Is FedEx Stock a Buy?
The recent rise in FedEx's (NYSE: FDX) stock price has caught the eye of investors, and at the time of writing, the stock is up 6% on the year. Meanwhile, it's key rival, UPS (NYSE: UPS), is pretty much unchanged in 2020. FedEx's stock has produced a commendable performance given the significant impact of the COVID-19 pandemic on the economy. That said, is FedEx stock a buy right now?
Two key questions surround the investment case for transportation stocks right now. The first is whether burgeoning e-commerce growth, and in particular business-to-consumer (B2C) transactions, will lead to ongoing margin pressure in both companies' key segments.
FedEx and UPS are seeing strong growth in e-commerce deliveries. Image source: Getty Images.
Source Fool.com
