FedEx price target lowered to $295 from $300 at Citi

Citi analyst Christian Wetherbee lowered the firm’s price target on FedEx to $295 from $300 and keeps a Buy rating on the shares. The analyst reduced estimates for FedEx approaching the end of the company’s fiscal Q3 to factor in weather impacts, primarily in Express. FedEx experienced nine consecutive days of national service disruption in January centered around its Memphis Express hub that are likely to impact both revenue and costs, the analyst tells investors in a research note. The firm thinks this partially offsets the company’s efforts to outperform seasonality from Q2 to Q3 and the addition of an Express operating day year-over-year. However, Citi sees this as a passing issue.