Want Safer Package Delivery Income? FedEx Pays a Smaller Yield but Keeps Far More Cash

Impact · against what's priced in

The article provides no catalyst for FDX or UPS as it primarily reinforces existing market assumptions regarding FedEx's cash-flow stability and UPS's precarious dividend coverage. The news confirms the structural differences in their payout ratios, both of which are already reflected in their respective bearish-leaning valuations.

FDX+0.00

Already priced in

The price assumes

Revenue growth of roughly 6-8% annually