4-Star Stocks Poised to Pop: FedEx

Before you go, we thought you'd like these...
Before you go close icon

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, express delivery giant FedEx (NYS: FDX) has earned a respected four-star ranking.

With that in mind, let's take a closer look at FedEx's business and see what CAPS investors are saying about the stock right now.

FedEx facts

Headquarters (founded)Memphis, Tenn. (1971)
Market Cap$29.0 billion
IndustryAir freight and logistics
Trailing-12-Month Revenue$42.2 billion
ManagementFounder/Chairman/CEO Frederick Smith
CFO Alan Graf
Return on Equity (average, past 3 years)7.1%
Cash/Debt$2.0 billion / $1.7 billion
Dividend Yield0.6%
CompetitorsDHL International
TNT Express
United Parcel Service

Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 95% of the 2,322 members who have rated FedEx believe the stock will outperform the S&P 500 going forward.

Just last week, Fool Bryan Hinmon (TMF42) succinctly summed up the bull case for our community:

While FedEx tends to trade with the winds of the global economy, it has a nearly impossible franchise to replicate and it has key scale advantages. Aside from UPS, the company's competitors continue to struggle (I'm looking at you USPS and DHL). Online shopping is still in its infancy the low cost provider will continue to win this business -- FedEx is well positioned. The feather in the company's cap is its ability to raise prices year-in and year-out to pass along rising input costs and simply to boost its profitability. The shares of this premium company are selling as if the company itself is average.  

If you want to retire rich, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, FedEx may not be your top choice.

We've found another stock we are incredibly excited about -- excited enough to dub it "The Motley Fool's Top Stock for 2012." We have compiled a special free report for investors to uncover this stock today. The report is 100% free, but it won't be here forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow the newTrackPoisedToCAPS account.

At the time this article was published Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Motley Fool newsletter services have recommended buying shares of FedEx. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners