FDX
UBS isn’t blinking
FedEx just got the kind of follow-through investors like to see: UBS reiterated its Buy rating and left a $446 price target on the stock after the company disclosed a CFO change tied to its upcoming Freight spin-off.
The CFO shuffle
FedEx said executive vice president and CFO John Dietrich will step down on June 1, the same day the company expects to finish spinning off FedEx Freight into a separate public company. Claude Russ is set to serve as interim CFO while FedEx searches for a permanent replacement.
Why Wall Street is still leaning in
This isn’t the only bullish note in town either. Stifel, Bernstein, TD Cowen, and Wolfe Research all kept constructive views on the stock, with price targets ranging from the low $400s to $470. Translation: analysts seem to think the freight breakup could make the company easier to value — and maybe a little less like a corporate suitcase full of random cables.
Big picture
For investors, the key question is whether the spin-off unlocks cleaner margins and a tighter story for the market to price. UBS basically said: yes, we’ll take the story with the subplot and still buy the ticket.