Track market-moving stories before they get noisy

SummaryCompaniesShopify set to ban vapes from its web hosting platform, two sources saidGeographic scope of the expected ban unclearIn the U.S., ban covers both legal and illegal vapes, sources saidLONDON, June 23 (Reuters) - Shopify Inc (SHOP.TO), opens new tab will ban all vapes from its ​platform as soon as this week after pressure from a group of U.S. state attorneys general aiming to curb sales of illegal e-cigarettes online, ‌according to two sources familiar with its plans.

The Ottawa-based company provides the underlying infrastructure that lets millions of merchants operate and scale e-commerce channels. It has been in talks since last year with a bipartisan coalition of 25 state attorneys general, who have been pushing Shopify to do more to clamp down on a booming market for vapes that lack the legally required licence for ​U.S. sales, or violate other laws.

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Unlicensed vapes, usually made in China, are widely available in the U.S. both online and in vape shops, convenience stores ​or gas stations despite being illegal to import or sell. The expected Shopify ban, first reported by Reuters, would mark the ⁠most significant win yet for the state law enforcement officials, who have been targeting the industry's infrastructure over concerns that illegal vapes put public health at risk.

"We've ​always prohibited illegal activity and take action when we become aware of merchants violating our policies," a Shopify spokesperson said in a statement, adding such internal decisions take ​into account global legal frameworks and are not based on feedback from any one group.

"We adjust our enforcement approach when legal changes call for it," the spokesperson said.

The expected ban could disrupt e-commerce sales and have a "chilling effect" on sellers, one of the sources said.

The illegal U.S. market for vapes is currently worth some $9 billion, according to British American Tobacco (BATS.L), opens new tab, whose U.S. business has been ​hit hard by their proliferation.

BAT did not respond immediately to a request for comment.

The U.S. Food and Drug Administration has to date granted marketing authorisation to just ​45 e-cigarette products, mostly tobacco-flavoured -- an approach that big tobacco companies such as BAT argue has stifled the legal market and fuelled illegal sales.

ILLEGAL VAPES DEPEND MORE ON E-COMMERCEIt was not ‌immediately clear ⁠whether the ban would apply beyond the United States. Shopify did not answer a question on its geographic scope.

Other countries like India have banned vape sales altogether, while in Australia they can only be sold in pharmacies.

In the U.S., the Shopify ban will apply to all vapes regardless of whether they have required FDA authorisation, the two sources said.

A relatively small portion of authorised vape sales in the U.S. occur online, which should mean a limited effect on licensed players such as BAT or ​e-cigarette maker Juul, one of the sources ​said. E-commerce is a more important ⁠channel for illegal vapes, though they are also mostly sold in brick-and-mortar stores.

Separately, credit card company Mastercard (MA.N), opens new tab warned partners responsible for adding merchants to its network that unlicensed vape sales violate its standards, according to a global notice issued to partners ​in May and obtained by Reuters.

The state attorneys general in an April letter pushed Mastercard and other major card networks ​or payment processors to ⁠take stronger action to prevent their networks from being used to facilitate illegal vape sales.

Those partners, also known as acquirers, are financial institutions that act as a go-between to complete credit-card transactions.

Mastercard's notice said when acquirers register a merchant they are "attesting that all appropriate controls are in place" to make sure their activities don't violate the law. It recommended ⁠those companies ​implement controls involving reviewing and approving a merchant's product inventories, along with transaction and invoice monitoring.

Mastercard said ​it would launch investigations if stores selling illegal vapes used its services, potentially targeting both retailers and acquirers, with the risk of fines if they do not comply with their standards. "We have zero tolerance ​for unlawful activity on our network," Mastercard said.

($1 = £0.7581)Reporting by Emma Rumney; Additional reporting by Manya Saini and Deborah Sophia in Bengaluru; Editing by Lisa Jucca and David Gaffen

Our Standards: The Thomson Reuters Trust Principles., opens new tab

SoHo storefront opens to the public Friday, June 26th, through Sunday, June 28th, from 10:00 am to 7:00 pm daily at 188 Lafayette Street, where visitors can interact with and pre-order humanoid robots. June 24, 2026 09:00 ET  | Source: KraneShares

NEW YORK, June 24, 2026 (GLOBE NEWSWIRE) -- KraneShares, the investment manager of the KraneShares Global Humanoid Robotics and Physical AI Index ETF (Ticker: KOID), and OpenMind, an open-source initiative advancing embodied AI software and cognitive systems, today announced the opening of KOID SHOP New York City's first store dedicated to general-purpose robots. The pop-up storefront, located at 188 Lafayette Street in SoHo, opens to the public on Friday, June 26 and runs through Sunday, June 28, with doors opening each day from 10:00 am to 7:00 pm.

Visitors will see and interact with leading robotic platforms including Unitree, AgiBOT, Booster, and LimX Dynamics, running on OpenMind software, with capabilities on display including sports and dancing routines, home care, educational tutoring, and home safety monitoring. Pre-orders will be accepted on-site marking one of the first opportunities for American consumers to reserve humanoid robots through a physical retail experience.

"We believe humanoid robotics and physical AI represent one of the most important technology opportunities of the coming decade," said Jonathan Krane, CEO of KraneShares. "As investors have sought exposure to this theme through KOID, interest has continued to expand well beyond the financial community. Opening a robot store in the heart of New York City is an opportunity to help the public experience firsthand how quickly these technologies are advancing and how they may transform everyday life."

"The store is designed as a place for New Yorkers to come invent, discover, and celebrate what general-purpose robots can do," said Jan Liphardt, Founder and CEO of OpenMind. "Robots are no longer a thing of the future. They are arriving in homes, offices, and public spaces faster than most people realize. Our goal is to give people a hands-on experience with the technology and help shape how humans and robots will live and work alongside intelligent machines in the years ahead."

Learn more, plan your visit, and pre-register: https://koidshop.ai/.

About KraneShares

KraneShares delivers research-driven, high-conviction strategies connecting investors to the world’s most powerful growth themes. From emerging technologies, including humanoid robotics and physical AI, China’s dynamic capital markets, carbon credits, alternatives, and income, the firm offers differentiated exposures designed to capture the megatrends reshaping the global economy.

