 19.75 Billion in total debt claiming about 16% of equities under Integrated Freight & Logistics industry.
Total debt  Workforce  Capitalization  Revenue  Valuation

FedEx Gross Profit vs. Total Debt

Total Debt refers to the amount of long term interest-bearing liabilities that a company carries on its balance sheet. That may include bonds sold to the public, notes written to banks or capital leases. Typically, debt can help a company magnify its earnings, but the burden of interest and principal payments will eventually prevent the firm from borrow excessively.

FedEx

Total Debt

 = 

Bonds

+

Notes

 = 
19.75 B
In most industries, total debt may also include the current portion of long-term debt. Since debt terms vary widely from one company to another, simply comparing outstanding debt obligations between different companies may not be adequate. It is usually meant to compare total debt amounts between companies that operate within the same sector.
Gross Profit is the most basic measure of business operational efficiency. It is simply the difference between sales revenue and the cost associated with making a product or providing a service. It is calculated before deducting administrative expenses, taxes, and interest payments.

FedEx

Gross Profit

 = 

Revenue

-

Cost of Revenue

 = 
23.41 B
Gross Profit varies significantly from one sector to another and tells an investor how much money a business would have made if it didn't have to pay any overhead expenses such as salary, taxes, or rent.

FedEx Gross Profit Comparison

FedEx is rated below average in gross profit category among its peers.

FedEx Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in FedEx, profitability is also one of the essential criteria for including it into their portfolios because, without profit, FedEx will eventually generate negative long term returns. The profitability progress is the general direction of FedEx's change in net profit over the period of time. It can combine multiple indicators of FedEx, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
FedEx Corporation provides transportation, e-commerce, and business services in the United States and internationally. The company was founded in 1971 and is based in Memphis, Tennessee. FEDEX CORP operates under Integrated Freight Logistics classification in Brazil and is traded on Sao Paolo Stock Exchange. It employs 384000 people.

FedEx Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on FedEx. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of FedEx position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the FedEx's important profitability drivers and their relationship over time.

Use FedEx in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if FedEx position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in FedEx will appreciate offsetting losses from the drop in the long position's value.

FedEx Pair Trading

FedEx Pair Trading Analysis

The ability to find closely correlated positions to FedEx could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace FedEx when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back FedEx - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling FedEx to buy it.
The correlation of FedEx is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as FedEx moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if FedEx moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for FedEx can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your FedEx position

In addition to having FedEx in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Run Sovereign ETFs Thematic Idea Now

Sovereign ETFs
Sovereign ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Sovereign ETFs theme has 17 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Sovereign ETFs Theme or any other thematic opportunities.
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Additional Information and Resources on Investing in FedEx Stock

When determining whether FedEx offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of FedEx's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Fedex Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Fedex Stock:
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For information on how to trade FedEx Stock refer to our How to Trade FedEx Stock guide.
You can also try the Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.
To fully project FedEx's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of FedEx at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include FedEx's income statement, its balance sheet, and the statement of cash flows.
Potential FedEx investors and stakeholders can use historical trends found within financial statements to determine how well the company is positioned for the future. Although FedEx investors may work on each financial statement separately, they are all related. The changes in FedEx's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on FedEx's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.