FedEx upgraded to Buy from Hold at Stifel

Stifel upgraded FedEx to Buy from Hold with a price target of $222, up from $171. The analyst states that while there are material risks to the environment macro this year, the emerging consensus around an inventory bottom and pull forward with early signs of execution on two significant tranches of cost savings initiatives present a compelling investment opportunity at the stock’s current "deeply-discounted" valuation. The firm adds that Q3 should be the softest quarter of the year and sees market and execution risk, but FedEx’s cost savings pull-forward should help to ameliorate these headwinds.