About OpenMind

OpenMind builds the intelligence layer for general-purpose robots. Its core products—the Social Intelligence API, OM1 hardware abstraction layer, and web-hosted simulation environment—enable robots from any manufacturer to recognize people, remember context, and adapt to personalized environments. The company is headquartered in San Francisco.

For KOID top 10 holdings, risks, standard performance, and other fund information, please click here.

Carefully consider the Funds’ investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Funds' full and summary prospectus, which may be obtained by visiting https://www.kraneshares.com/etf/koid. Read the prospectus carefully before investing.

Risk Disclosures:

Investing involves risk, including possible loss of principal. There can be no assurance that a Fund will achieve its stated objectives. Indices are unmanaged and do not include the effect of fees. One cannot invest directly in an index.

This information should not be relied upon as research, investment advice, or a recommendation regarding any products, strategies, or any security in particular. This material is strictly for illustrative, educational, or informational purposes and is subject to change. Certain content represents an assessment of the market environment at a specific time and is not intended to be a forecast of future events or a guarantee of future results; material is as of the dates noted and is subject to change without notice.

Humanoid and embedded intelligence technology companies often face high research and capital costs, resulting in variable profitability in a competitive market where products can quickly become obsolete. Their reliance on intellectual property makes them vulnerable to losses, while legal and regulatory changes can impact profitability. Defining these companies can be complex, and some may risk commercial failure. They are also affected by global scientific developments, leading to rapid obsolescence, and may be subject to government regulations. Many companies in which the Fund invests may not currently be profitable, with no guarantee of future success.

A-Shares are issued by companies in mainland China and traded on local exchanges. They are available to domestic and certain foreign investors, including QFIs and those participating in Stock Connect Programs like Shanghai-Hong Kong and Shenzhen-Hong Kong. Foreign investments in A-Shares face various regulations and restrictions, including limits on asset repatriation. A-Shares may experience frequent trading halts and illiquidity, which can lead to volatility in the Fund’s share price and increased trading halt risks. The Chinese economy is an emerging market, vulnerable to domestic and regional economic and political changes, often showing more volatility than developed markets. Companies face risks from potential government interventions, and the export-driven economy is sensitive to downturns in key trading partners, impacting the Fund. U.S.-China tensions raise concerns over tariffs and trade restrictions, which could harm China’s exports and the Fund. China’s regulatory standards are less stringent than in the U.S., resulting in limited information about issuers. Tax laws are unclear and subject to change, potentially impacting the Fund and leading to unexpected liabilities for foreign investors. Fluctuations in currency of foreign countries may have an adverse effect to domestic currency values.

The Japanese economy depends heavily on international trade and is vulnerable to economic, political, and social instability, which could affect the Fund. The yen is volatile, influenced by fluctuations in Asia, and has historically shown unpredictable movements against the U.S. dollar. Natural disasters, such as earthquakes and tidal waves, also pose risks. Furthermore, government intervention and an unstable financial services sector can negatively impact the economy, which relies significantly on trade with developing nations in East and Southeast Asia.

The Fund invests in non-U.S. securities, which can be less liquid and subject to weaker regulatory oversight compared to U.S. securities. Risks include currency fluctuations, political or economic instability, incomplete financial disclosure, and potential taxes or nationalization of holdings. Foreign trading hours and settlement processes may also limit the Fund’s ability to trade, and different accounting standards can add complexity. Suspensions of foreign securities may adversely impact the Fund, and delays in settlement or holidays may hinder asset liquidation, increasing the risk of loss.

The Fund may invest in derivatives, which are often more volatile than other investments and may magnify the Fund’s gains or losses. A derivative (i.e., futures/forward contracts, swaps, and options) is a contract that derives its value from the performance of an underlying asset. The primary risk of derivatives is that changes in the asset’s market value and the derivative may not be proportionate, and some derivatives can have the potential for unlimited losses. Derivatives are also subject to liquidity and counterparty risk. The Fund is subject to liquidity risk, meaning that certain investments may become difficult to purchase or sell at a reasonable time and price. If a transaction for these securities is large, it may not be possible to initiate, which may cause the Fund to suffer losses. Counterparty risk is the risk of loss in the event that the counterparty to an agreement fails to make required payments or otherwise comply with the terms of the derivative.

Large capitalization companies may struggle to adapt fast, impacting their growth compared to smaller firms, especially in expansive times. This could result in lower stock returns than investing in smaller and mid-sized companies. In addition to the normal risks associated with investing, investments in smaller companies typically exhibit higher volatility.

A large number of shares of the Fund is held by a single shareholder or a small group of shareholders. Redemptions from these shareholder can harm Fund performance, especially in declining markets, leading to forced sales at disadvantageous prices, increased costs, and adverse tax effects for remaining shareholders.

The Fund is new and does not yet have a significant number of shares outstanding. If the Fund does not grow in size, it will be at greater risk than larger funds of wider bid-ask spreads for its shares, trading at a greater premium or discount to NAV, liquidation and/or a trading halt. Narrowly focused investments typically exhibit higher volatility. The Fund’s assets are expected to be concentrated in a sector, industry, market, or group of concentrations to the extent that the Underlying Index has such concentrations. The securities or futures in that concentration could react similarly to market developments. Thus, the Fund is subject to loss due to adverse occurrences that affect that concentration. KOID is non-diversified.

Neither MerQube, Inc. nor any of its affiliates (collectively, “MerQube”) is the issuer or producer of KOID and MerQube has no duties, responsibilities, or obligations to investors in KOID. The index underlying the KOID is a product of MerQube and has been licensed for use by Krane Funds Advisors, LLC and its affiliates. Such index is calculated using, among other things, market data or other information (“Input Data”) from one or more sources (each such source, a “Data Provider”). MerQube® is a registered trademark of MerQube, Inc. These trademarks have been licensed for certain purposes by Krane Funds Advisors, LLC and its affiliates in its capacity as the issuer of the KOID. KOID is not sponsored, endorsed, sold or promoted by MerQube, any Data Provider, or any other third party, and none of such parties make any representation regarding the advisability of investing in securities generally or in KOID particularly, nor do they have any liability for any errors, omissions, or interruptions of the Input Data, MerQube Global Humanoid and Embodied Intelligence Index, or any associated data. Neither MerQube nor the Data Providers make any representation or warranty, express or implied, to the owners of the shares of KOID or to any member of the public, of any kind, including regarding the ability of the MerQube Global Humanoid and Embodied Intelligence Index to track market performance or any asset class.

