FedEx Corp is one of the most well-known shipping and delivery services companies in the world. It enjoys not only significant scale advantages but also technological leadership. FedEx pioneered the concept of tracking packages in real-time. The growth of e-commerce has proven to be an essential driver of growth for the company. In fact, the pandemic has further accelerated the development of the e-commerce industry. It is not just the big names like Amazon that are growing. Trends like dropshipping, Shopify and smaller niche websites selling online and delivering to people’s homes is picking up. So, the demand for small-package delivery and more extensive freight transportation is strong. The runway for the future is very long, and FedEx’s long-term prospects are bright. Investors looking for the best logistics stocks to buy now may want to take a closer look at FedEx Corporation.
More Background About FedEx Corporation
FedEx Corporation is headquartered in Memphis, Tennessee. The company is not as old as people might think. It was founded in 1971 in Little Rock, Arkansas. The founder, Frederick Smith, was a Yale University graduate. In fact, he wrote about his business idea in a term paper. But, his professor did not get swayed by the opinion. In 1973, Frederick moved FedEx’s operations to Memphis as it had lesser inclement weather and was close to the mean population centre of the US. The company grew quite spectacularly over the next few years and was doing $1 billion in revenue by 1983. Soon after, FedEx expanded internationally and made several key acquisitions over the years. Today, it is one of the leading names in the logistics industry and a top name among logistics stocks to buy today.
FedEx Corporation’s stock has bounced back quite spectacularly since the March 2020 crash. It has risen by over 170% since the March mayhem. It had a significant pullback towards the end of January 2021 but then has grown 19% since then.