FDXNEUTRAL

FDX Gross Margin Analysis

22.7%

Updated 132h ago·SEC filings & market data

Key Takeaway

The current gross margin of 22.7% means that for every dollar of revenue, FDX keeps about $0.23 after covering the direct costs of providing its services — the rest goes to costs like labor and materials.

Sector Performance

16th percentile

FDX

22.7%

Sector Median

44.6%

Sector Avg

45.5%

Prior Period

21.3%(Jul 2026)

↑ Improving

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Deep Analysis

This is far below the sector median of 44.6%, placing FDX in the 17th percentile among its peers, indicating its cost structure is less efficient than the majority of competitors. Year-over-year change is not available, but quarter-over-quarter the metric rose by 6.6 percentage points, from 21.3% to 22.7%, suggesting recent improvement. The combination of a low gross margin relative to peers with a positive near-term trend implies a risk of continued margin weakness but also an opportunity if the improvement can be sustained. This mixed picture — low level yet improving direction — aligns with the overall NEUTRAL verdict, as the metric neither strongly supports a bullish nor a bearish case on its own.

Frequently Asked Questions

What does the Gross Margin tell investors about FDX?

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.

How is the Gross Margin calculated?

Gross Margin is calculated as: Gross Profit / Revenue.

Who are FDX's closest peers by Gross Margin?

The closest peers by Gross Margin include: MSCI (82.7%), SYF (82.7%), EA (82.8%), THC (83.4%), INTU (83.9%).

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Learn More About Gross Margin

Gross Margin vs Net Margin: Why the Gap Between Them Tells You Everything

Gross margin vs net margin: learn what the spread between them reveals about operating leverage, cost structure, and early warning signs in any stock.

The Formula

Gross Profit / Revenue

Why It Matters

Gross margin reveals pricing power and cost structure. Software companies often sustain 70–80%; manufacturers typically 30–50%. Expansion is a bullish signal.