The MerQube Global Humanoid and Embodied Intelligence Index is determined, composed and calculated by MerQube without regard to Krane Funds Advisors, LLC and its affiliates or the KOID. MerQube and Data Providers have no obligation to take the needs of Krane Funds Advisors, LLC and its affiliates or the owners of KOID into consideration in determining, composing or calculating the MerQube Global Humanoid and Embodied Intelligence Index. Neither MerQube nor any Data Provider is responsible for and have not participated in the determination of the prices or amount of KOID or the timing of the issuance or sale of KOID or in the determination or calculation of the equation by which KOID is to be converted into cash, surrendered or redeemed, as the case may be. MerQube and Data Providers have no obligation or liability in connection with the administration, marketing or trading of KOID. There is no assurance that investment products based on the MerQube Global Humanoid and Embodied Intelligence Index will accurately track index performance or provide positive investment returns. MerQube is not an investment advisor. Inclusion of a security within an index is not a recommendation by MerQube to buy, sell, or hold such security, nor is it considered to be investment advice.

NEITHER MERQUBE NOR ANY OTHER DATA PROVIDER GUARANTEES THE ADEQUACY, ACCURACY, TIMELINESS AND/OR THE COMPLETENESS OF THE MERQUBE GLOBAL HUMANOID AND EMBODIED INTELLIGENCE INDEX OR ANY DATA RELATED THERETO (INCLUDING DATA INPUTS) OR ANY COMMUNICATION WITH RESPECT THERETO. NEITHER MERQUBE NOR ANY OTHER DATA PROVIDERS SHALL BE SUBJECT TO ANY DAMAGES OR LIABILITY FOR ANY ERRORS, OMISSIONS, OR DELAYS THEREIN. MERQUBE AND ITS DATA PROVIDERS MAKE NO EXPRESS OR IMPLIED WARRANTIES, AND THEY EXPRESSLY DISCLAIM ALL WARRANTIES, OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE OR AS TO RESULTS TO BE OBTAINED BY KRANE FUNDS ADVISORS, LLC AND ITS AFFILIATES, OWNERS OF THE KOID, OR ANY OTHER PERSON OR ENTITY FROM THE USE OF THE MERQUBE GLOBAL HUMANOID AND EMBODIED INTELLIGENCE INDEX OR WITH RESPECT TO ANY DATA RELATED THERETO. WITHOUT LIMITING ANY OF THE FOREGOING, IN NO EVENT WHATSOEVER SHALL MERQUBE OR DATA PROVIDERS BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, PUNITIVE, OR CONSEQUENTIAL DAMAGES INCLUDING BUT NOT LIMITED TO, LOSS OF PROFITS, TRADING LOSSES, LOST TIME OR GOODWILL, EVEN IF THEY HAVE BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES, WHETHER IN CONTRACT, TORT, STRICT LIABILITY, OR OTHERWISE. THE FOREGOING REFERENCES TO “MERQUBE” AND/OR “DATA PROVIDER” SHALL BE CONSTRUED TO INCLUDE ANY AND ALL SERVICE PROVIDERS, CONTRACTORS, EMPLOYEES, AGENTS, AND AUTHORIZED REPRESENTATIVES OF THE REFERENCED PARTY.

ETF shares are bought and sold on an exchange at market price (not NAV) and are not individually redeemed from the Fund. However, shares may be redeemed at NAV directly by certain authorized broker-dealers (Authorized Participants) in very large creation/redemption units. The returns shown do not represent the returns you would receive if you traded shares at other times. Shares may trade at a premium or discount to their NAV in the secondary market. Brokerage commissions will reduce returns. Beginning 12/23/2020, market price returns are based on the official closing price of an ETF share or, if the official closing price isn't available, the midpoint between the national best bid and national best offer ("NBBO") as of the time the ETF calculates the current NAV per share. Prior to that date, market price returns were based on the midpoint between the Bid and Ask price. NAVs are calculated using prices as of 4:00 PM Eastern Time.

The KraneShares ETFs and KFA Funds ETFs are distributed by SEI Investments Distribution Company (SIDCO), 1 Freedom Valley Drive, Oaks, PA 19456, which is not affiliated with Krane Funds Advisors, LLC, the Investment Adviser for the Funds, or any sub-advisers for the Funds.

Contact:
KraneShares Investor Relations
[email protected]

Delivered Significant Revenue and Earnings Growth Year-over-Year
Introduces CY 2026 Outlook
Expects Continued Revenue and Earnings Growth Momentum in June-through-December Transition Year

MEMPHIS, Tenn.--(BUSINESS WIRE)--FedEx Corp. (NYSE: FDX) today reported the following consolidated results for the fourth quarter ended May 31 (adjusted measures exclude the items listed below):

Fiscal 2026

Fiscal 2025

As Reported
(GAAP)

Adjusted
(non-GAAP)

As Reported
(GAAP)

Adjusted
(non-GAAP)

Revenue

$25.0 billion

$25.0 billion

$22.2 billion

$22.2 billion

Operating income

$1.55 billion

$2.09 billion

$1.79 billion

$2.02 billion

Operating margin

6.2%

8.4%

8.1%

9.1%

Net income

$1.60 billion

$1.53 billion

$1.65 billion

$1.46 billion

Diluted EPS

$6.60

$6.31

$6.88

$6.07

This year’s and last year’s quarterly consolidated results have been adjusted for:

Fiscal 2026

Fiscal 2025

Impact per diluted share

Fourth
Quarter

Full
Year

Fourth
Quarter

Full
Year

Mark-to-market (MTM) retirement plans accounting adjustments

($

2.05

)

($

2.08

)

($

1.63

)

($

1.60

)

FedEx Freight spin-off costs

0.97

2.46

0.11

0.18

Business optimization costs

0.66

1.19

0.39

2.37

Fiscal year change costs

0.04

0.11

—

—

Asset impairment charges

0.07

0.08

0.07

0.06

International regulatory and legacy FedEx Ground legal matters

—

(0.07

)

0.26

0.37

Consolidated adjusted operating income improved in the fourth quarter, reflecting continued strength in U.S. Domestic and International Priority package yields, cost savings from transformation initiatives, and increased U.S. domestic and international export package volume.

