Billionaire Mason Hawkins’ 10 Mid-Cap Stocks with Huge Upside Potential

2. FedEx Corporation (NYSE:FDX)

Market Capitalization: $52.65 billion

Number of Hedge Fund Holders: 66 

Southeastern Asset Management Stake: $121,067,272 

Analyst Upside Potential: 25.61% 

FedEx Corporation (NYSE:FDX) is an international leader in transportation, e-commerce, and related services. Its key business segments include FedEx Express, Ground, Freight, Logistics, Office, and Dataworks. The company has a vast network that allows it to service clients of all sizes.

In the fiscal third quarter of 2025, the company reported growing its revenue by 2% year-over-year; however, regardless of the growth, FedEx Corporation (NYSE:FDX) missed analyst expectations. This was mainly due to the expiration of a long-standing partnership with the US Postal Service for air cargo and a decline in shipment volume.

As a result, the company has revised its outlook downwards, now expecting flat or slightly lower revenue compared to the prior year, a downgrade from previous guidance. The company lowered its full-year earnings per share forecast for the third consecutive quarter, adjusting the range to $15.15 to $15.75 from $16.45 to $17.45, reflecting ongoing economic uncertainties and operational headwinds. However, analysts still anticipate significant upside for FedEx Corporation (NYSE:FDX), making it one of billionaire Mason Hawkins’ 10 mid-cap stocks with huge upside potential.

Longleaf Partners Fund stated the following regarding FedEx Corporation (NYSE:FDX) in its Q1 2025 investor letter:

“FedEx Corporation (NYSE:FDX) – Global logistics company FedEx was a detractor for the quarter. The company faced macro headwinds, including tariff threats and ongoing demand weakness in the US. The company is growing market share and margins in its formerly challenged European business, and this was a driver for the Express business to report low-single-digit topline growth that turned into double-digit cash flow growth. The Freight business saw a decline like its peers who are also wrestling with weak industrial conditions. FedEx remains on track to separate into two entities: Express and Freight. This split should provide both companies with greater financial flexibility and accountability, allowing them to be run more efficiently. The market has consistently undervalued FedEx’s Freight operations, and a large discount to UPS is no longer warranted for the Express business. Tariff headwinds will be challenging to navigate, but we are glad the company is more on offense now than it has been in previous downturns.”