In episode 9 of Great Quarter, Guys, Kevin Hill and JP Hampstead discuss what is going on with FedEx. What are the odds of the company being acquired, or are reports of FedEx’s demise greatly exaggerated?
Plus, we talk about the five biggest themes of the freight markets in 2019, along with where the DHL Supply Chain Pricing Power Index is headed in 2020.
Cooper Smith
A lot of inaccuracies. Not all boxes go through Memphis. Oakland, Fort Worth, Indianapolis, Newark, and Greensboro NC are all regional hubs so not all packagesgo through Memphis. Also Amazon was less than 1% of the profit when FedEx profit margins are around 7%. FedEx is a global company so while US economy is doing great, the global economy, especially the Chinese economy isnt doing so well. FedEx ships 40% of packages in China and that is where FedEx is struggling until the trade deal is worked out.