Diamonds and Dogs
FedEx (FDX) is flying higher. FedEx actually missed earnings estimates, but the stock is up 2% not far from a 52 week high thanks to strong guidance. Revenues rose 18.1% year over year to $15 billion. Stifel upgraded the stock with a $194 price target saying the stock should move higher thanks to strong Express margins. The Cowen analyst upgraded the stock with a $240 target. Firm believes this is the last difficult y/y comparison, and current quarter results should show significant y/y and sequential improvement. Management forecasts a significant sequential quarter improvement in the May quarter vs the February quarter.
NIKE's (NKE) wings have been clipped. The company actually beat earnings estimates by 15 cents as revenue rose 5.0% year over year to $8.43 billion. But the stock is lower by 6% back to a 2 month low. Wedbush analyst downgraded the stock noting Nike reported mixed results with headwinds in North America with pressuring on sales and margins. Stifel cut their target to $66 from $68.