FedEx stock: Steve Weiss explains why he just bought FDX

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FedEx Corporation (NYSE: FDX) stock is down more than 20% year-to-date, which Short Hills Capital Partners’ Steve Weiss says is an opportunity to buy a quality name at a deep discount.

Weiss makes a bull case for FedEx stock

This afternoon on CNBC’s “Halftime Report”, Weiss said he hopped onto FDX at a “once in a lifetime” price of just over $200 a share. Making his bull case for the world’s largest courier company by net income, he said:

This stock is too cheap. You just can’t buy a company like FedEx at ten times earnings, given their growth, with limited exposure to Russia. The issues they had are behind them. That’s why I immediately made it a core position.

Weiss also has a positive outlook on XPO Logistics that announced plans of becoming a pure-play trucking company today.

Why else is Weiss bullish on FedEx stock?

Other reasons why Weiss is bullish on FedEx include its ability to pass on the fuel costs that are expected to go further up after President Biden’s recent ban on all imports of Russian oil and gas.

As of late 2019, FedEx no longer works with Amazon that Weiss sees as another positive for the Tennessee-headquartered company.

They feed up all that capacity for higher-paying freight, higher-paying companies. So, I like FedEx quite a bit here.

The post FedEx stock: Steve Weiss explains why he just bought FDX appeared first on Invezz.

Source: https://invezz.com/news/2022/03/09/fedex-stock-steve-weiss-explains-why-he-just-bought-fdx/