5 Best Industrial Stocks To Buy Right Now

4. FedEx Corporation (NYSE:FDX

Number of Hedge Fund Holders: 61

FedEx Corporation (NYSE:FDX) is an American multinational conglomerate holding company engaged in transportation, business services, and e-commerce. Today, FedEx Corporation (NYSE:FDX) is known for its flagship air courier and shipment service, FedEx Express. FedEx Corporation (NYSE:FDX) is also a key contractor for the US government, since it assists the US Postal Service with the distribution of packages via FedEx SmartPost. FedEx Corporation (NYSE:FDX) operates worldwide, and is one of the top industrial stocks on our extensive list. 

At the end of the second quarter, 61 hedge funds were long FedEx Corporation (NYSE:FDX).

On October 8, Citi analyst Christian Wetherbee kept a Buy rating on FedEx Corporation (NYSE:FDX), with a $300 price target.

Here is what East 72 has to say about FedEx Corporation (NYSE:FDX) in its Q3 2021 investor letter:

“It has been some considerable time that the variables which contribute to profit growth estimation have been so volatile; not just the strictly financial aspects but the impact on timing of pandemic delays, consequent labour shortages, port and shipping delays (and costs) and resultant inefficiencies in the supply chain. Christmas stock arriving in January isn’t much use – and for some unlucky folks, that will be the case.

As a good example, FedEx Q1FY22 results reported a $450million increase in “costs due to a constrained labour market which impacted labour availability, resulting in network inefficiencies, higher wage rates, and increased purchased transportation expenses. This was partially offset by higher package and freight yields, increased international export express shipments and a favourable net fuel impact”3. If all of the costs were labour related, that would be around a 6% “inefficiency” increase. No inflation, don’t forget….”