“Team FedEx delivered an impressive finish to a strong fiscal year, providing excellent service to our customers and successfully executing on our transformation initiatives,” said Raj Subramaniam, FedEx Corp. president and chief executive officer. “Our profitable growth strategy is working. We are building momentum across our global industrial network, driving structural improvements and winning in high-value growth markets. With the successful spin-off of FedEx Freight, we are entering this next chapter positioned to grow while further optimizing our network, lowering our cost to serve, creating meaningful long-term value, and driving robust free cash flow.”

Fourth Quarter Results

Federal Express segment operating results improved during the quarter, driven by higher U.S. domestic and International Priority package yields, continued cost savings from transformation initiatives, and increased U.S. domestic and international export package volume. These factors were partially offset by increased purchased transportation and wage rates, higher variable incentive compensation expenses, and the financial impacts of global trade policy changes.

Fourth quarter results include a noncash impairment charge of $23 million ($0.07 per diluted share) from the decision to permanently retire 10 aircraft. Last year's fourth quarter results included a noncash impairment charge of $21 million ($0.07 per diluted share) from the decision to permanently retire 12 aircraft, plus eight related engines. These retirements are aligned with the company's fleet reduction and modernization strategy as the company continues to improve its global network efficiency and better align air network capacity with anticipated demand.

Full-Year Results

For the full fiscal year, FedEx Corporation reported the following consolidated results (adjusted measures exclude the items listed above for the applicable fiscal year):

Fiscal 2026

Fiscal 2025

As Reported
(GAAP)

Adjusted
(non-GAAP)

As Reported
(GAAP)

Adjusted
(non-GAAP)

Revenue

$94.7 billion

$94.7 billion

$87.9 billion

$87.9 billion

Operating income

$5.46 billion

$6.61 billion

$5.22 billion

$6.12 billion

Operating margin

5.8%

7.0%

5.9%

7.0%

Net income

$4.43 billion

$4.84 billion

$4.09 billion

$4.43 billion

Diluted EPS

$18.55

$20.24

$16.81

$18.19

Results reflect lower structural costs as the company exceeded its goal of $1 billion of transformation-related cost savings during the year.

Capital spending for fiscal 2026 totaled $3.8 billion, a decrease of $246 million, or 6%, compared with fiscal 2025. Capital spending as a percentage of revenue declined to 4.0%, the lowest annual level in FedEx Corporation history.

FedEx Freight Spin-off Completed

The spin-off of FedEx Freight into a new publicly traded company was finalized on June 1, 2026. In connection with the spin-off, FedEx Freight paid a cash dividend of approximately $4.1 billion to FedEx Corporation from the proceeds of the $3.7 billion senior notes offering completed in February 2026 and borrowings under its delayed-draw term loan facility.

FedEx Freight will host a call to discuss the company's fourth quarter results on June 25, 2026.

Fiscal Year Change

In January 2025, the FedEx Board of Directors approved a change in the company’s fiscal year end from May 31 to December 31. The fiscal year change became effective for the period beginning June 1, 2026.

Cash and Capital Returns

The ending cash and cash equivalents balance of $13.3 billion includes a $4.1 billion cash dividend from the FedEx Freight spin-off. The dividend will be utilized in a manner consistent with preserving the tax-free nature of the transaction. In addition, the reported cash balance includes approximately $800 million in IEEPA tariff refunds held for refund to customers.

During fiscal 2026, FedEx returned approximately $2.2 billion to stockholders through the combination of $776 million of stock repurchases and $1.4 billion of dividend payments. Repurchases during fiscal 2026 totaled approximately 3.3 million shares, or 1.4% of the shares outstanding at the beginning of the year, and increased fourth quarter and full-year earnings by $0.09 and $0.21 per share, respectively. As of May 31, 2026, $1.3 billion remained under the company's 2024 stock repurchase authorization.

For calendar 2026, FedEx remains committed to returning capital to stockholders, including the previously announced 5% increase in the annual dividend on its common stock, after adjusting for the FedEx Freight spin-off. The company also intends to repurchase up to $1 billion worth of shares opportunistically, leveraging continued balance sheet flexibility and free cash flow generation to offset dilution from equity compensation.

“Our fourth quarter and full-year results reflect the tenacity of the FedEx team to deliver steady adjusted operating income improvement year-over-year while navigating significant headwinds,” said Claude Russ, FedEx Corp. enterprise vice president, finance and interim chief financial officer. “As we look ahead, continued revenue and earnings growth momentum in our transition year positions us to unlock significant stockholder value through a resolute focus on driving unprecedented free cash flow growth.”

Outlook

For calendar year 2026, FedEx Corporation is forecasting:

Financial Metric(1)

Forecast Value

Additional Details & Exclusions

Revenue Growth

~11% YoY

Diluted EPS

(Continuing Operations)

$16.55 to $17.75

Prior to CY 2026 additional MTM adjustments for retirement plan accounting, and adjustments related to MTM accounting for the FedEx Freight investment and utilization of the FedEx Freight spin-off dividend.

Adjusted Diluted EPS

(Continuing Operations)

$16.90 to $18.10

Also excludes MTM adjustments for retirement plan accounting, estimated costs related to the spin-off of FedEx Freight and business optimization initiatives, asset impairment charges, and costs related to the fiscal year change.

Effective Tax Rate

(ETR)

~23%

Prior to CY 2026 additional MTM adjustments for retirement plan accounting, and adjustments related to MTM accounting for the FedEx Freight investment and utilization of the FedEx Freight spin-off dividend.

Pension Contributions

$475 million

Capital Spending

$3.9 billion

Prioritizes investments in network optimization and efficiency improvement, including fleet and facility modernization and automation.

