Market Comparison of UPS and FedEx
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Feb 05 2026
0mins
Source: Fool
- Revenue Growth Comparison: FedEx achieved a 6.8% year-over-year revenue growth in the latest quarter, while UPS experienced a 3.3% decline, highlighting FedEx's clear advantage in market share and revenue growth.
- Strategic Adjustments: FedEx is spinning off its freight segment to focus on ground and air shipments, with CEO Raj Subramaniam stating successful execution of its growth strategy, whereas UPS is shrinking to enhance profit margins, resulting in lost market share.
- Layoff Impact: UPS plans to lay off 30,000 workers in response to reduced Amazon shipment volumes, which may boost average revenue per delivery but will significantly hinder revenue growth in the short term.
- Profit Margin Changes: FedEx's net income grew by 29% year-over-year in the most recent quarter, while UPS only saw a 4.1% increase, indicating FedEx's leading position in margin expansion despite UPS's higher valuation.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy FDX?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on FDX
Wall Street analysts forecast FDX stock price to fall
20 Analyst Rating
13 Buy
6 Hold
1 Sell
Moderate Buy
Current: 375.930
Low
210.00
Averages
315.05
High
365.00
Current: 375.930
Low
210.00
Averages
315.05
High
365.00
About FDX
FedEx Corporation provides customers and businesses with a portfolio of transportation, e-commerce, and business services. The Company offers integrated business solutions utilizing its flexible and efficient global network. Its segments include Federal Express, FedEx Freight, and Corporate, other, and eliminations. Federal Express segment includes express transportation, small-package ground delivery, and freight transportation, and it also operates combined sales, marketing, administrative, and information-technology functions in shared service operations for United States customers. FedEx Freight segment includes FedEx Freight (LTL freight transportation) and FedEx Custom Critical (time-critical transportation). Corporate, other, and elimination segments include FedEx Dataworks, Inc. (FedEx Dataworks), FedEx Office and Print Services, Inc. (FedEx Office), and FedEx Logistics, Inc. (FedEx Logistics). FedEx Logistics offers customs brokerage, specialty transportation, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
India's Offshore Tech Centers Expected to Generate $98.4 Billion in Revenue
- Revenue Growth Forecast: According to a report by Nasscom and Zinnov, India's offshore technology centers are expected to generate $98.4 billion in revenue for fiscal 2026, nearing earlier projections for 2030, indicating a trend of global firms accelerating their outsourcing to India due to rising costs and geopolitical uncertainties.
- High-Value Function Transformation: Companies such as JPMorgan Chase, McDonald's, and Nvidia are increasingly leveraging Global Capability Centers (GCCs) to support high-value functions like finance, software development, and R&D, demonstrating India's evolving role in global outsourcing beyond low-cost back-office support.
- AI-Driven Expansion Capability: With a large AI-ready workforce and faster-to-scale operating models, coupled with supportive tax policies, firms are able to expand these high-value functions much faster than before, further solidifying India's competitive position in the global market.
- North American Market Dominance: The report highlights that North American firms remain the main engine of India's GCC expansion, accounting for two-thirds of new setups, as many companies relocate work to India to access talent, reflecting strong demand for the Indian market.
See More
ServiceNow Unveils New Collaborations and Platforms for AI Control
- Collaboration Expansion: ServiceNow's partnership with FedEx Dataworks integrates logistics into existing procurement workflows, aiming to enhance supply chain visibility and customer experience, which is expected to significantly improve procurement solution efficiency.
- AI Governance Innovation: The expanded collaboration with Nvidia introduces Project Arc, designed to enhance enterprise AI governance through an autonomous desktop agent that completes complex tasks automatically, thereby increasing employee productivity and security.
- New Product Launch: ServiceNow has unveiled a new product called Otto, which aims to unify conversational AI, autonomous workflows, and enterprise search into a single experience, expected to enhance employee and team efficiency and drive digital transformation.
- Security Risk Management: The launch of Autonomous Security & Risk by ServiceNow aims to map every identity and connected asset through a single graph, enhancing real-time threat neutralization capabilities, which is anticipated to significantly improve enterprise security management efficiency and response speed.
