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Is FedEx a Buffett Buyout Target?
Jan 29, 2020 | Eq: Value

Is FedEx a Buffett Buyout Target?

(New York)

There has been a lot of speculation over the last year that FedEx might be a buyout target. This time last year, everyone thought Amazon would buy the logistics company to beef up its own network. That did not happen. Now the speculation is that it might be on Warren Buffett’s list. Buffett has expressed that he is itching to make an “elephant-sized” acquisition, and FedEx fits the bill in more ways than one. Not only is it huge, but it has a more than $125 bn hoard of cash. Buffett likes simple businesses with good management and large moats, or barriers to entry which prevent competition. FedEx fits the bill perfectly.


FINSUM: This feels like a match made in heaven. Both parties refuse to comment. Hmmmm…

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