FedEx
Latest reported quarter is fiscal Q4 FY26 (ended May 31, reported June 23, 2026) — revenue $25.0B (+13% YoY), adjusted operating margin 8.4% (9.1% a year earlier), adjusted EPS $6.31; FY26 adjusted EPS $20.24, transformation savings above the $1B target. The LTL freight unit was spun off June 1, 2026 and the fiscal year moved to a December year-end, so the next report (~Oct 28) covers June–September. AI is an efficiency lever, not a revenue line — ~45% of eligible volume on Network 2.0 by end of June, ~100,000 routes AI-planned daily, AI targeted in over half of core workflows by 2028, Dataworks insights sold via ServiceNow (revenue undisclosed).
Scenarios
Transformation savings are compounding (over $1B in FY26, ~$1B more targeted for CY26) at record-low capex intensity (4.0% of revenue), and AI routing, MOBIUS predictive maintenance (~$10M/yr saved) and robotic trailer loading attack the largest cost lines. Data-center logistics is a double-digit growth vertical, a direct if modest tailwind from AI capex.
AI here is cost-out, not differentiation — UPS and Amazon Logistics deploy the same robotics and routing tools, so savings may be competed away in pricing. Dataworks revenue is still undisclosed, and the first post-spin four-month report (~Oct 28) gives no clean comparable yet.
Key Factors to Watch
- ●Q4 FY26 (June 23, 2026) — revenue $25.0B (+13%), adj. EPS $6.31; FY26 adj. EPS $20.24
- ●Freight spin-off completed June 1, 2026; fiscal year now ends Dec 31 — next report ~Oct 28 covers June–Sept
- ●CY26 outlook — revenue ~+11%, adj. EPS $16.90-18.10 (continuing ops), capex $3.9B incl. automation
- ●Network 2.0 at ~45% of eligible volume (end of June 2026); AI embedded in DRIVE process; data-center vertical growing double digits
- ●Robotic trailer loading and unloading (Dexterity, Berkshire Grey Scoop) scaling to 20+ US hubs; first Scoop units due later in 2026
- ●Dataworks + ServiceNow integrations live from Q1 2026 — revenue not disclosed
Score History
| Date | Score | Direction | Note |
|---|---|---|---|
| 2026-10-03 | 5.8 | Neutral | Rotating refresh — latest reported quarter is Q4 FY26 (ended May 31, reported June 23, 2026); no FQ1 FY27 print exists because the fiscal year moved to Dec 31 after the June 1 Freight spin-off (next report ~Oct 28 covers June–Sept). Removed unverifiable automation stats and stale DRIVE $4B figure; added Network 2.0 ~45% and CY26 outlook; score held at 5.8. |
| 2026-03-08 | 5.8 | Neutral | Score 6.0→5.8 (formula reweight: sb 0.25→0.15, are 0.20→0.25, md 0.20→0.25, dr 0.20→0.25, aam 0.15→0.10) |
| 2026-03-08 | 6.0 | Positive | Initial assessment from batch 5 research |
Transportation Peers
Last researched: 2026-10-03
This is research and analysis, not financial advice. Scores reflect AI impact potential, not investment recommendations.