FedEx Stock Hits All-Time Peak Before Earnings

FedEx Corp (NYSE:FDX) is set to report fiscal fourth-quarter earnings after the close on Tuesday, June 23. According to Zacks Research, analysts expect earnings of $5.91 per share on revenue of $24.18 billion. Wall Street will be watching for continued benefits from the company's cost-cutting program, DRIVE, as well as lower operating expenses stemming from its use of artificial intelligence.

FedEx stock is pulling back slightly after hitting a June 15 record high of $345.37. In a rare technical divergence, the stock's 14-day Relative Strength Index (RSI) sits at 28.5, indicating the shares sit firmly in oversold territory despite trading near these highs. Year-to date, the equity is up roughly 44%. 

Options traders are pricing in a post-earnings swing of 8.5%, compared to the stock's historical earnings move of 5.5% over the last eight quarters. FDX has closed four of its last eight post-earnings sessions higher, including its most recent three. 

Currently, sentiment in the options pits is overwhelmingly bearish. At the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), FDX's 10-day put/call volume ratio of 3.19 ranks higher than 97% of readings from the past year.