These forecasts assume the company's current economic forecast and fuel price expectations, successful completion of planned stock repurchases, and no additional adverse economic, geopolitical, or international trade-related developments. FedEx’s ETR and EPS forecasts are based on current law and related regulations and guidance.

Corporate Overview

FedEx Corp. (NYSE: FDX) provides customers and businesses worldwide with a broad portfolio of transportation, e-commerce and business services. The company offers integrated business solutions utilizing its flexible, efficient, and intelligent global network. Consistently ranked among the world's most admired and trusted employers, FedEx inspires its employees to remain focused on safety, the highest ethical and professional standards and the needs of their customers and communities. FedEx is committed to connecting people and possibilities around the world responsibly and resourcefully, with a goal to achieve carbon-neutral operations by 2040. To learn more, please visit fedex.com/about.

Additional information and operating data are contained in the company’s annual report, Form 10-K, Form 10-Qs, Form 8-Ks and Statistical Books. These materials, as well as a webcast of the earnings release conference call to be held at 5:00 p.m. EDT on June 23, 2026, are available on the company’s website at investors.fedex.com. A replay of the conference call webcast will be posted on our website following the call.

The Investor Relations page of our website, investors.fedex.com, contains a significant amount of information about FedEx, including our SEC filings and financial and other information for investors. The information that we post on our Investor Relations website could be deemed to be material information. We encourage investors, the media and others interested in the company to visit this website from time to time, as information is updated and new information is posted.

Certain statements in this press release may be considered forward-looking statements within the meaning of the Private Securities Litigation Reform Act, such as statements regarding expected cost savings, the optimization of our network through Network 2.0, future financial targets, business strategies, management’s views with respect to future events and financial performance, and the assumptions underlying such expected cost savings, targets, strategies, and statements. Forward-looking statements include those preceded by, followed by or that include the words “will,” “may,” “could,” “would,” “should,” “believes,” “expects,” “forecasts,” “anticipates,” “plans,” “estimates,” “targets,” “projects,” “intends,” “determined to,” or similar expressions. Such forward-looking statements are subject to risks, uncertainties and other factors which could cause actual results to differ materially from historical experience or from future results expressed or implied by such forward-looking statements. Potential risks and uncertainties include, but are not limited to, economic conditions in the global markets in which we operate; uncertainty and additional volatility in the global trade environment; our ability to successfully implement our business strategies and global transformation program and network optimization initiatives, including Network 2.0 and Tricolor, effectively respond to changes in market dynamics, and achieve the anticipated benefits of such strategies and actions; our ability to achieve our cost reduction initiatives and financial performance goals, including our 2029 financial performance targets; our ability to achieve the anticipated benefits of the tax-free full separation of the FedEx Freight business into a new publicly traded company (the “FedEx Freight Spin-Off”); the possibility of disruption, including changes to existing business relationships, disputes, litigation, or unanticipated costs in connection with the FedEx Freight Spin-Off; the timing and amount of any costs or benefits or any specific outcome, transaction, or change (of which there can be no assurance), or the terms, timing, and structure thereof, related to our global transformation program and other ongoing reviews and initiatives; a significant data breach or other disruption to our technology infrastructure; damage to our reputation or loss of brand equity; our ability to meet our labor and purchased transportation needs while controlling related costs; failure of third-party service providers to perform as expected, or disruptions in our relationships with those providers or their provision of services to FedEx; the effect of any international conflicts or terrorist activities, including as a result of the current conflicts between Russia and Ukraine and in the Middle East; evolving or new U.S. domestic or international laws and government regulations, policies, and actions, including regulatory and/or legal compliance requirements that can affect our ability to efficiently or fully utilize our aircraft; changes in fuel prices or currency exchange rates, including significant increases in fuel prices as a result of the ongoing conflicts between Russia and Ukraine and in the Middle East and other geopolitical and regulatory developments; the effect of intense competition; our ability to match capacity to shifting volume levels; an increase in self-insurance accruals and expenses; loss or delay in the collection of accounts receivable, including those related to tariffs in light of recent judicial rulings; the effect of technology developments, including autonomous technology and artificial intelligence; failure to receive or collect expected insurance coverage; our ability to effectively operate, integrate, leverage, and grow acquired businesses and complete and realize the anticipated benefits of acquisitions and other strategic transactions including FedEx's investment in InPost, as a consortium member, and related commercial agreements; noncash impairment charges related to our goodwill and certain deferred tax assets; the future rate of e-commerce growth; future guidance, regulations, interpretations, challenges, or judicial decisions related to tariffs and our tax positions; labor-related disruptions; legal challenges or changes related to service providers contracted to conduct certain linehaul and pickup-and-delivery operations and the drivers providing services on their behalf and the coverage of U.S. employees at Federal Express Corporation under the Railway Labor Act of 1926, as amended; our ability to quickly and effectively restore operations following adverse weather or a localized disaster or disturbance in a key geography; the effects of a widespread outbreak of an illness or any other communicable disease or public health crises; any liability resulting from and the costs of defending against litigation, including refunds of tariffs; our ability to achieve or demonstrate progress on our goal of carbon-neutral operations by 2040; successful completion of stock repurchases; and other factors which can be found in FedEx Corp.’s and its subsidiaries’ press releases and FedEx Corp.’s filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended May 31, 2025 and subsequent Quarterly Reports on Form 10-Q. Any forward-looking statement speaks only as of the date on which it is made. We do not undertake or assume any obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.

