(Memphis)
FedEx and other logistics providers have risen alongside other stocks, but their gains have not been nearly as prolific as some of the ecommerce providers they service. However, that may be about to change. Multiple Wall Street analysts are changing their tune on the company, saying that the stars are aligning for the stock. In particular, UPS is starting to raise prices, which will help FedEx with profitability alongside the huge explosion in ecommerce volumes that has coincided with people staying at home. Furthermore, as a vaccine is developed, FedEx and other logistics providers will need to deliver millions of doses of vaccines, which will be another boost.
FINSUM: Two big factors here really—UPS and USPS are raising prices, allowing breathing room for FedEx; and…FedEx is a leader in temperature-controlled shipping, which is what will be needed for vaccines.