See More
FedEx and ServiceNow Deepen Collaboration for AI-Driven Supply Chain
- Intelligent Supply Chain Management: FedEx's collaboration with ServiceNow integrates logistics intelligence from FedEx Dataworks into ServiceNow's procurement processes, aiming to enhance supply chain visibility and customer experience, thereby optimizing operational efficiency for enterprises.
- Data-Driven Decision Making: FedEx's global network generates over 2 petabytes of data daily, and by combining this with ServiceNow, businesses can access real-time logistics intelligence, helping procurement teams reduce uncertainty and improve response times during decision-making.
- Supplier Insight Capabilities: The new solution will provide supplier insights based on FedEx network data, automating supplier assessments to ensure procurement teams can act proactively before issues arise, thus lowering operational risks.
- Future Innovation Exploration: FedEx and ServiceNow plan to continue exploring other innovations to advance intelligent supply chain management, further enhancing enterprise competitiveness in complex market environments.
See More
FedEx and ServiceNow Enhance Strategic Partnership with Innovative AI-Driven Supply Chain Solution
FedEx Expands Collaboration: FedEx has announced an expansion of its strategic collaboration with new AI-powered supply chain solutions.
Focus on Innovation: The partnership aims to enhance operational efficiency and improve service delivery through advanced technology integration.
See More
PVAL Stock Price Analysis and ETF Dynamics
- Stock Price Fluctuation: PVAL's 52-week low is $37.11 and high is $49.6298, with the latest trade at $49.37, indicating price volatility near the high point that may influence investor buying decisions.
- Technical Analysis Tool: Comparing the latest stock price to the 200-day moving average can provide valuable insights for investors, helping to assess price trends and potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding for ETFs helps identify those experiencing significant inflows or outflows, allowing investors to evaluate the impact on underlying assets and make informed investment decisions.
See More
Amazon's New Logistics Initiative Shakes Market
- Increased Market Competition: Amazon's announcement of a new initiative allowing external businesses to utilize its supply chain for deliveries led to significant stock declines for UPS and FedEx, dropping over 10% and 9% respectively, indicating investor concerns about intensified competition in the logistics sector.
- Strong Sales Growth: Palantir reported an impressive 85% revenue growth in Q1, with net income approximately quadrupling year-over-year, showcasing its robust performance in the defense technology sector and projecting a doubling of its U.S. business in the coming year.
- Tesla and SEC Settlement: Tesla CEO Elon Musk reached a settlement with the SEC, agreeing to pay $1.5 million in penalties over allegations of failing to disclose his Twitter stake prior to acquisition, although this minor fine is not expected to have a significant financial impact on the company.
- GLP-1 Market Dynamics: Novo Nordisk's Wegovy pill has rapidly gained tens of thousands of new users within four months of launch, while Eli Lilly's competing Foundayo has seen a more modest uptake, reflecting a shift in market demand for weight-loss medications.
See More
India's Offshore Tech Centers Expected to Generate $98.4 Billion in Revenue
- Revenue Growth Forecast: According to a report by Nasscom and Zinnov, India's offshore technology centers are expected to generate $98.4 billion in revenue for fiscal 2026, nearing earlier projections for 2030, indicating a trend of global firms accelerating their outsourcing to India due to rising costs and geopolitical uncertainties.
- High-Value Function Transformation: Companies such as JPMorgan Chase, McDonald's, and Nvidia are increasingly leveraging Global Capability Centers (GCCs) to support high-value functions like finance, software development, and R&D, demonstrating India's evolving role in global outsourcing beyond low-cost back-office support.
- AI-Driven Expansion Capability: With a large AI-ready workforce and faster-to-scale operating models, coupled with supportive tax policies, firms are able to expand these high-value functions much faster than before, further solidifying India's competitive position in the global market.
- North American Market Dominance: The report highlights that North American firms remain the main engine of India's GCC expansion, accounting for two-thirds of new setups, as many companies relocate work to India to access talent, reflecting strong demand for the Indian market.