The financial section of this release is provided on the company's website at investors.fedex.com

RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES
TO GAAP FINANCIAL MEASURES

Fourth Quarter and Full-Year Fiscal 2026 and Fiscal 2025 Results

The company reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP” or “reported”). We have supplemented the reporting of our financial information determined in accordance with GAAP with certain non-GAAP (or “adjusted”) financial measures, including our adjusted fourth quarter and adjusted full-year fiscal 2026 and 2025 consolidated operating income and margin, net income, and diluted earnings per share, adjusted fourth quarter and adjusted full-year fiscal 2026 and 2025 Federal Express segment operating income and margin, and adjusted fourth quarter and adjusted full-year fiscal 2026 and 2025 FedEx Freight segment operating income and margin. These financial measures have been adjusted to exclude the impact of the following items (as applicable):

MTM adjustments for retirement plan accounting incurred in fiscal 2026 and 2025; Costs related to the spin-off of FedEx Freight incurred in fiscal 2026 and 2025; Business optimization costs incurred in fiscal 2026 and 2025; Costs related to the change in the company's fiscal year-end incurred in fiscal 2026; Asset impairment charges incurred in fiscal 2026 and fiscal 2025; and Adjustments related to international regulatory and legacy FedEx Ground legal matters incurred in fiscal 2026 and 2025. In December 2024, FedEx announced that its Board of Directors decided to pursue a full separation of FedEx Freight through the capital markets, creating a new publicly traded company. The transaction was implemented through the spin-off of shares of the new company to FedEx stockholders on June 1, 2026, and is intended to be tax-free for U.S. federal income tax purposes for FedEx stockholders. We incurred costs related to the spin-off of FedEx Freight in the fourth quarter and full-year fiscal 2026 and fiscal 2025. These costs were primarily related to professional fees.

Our business optimization costs relate to the following transformation initiatives aimed to improve long-term profitability, drive efficiency within and between our transportation segments, lower our overhead and support costs, and transform our digital capabilities: our Network 2.0 program, our international operational transformation programs, the Europe workforce reduction plan, and DRIVE initiatives commenced in prior years. We incurred costs related to these business optimization initiatives in the fourth quarter and full-year fiscal 2026 and fiscal 2025. These costs were primarily related to severance, incentive payments to our contracted service providers, and professional services.

In January 2025, FedEx announced that its Board of Directors approved a change in the company's fiscal year end from May 31 to December 31, which became effective June 1, 2026. The company incurred costs related to the fiscal year change in the fourth quarter and full-year fiscal 2026. These costs were primarily related to professional fees.

The charges incurred in fiscal year 2025 in connection with an international regulatory matter were extraordinary in nature and did not represent recurring expenses in our ordinary course of business. For full-year fiscal 2026 financial measures, this item was reduced by a gain recognized in fiscal 2026 in connection with the partial reversal of the associated loss accrual. In addition, there were charges incurred in prior fiscal years 2023 and 2024 in connection with a legacy FedEx Ground legal matter. For full-year 2025 financial measures, this item was reduced by a gain recognized in fiscal 2025 in connection with the partial reversal of the associated loss accrual.

Costs related to the spin-off of FedEx Freight, business optimization costs, costs related to the change in the company's fiscal year-end, asset impairment charges, adjustments related to international regulatory and legacy FedEx Ground legal matters, as well as MTM adjustments for retirement plan accounting, are excluded from our fourth quarter and full-year fiscal 2026 and 2025 consolidated, Federal Express segment, and FedEx Freight segment non-GAAP financial measures, as applicable, because they are unrelated to our core operating performance and/or to assist investors with assessing trends in our underlying businesses.

The income tax effect of these costs is calculated based upon the tax laws and statutory income tax rates applicable in the tax jurisdiction(s) of the underlying non-GAAP adjustment. The impact of these non-GAAP items on the company's effective tax rate represents the difference in the effective tax rate calculated with and without the non-GAAP adjustment.

We believe these adjusted financial measures facilitate analysis and comparisons of our ongoing business operations because they exclude items that may not be indicative of, or are unrelated to, the company's and our business segments' core operating performance, and may assist investors with comparisons to prior periods and assessing trends in our underlying businesses. These adjustments are consistent with how management views our businesses. Management uses these non-GAAP financial measures in making financial, operating and planning decisions and evaluating the company's and each business segments' ongoing performance.

Our non-GAAP financial measures are intended to supplement and should be read together with, and are not an alternative or substitute for, and should not be considered superior to, our reported financial results. Accordingly, users of our financial statements should not place undue reliance on these non-GAAP financial measures. Because non-GAAP financial measures are not standardized, it may not be possible to compare these financial measures with other companies' non-GAAP financial measures having the same or similar names. As required by SEC rules, the tables below present a reconciliation of our presented non-GAAP financial measures to the most directly comparable GAAP measures.

Calendar 2026 Forecast and Calendar 2025 Earnings Per Share and Effective Tax Rate

We have provided forecasts for calendar 2026 earnings per share and adjusted earnings per share, which are derived from calendar year 2025 preliminary recasted results from continuing operations, which reflects FedEx Freight as discontinued operations. Our calendar 2026 earnings per share and adjusted earnings per share forecast and calendar 2025 earnings per share and adjusted earnings per share are non-GAAP financial measures because they exclude calendar 2026 and 2025 MTM adjustments for retirement plan accounting, calendar 2026 estimated or calendar 2025 costs related to business optimization initiatives, calendar 2025 adjustments related to international regulatory and legacy FedEx Ground legal matters, calendar 2026 estimated costs related to the spin-off of FedEx Freight, calendar 2026 and 2025 asset impairment charges, and calendar 2026 and 2025 costs related to the fiscal year change. Our calendar 2026 ETR forecast and calendar 2025 ETR are non-GAAP financial measures because they exclude the effect of calendar 2026 and 2025 MTM adjustments for retirement plan accounting, and adjustments related to the MTM accounting for the FedEx Freight investment and the utilization of the FedEx Freight spin-off dividend.

We have provided these non-GAAP financial measures for the same reasons that were outlined above for historical non-GAAP measures. Actual and estimated costs related to business optimization initiatives, actual and estimated costs related to the spin-off of FedEx Freight, asset impairment charges, and costs related to the fiscal year change, as well as MTM adjustments for retirement plan accounting, are excluded from our calendar 2026 and 2025 earnings per share forecasts for the same reasons described above for historical non-GAAP measures.

We are unable to predict the amount of additional calendar 2026 MTM adjustments for retirement plan accounting, and adjustments related to MTM accounting for the FedEx Freight investment and utilization of the FedEx Freight spin-off dividend, as they are significantly affected by changes in interest rates and the financial markets, so such additional adjustments are not included in our calendar 2026 earnings per share and ETR forecasts. For this reason, a full reconciliation of our calendar 2026 earnings per share and ETR forecasts to the most directly comparable GAAP measures is impracticable. It is reasonably possible, however, that our additional calendar 2026 MTM adjustments for retirement plan accounting, and adjustments related to MTM accounting for the FedEx Freight investment and utilization of the FedEx Freight spin-off dividend, could have a material effect on our calendar 2026 consolidated financial results and ETR.

