FedEx sum-of-the-parts valuation points to upside as freight spin-off approaches, UBS says
Key takeaways
- The freight unit, set to trade under the ticker FDXF, enters when-issued trading on May 27, with regular trading kicking off June 1.
- The bank used a sum-of-the-parts framework to arrive at the updated target, replacing a simpler method that had applied a single 17x earnings multiple to blended CY2027 estimates.
- For the parcel business, UBS applied a 7.4x EV/EBITDA multiple to CY2027 estimates, a 10% premium to the UPS and DHL average but still below UPS s own 8.4x.
Fed Ex sum-of-the-parts valuation points to upside as freight spin-off approaches, UBS says Fed Ex sum-of-the-parts valuation points to upside as freight spin-off approaches, UBS says Proactive uses images sourced from Shutterstock Proactive Mon, May 25, 2026 at 9:32 PM GMT+7 2 min read FDX UBS UPS DHL.DE UBS is sticking with a Buy rating on Fed Ex Corp (NYSE:FDX, XETRA:FDX) and a price target of $445, as the company gets ready to spin off its freight business into a standalone stock next week.
The freight unit, set to trade under the ticker FDXF, enters when-issued trading on May 27, with regular trading kicking off June 1. UBS put an implied value of $213 per share on FDXF and $338 per share on the remaining parcel business, which will be known as FEC.
The bank used a sum-of-the-parts framework to arrive at the updated target, replacing a simpler method that had applied a single 17x earnings multiple to blended CY2027 estimates.