See More
ServiceNow Unveils New Collaborations and Platforms for AI Control
- Collaboration Expansion: ServiceNow's partnership with FedEx Dataworks integrates logistics into existing procurement workflows, aiming to enhance supply chain visibility and customer experience, which is expected to significantly improve procurement solution efficiency.
- AI Governance Innovation: The expanded collaboration with Nvidia introduces Project Arc, designed to enhance enterprise AI governance through an autonomous desktop agent that completes complex tasks automatically, thereby increasing employee productivity and security.
- New Product Launch: ServiceNow has unveiled a new product called Otto, which aims to unify conversational AI, autonomous workflows, and enterprise search into a single experience, expected to enhance employee and team efficiency and drive digital transformation.
- Security Risk Management: The launch of Autonomous Security & Risk by ServiceNow aims to map every identity and connected asset through a single graph, enhancing real-time threat neutralization capabilities, which is anticipated to significantly improve enterprise security management efficiency and response speed.
See More
FedEx and ServiceNow Deepen Collaboration for AI-Driven Supply Chain
- Intelligent Supply Chain Management: FedEx's collaboration with ServiceNow integrates logistics intelligence from FedEx Dataworks into ServiceNow's procurement processes, aiming to enhance supply chain visibility and customer experience, thereby optimizing operational efficiency for enterprises.
- Data-Driven Decision Making: FedEx's global network generates over 2 petabytes of data daily, and by combining this with ServiceNow, businesses can access real-time logistics intelligence, helping procurement teams reduce uncertainty and improve response times during decision-making.
- Supplier Insight Capabilities: The new solution will provide supplier insights based on FedEx network data, automating supplier assessments to ensure procurement teams can act proactively before issues arise, thus lowering operational risks.
- Future Innovation Exploration: FedEx and ServiceNow plan to continue exploring other innovations to advance intelligent supply chain management, further enhancing enterprise competitiveness in complex market environments.
See More
FedEx and ServiceNow Enhance Strategic Partnership with Innovative AI-Driven Supply Chain Solution
FedEx Expands Collaboration: FedEx has announced an expansion of its strategic collaboration with new AI-powered supply chain solutions.
Focus on Innovation: The partnership aims to enhance operational efficiency and improve service delivery through advanced technology integration.
See More
PVAL Stock Price Analysis and ETF Dynamics
- Stock Price Fluctuation: PVAL's 52-week low is $37.11 and high is $49.6298, with the latest trade at $49.37, indicating price volatility near the high point that may influence investor buying decisions.
- Technical Analysis Tool: Comparing the latest stock price to the 200-day moving average can provide valuable insights for investors, helping to assess price trends and potential buying opportunities.
- ETF Trading Mechanism: Exchange-traded funds (ETFs) trade like stocks, where investors buy and sell 'units' that can be created or destroyed based on demand, impacting liquidity and market performance.
- Inflows and Outflows Monitoring: Weekly monitoring of changes in shares outstanding for ETFs helps identify those experiencing significant inflows or outflows, allowing investors to evaluate the impact on underlying assets and make informed investment decisions.
See More
Amazon's New Logistics Initiative Shakes Market
- Increased Market Competition: Amazon's announcement of a new initiative allowing external businesses to utilize its supply chain for deliveries led to significant stock declines for UPS and FedEx, dropping over 10% and 9% respectively, indicating investor concerns about intensified competition in the logistics sector.
- Strong Sales Growth: Palantir reported an impressive 85% revenue growth in Q1, with net income approximately quadrupling year-over-year, showcasing its robust performance in the defense technology sector and projecting a doubling of its U.S. business in the coming year.
- Tesla and SEC Settlement: Tesla CEO Elon Musk reached a settlement with the SEC, agreeing to pay $1.5 million in penalties over allegations of failing to disclose his Twitter stake prior to acquisition, although this minor fine is not expected to have a significant financial impact on the company.
- GLP-1 Market Dynamics: Novo Nordisk's Wegovy pill has rapidly gained tens of thousands of new users within four months of launch, while Eli Lilly's competing Foundayo has seen a more modest uptake, reflecting a shift in market demand for weight-loss medications.
See More
