Core Insights - FedEx Corporation (NYSE:FDX) is recognized as one of the best undervalued stocks to invest in, according to Reddit discussions [1] - TD Cowen raised the price target for FedEx stock to $271 from $269 while maintaining a "Buy" rating, citing the company's strong Q1 2026 performance despite challenges [1][2] - The company is expected to achieve a revenue growth rate of 4% to 6% year-over-year for FY 2026 [2] Financial Performance - FedEx's consolidated operating results showed improvement, particularly in US domestic package revenue and ongoing structural cost reductions [2] - The company exceeded expectations in Q1 2026, highlighting the effectiveness of its strategic initiatives [1][2] Strategic Developments - The planned spin-off of FedEx Freight into a new publicly traded company is progressing and is anticipated to be completed by June 2026 [2] - Effective January 5, 2026, FedEx will increase parcel and Freight LTL shipping rates by an average of 5.9% [2] Market Position and Challenges - Despite facing macroeconomic headwinds such as tariff threats and weak demand for higher-value shipping, FedEx demonstrated resilience [3] - The separation of Express and Freight is expected to unlock value and improve capital discipline at Express, addressing market undervaluation [3]
TD Cowen Lifts PT on FedEx (FDX) Stock