Citigroup Comments On Fedex In Run-Up To Q4 Earnings

In a note dated June 11, Citigroup analyst Christian Wetherbee provided insight into the firm's position on Fedex (NYSE: FDX) in the run-up to the company's fiscal 2014 fourth quarter earnings results.

Wetherbee explained that the firm's view for the quarter are "somewhat muted" due to year-over-year fuel surcharge headwinds and one less operating day.

He is expecting Fedex to deliver guidance of $8.50 for fiscal 2015, which is above buy-side estimate of $8.30-8.40, but below the sell-side consensus.

Looking to fiscal 2015, Wetherbee is expecting margin expansion in the company's Express division as well as EPS growth. Based on these factors, the firm has reiterated its Buy rating and $170 price target.