Buy Signal on Fedex Corporation

We had an Enter Long signal on August 11th 2020, triggered by our system on FDX-US, Fedex, the US transport company.

Fedex is a $48.1bn market cap holding company, which engages in the provision of a portfolio of transportation, e-commerce, and business services. It operates through the FedEx Express, FedEx Ground, FedEx Freight, FedEx Services segment. The FedEx Express segment consists of domestic and international shipping services for delivery of packages and freight. The FedEx Ground segment focuses on small-package ground delivery services. The FedEx Freight segment offers less-than-truckload freight services across all lengths of haul. The FedEx Services segment provides sales, marketing, information technology, communications, customer service, technical support, billing and collection services, and certain back-office functions.

The Enter long signal was triggered amid signs of increasing e-commerce volumes and improved pricing. FedEx reported Q4- 2020 EPS (ended at 31st May) of $ 2.53 beating analyst consensus of $ 1.58 while revenue reached $17.4bn, against analysts' expectations of $16.4bn as increasing online shopping in the context of Covid-19 has offset rising costs as well as shrinking margins.

Short term catalyst: e-commerce growth.

This signal looks consistent with the Dow Jones Transportation Index.