Is FedEx Corporation Stock Outperforming the Dow?

FedEx Corporation (FDX) is a transportation, e-commerce, and logistics company that provides express shipping, freight transportation, supply-chain management, and business services to customers worldwide. The company operates through major segments such as Federal Express and FedEx Freight, serving businesses and consumers with its headquarters in Memphis, Tennessee. FedEx has a market cap of around $84.7 billion.

Companies worth $10 billion or more are generally described as “large-cap stocks,” and FDX fits right into that category with its market cap exceeding this threshold, reflecting its substantial size, influence, and dominance in the integrated freight and logistics industry. The company plays a critical role in global trade with one of the world’s largest air and ground delivery networks.

FDX is down 8.6% from its 52-week high of $392.86, achieved on Feb. 27. Over the past three months, FDX gained 30.9%, outperforming the Dow Jones Industrials Average’s ($DOWI) marginal decline during the same time frame. 

Moreover, shares of the company rose 24.3% on a YTD basis and climbed 43.8% over the past 52 weeks, outpacing DOWI’s YTD slump of 1.2% and 11.6% returns over the past year.

To confirm the bullish trend, FDX is trading above its 50-day and 200-day moving averages since mid-October 2025.

FedEx Corporation stock has been rising in 2026 mainly due to stronger-than-expected earnings, improved guidance, and ongoing cost-cutting initiatives that are boosting profitability. In fiscal Q2 2026, the company reported adjusted earnings per share (EPS) of $4.82, up 19% year-over-year (YOY) and well above analyst estimates, alongside revenue of $23.5 billion, up 6.8% YOY.

FedEx also raised its fiscal-year outlook, projecting 5% to 6% revenue growth and adjusted EPS of about $17.80 to $19, which has improved investor confidence. Continued efficiency efforts, such as its Network 2.0 transformation and structural cost reductions, are also helping expand margins and support the stock’s upward momentum.

FDX’s rival, United Parcel Service, Inc. (UPS) shares lagged behind the stock, surging 3.2% on a YTD basis but declining 15.1% over the past 52 weeks. 

Wall Street analysts are moderately bullish on FDX’s prospects. The stock has a consensus “Moderate Buy” rating from the 27 analysts covering it, and the mean price target of $378.73 suggests a potential upside of 5.5% from current price levels.