The table included below titled “Calendar 2026 Forecasted Diluted Earnings Per Share from Continuing Operations” outlines the effects of the items that are excluded from our calendar 2026 earnings per share forecast, other than the additional MTM adjustments for retirement plan accounting, and adjustments related to MTM accounting for the FedEx Freight investment and utilization of the FedEx Freight spin-off dividend. The table included below titled “Calendar 2025 Diluted Earnings Per Share from Continuing Operations” outlines the effects of the items that are excluded from our calendar 2025 earnings per share.

Fourth Quarter Fiscal 2026

FedEx Corporation

  Diluted
Earnings
Per Share

Operating

Income
Taxes1

Net
Income2

Dollars in millions, except EPS

Income

Margin

GAAP measure

$

1,551

6.2

%

$

510

$

1,598

$

6.60

MTM retirement plans accounting adjustment3

—

—

(150

)

(497

)

(2.05

)

FedEx Freight spin-off costs4

298

1.2

%

62

238

0.97

Business optimization costs5

204

0.8

%

45

159

0.66

Asset impairment charges6

23

0.1

%

5

18

0.07

Fiscal year change costs5

13

0.1

%

3

10

0.04

Non-GAAP measure

$

2,089

8.4

%

$

475

$

1,526

$

6.31

Federal Express Segment

  Operating

Dollars in millions

Income

Margin

GAAP measure

$

1,651

7.7

%

Business optimization costs

208

1.0

%

FedEx Freight spin-off costs

26

0.1

%

Asset impairment charges

23

0.1

%

Fiscal year change costs

6

—

Non-GAAP measure

$

1,914

8.9

%

FedEx Freight Segment

  Operating

Dollars in millions

Income

Margin

GAAP measure

$

158

6.6

%

FedEx Freight spin-off costs

205

8.5

%

Non-GAAP measure

$

363

15.1

%

Full-Year Fiscal 2026

FedEx Corporation

  Diluted
Earnings
Per Share

Operating

Income
Taxes1

Net
Income2

Dollars in millions, except EPS

Income

Margin

GAAP measure

$

5,463

5.8

%

$

1,360

$

4,433

$

18.55

MTM retirement plans accounting adjustment3

—

—

(150

)

(497

)

(2.08

)

FedEx Freight spin-off costs4

738

0.8

%

155

589

2.46

Business optimization costs5

366

0.4

%

81

285

1.19

Fiscal year change costs5

33

—

7

26

0.11

Asset impairment charges6

23

—

5

18

0.08

International regulatory and legacy FedEx Ground legal matters6

(12

)

—

4

(16

)

(0.07

)

Non-GAAP measure

$

6,611

7.0

%

$

1,462

$

4,838

$

20.24

Federal Express Segment

  Operating

Dollars in millions

Income

Margin

GAAP measure

$

5,912

7.2

%

Business optimization costs

303

0.4

%

FedEx Freight spin-off costs

70

0.1

%

Asset impairment charges

23

—

Fiscal year change costs

22

—

International regulatory and legacy FedEx Ground legal matters

(12

)

—

Non-GAAP measure

$

6,318

7.7

%

FedEx Freight Segment

  Operating

Dollars in millions

Income

  Margin

GAAP measure

$

616

  7.0

%

FedEx Freight spin-off costs

492

  5.6

%

Non-GAAP measure

$

1,108

  12.6

%

Fourth Quarter Fiscal 2025

FedEx Corporation

  Diluted
Earnings
Per Share

Operating

Income
Taxes1

Net
Income2

Dollars in millions, except EPS

Income

Margin

GAAP measure

$

1,793

8.1

%

$

575

$

1,648

$

6.88

MTM retirement plans accounting adjustment3

—

—

(125

)

(390

)

(1.63

)

Business optimization costs5

123

0.6

%

29

93

0.39

International regulatory and legacy FedEx Ground legal matters6

50

0.2

%

(11

)

61

0.26

FedEx Freight spin-off costs4

33

0.1

%

7

27

0.11

Asset impairment charges6

21

0.1

%

5

16

0.07

Non-GAAP measure

$

2,020

9.1

%

$

480

$

1,455

$

6.07

Federal Express Segment

  Operating

Dollars in millions

Income

Margin

GAAP measure

$

1,586

8.4

%

International regulatory and legacy FedEx Ground legal matters

50

0.3

%

Business optimization costs

43

0.2

%

Asset impairment charges

21

0.1

%

Non-GAAP measure

$

1,700

9.0

%

Full-Year Fiscal 2025

FedEx Corporation

Diluted
Earnings
Per Share

Operating

Income
Taxes1

Net
Income2

Dollars in millions, except EPS

Income

Margin

GAAP measure

$

5,217

5.9

%

$

1,349

$

4,092

$

16.81

MTM retirement plans accounting adjustment3

—

—

(125

)

(390

)

(1.60

)

Business optimization costs5

756

0.9

%

178

577

2.37

International regulatory and legacy FedEx Ground legal matters6

88

0.1

%

(2

)

90

0.37

FedEx Freight spin-off costs4

38

—

13

44

0.18

Asset impairment charges6

21

—

5

16

0.06

Non-GAAP measure

$

6,120

7.0

%

$

1,418

$

4,429

$

18.19

Federal Express Segment

  Operating

Dollars in millions

Income

Margin

GAAP measure

$

4,885

6.5

%

Business optimization costs

384

0.5

%

International regulatory and legacy FedEx Ground legal matters

88

0.1

%

Asset impairment charges

21

—

Non-GAAP measure

$

5,378

7.1

%

Calendar 2026 Forecasted Diluted Earnings Per Share from Continuing Operations

  Diluted
Earnings Per
Share from
Continuing
Operations 

Dollars in millions, except EPS

Adjustments

Earnings per diluted share from continuing operations (GAAP)7

$16.55 to $17.75

MTM retirement plans accounting adjustment

($639

)

Business optimization costs

660

FedEx Freight spin-off costs

50

Aircraft impairment charges

23

Fiscal year change costs

19

Total adjustments

$113

Income tax effect1

(23

)

Net of tax effect

$90

0.35

Diluted earnings per share from continuing operations with adjustments (non-GAAP)7

$16.90 to $18.10

Calendar 2025 Diluted Earnings Per Share from Continuing Operations

  Diluted
Earnings Per
Share from
Continuing
Operations

Dollars in millions, except EPS

Adjustments

Earnings per diluted share from continuing operations (GAAP)8

$14.80

MTM retirement plans accounting adjustment3

($418

)

Business optimization costs5

344

International regulatory and legacy FedEx Ground legal matter6

76

Aircraft impairment charges6

21

Fiscal year change costs5

14

Total adjustments

$37

Income tax effect1

13

Net of tax effect

$50

0.20

Diluted earnings per share from continuing operations with adjustments (non-GAAP)8

$15.00

Notes:

1

Income taxes are based on the approximate statutory tax rates applicable to each transaction.

2

Effect of “total other (expense) income” on net income amount not shown.

3

These adjustments reflect the May 31 fiscal year-end adjustment to the valuation of the company's defined benefit pension and other postretirement plans, as recorded.

4

These expenses were recognized at Federal Express, FedEx Freight, and Corporate, other, and eliminations.

5

These expenses were recognized at Federal Express and Corporate, other, and eliminations.

6

These expenses were recognized at Federal Express.

7

Additional MTM adjustments for retirement plan accounting for calendar 2026, and adjustments related to MTM accounting for the FedEx Freight investment and the utilization of the FedEx Freight spin-off dividend, which are impracticable to calculate at this time, are excluded.

8

The baseline for the calendar 2026 financial metrics is calendar year 2025 preliminary recasted results from continuing operations, which reflects FedEx Freight as discontinued operations. FedEx expects to file a Current Report on Form 8-K including recasted and resegmented financial statements for calendar 2024 and 2025, reflecting FedEx Freight as discontinued operations, by mid-August 2026.

More News From FedEx Corp.

Chief Executive Raj Subramaniam said FedEx's growth strategy is working, and with the spinoff of its freight division, the company is positioned to further optimize its network and lower costs.

FedEx (FDX - Free Report) came out with quarterly earnings of $6.31 per share, beating the Zacks Consensus Estimate of $5.91 per share. This compares to earnings of $6.07 per share a year ago. These figures are adjusted for non-recurring items.

This quarterly report represents an earnings surprise of +6.81%. A quarter ago, it was expected that this package delivery company would post earnings of $4.14 per share when it actually produced earnings of $5.25, delivering a surprise of +26.81%.

Over the last four quarters, the company has surpassed consensus EPS estimates four times.

FedEx, which belongs to the Zacks Transportation - Air Freight and Cargo industry, posted revenues of $25.01 billion for the quarter ended May 2026, surpassing the Zacks Consensus Estimate by 3.42%. This compares to year-ago revenues of $22.22 billion. The company has topped consensus revenue estimates four times over the last four quarters.

The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call.

FedEx shares have added about 13.8% since the beginning of the year versus the S&P 500's gain of 9.2%.

What's Next for FedEx?While FedEx has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock?

There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions.

Ahead of this earnings release, the estimate revisions trend for FedEx was mixed. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. So, the shares are expected to perform in line with the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $4.49 on $23.72 billion in revenues for the coming quarter and $21.59 on $97.27 billion in revenues for the current fiscal year.

Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Transportation - Air Freight and Cargo is currently in the top 43% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1.

Another stock from the broader Zacks Transportation sector, Marten Transport, Ltd. (MRTN - Free Report) , has yet to report results for the quarter ended June 2026.

This company is expected to post quarterly earnings of $0.07 per share in its upcoming report, which represents a year-over-year change of -22.2%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days.

Marten Transport, Ltd.'s revenues are expected to be $225 million, down 2.1% from the year-ago quarter.

FedEx Corporation (FDX) Q4 2026 Earnings Call Transcript

FedEx Corp (FDX) Q4 2026 Earnings Call Highlights: Record Margins and Strategic Growth Propel Strong Performance FedEx Corp (FDX) reports robust revenue growth and highest operating margin in four years, despite challenges from fuel costs and global trade policies. Summary

Revenue Growth: Full-year revenue increased by 8%, with a 13% increase in Q4.Adjusted Operating Income: Full-year adjusted operating income grew by 8%, with a 3% increase in Q4.Adjusted Operating Margin: Achieved a 7.7% adjusted operating margin, the highest in four years.FEC Revenue and Income: FEC revenue grew by 14% in Q4, with a 13% increase in adjusted operating income.Adjusted EPS: Delivered $20.24 in adjusted EPS for FY26, with $6.31 in Q4.Free Cash Flow: Achieved $4.7 billion in adjusted free cash flow for FY26.CapEx: FY26 CapEx was $3.8 billion, representing 4% of revenue.Healthcare Transportation Revenue: Exited FY26 with nearly $10 billion in healthcare transportation revenue.International Export Package Volumes: Increased by 5% year-over-year in Q4.US Domestic Volume: Grew by 3% year-over-year in Q4.Yield Growth: FEC package yield increased by 11% in Q4.CY26 Revenue Outlook: Expected revenue growth of approximately 11% for CY26.CY26 Adjusted EPS Outlook: Expected range of $16.90 to $18.10 per diluted share.

Release Date: June 23, 2026

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

Positive Points FedEx Corp FDX exceeded its $1 billion transformation-related savings target for FY26, demonstrating effective cost management.The company reported a 13% increase in Q4 revenue, driven by yield and volume strength across almost all services.FedEx Corp (FDX) achieved a 7.7% adjusted operating margin, the highest in four years, reflecting structural improvements.The spin-off of FedEx Freight positions both companies for success as separate focused industry leaders.FedEx Corp (FDX) reported strong free cash flow and adjusted earnings per share growth for seven consecutive quarters. Negative Points FedEx Freight's adjusted operating income declined, impacting overall financial results.The grounding of the MD-11 aircraft fleet posed significant operational challenges.Higher fuel costs and variable compensation expenses offset revenue gains in Q4.The company faces ongoing headwinds from global trade policy changes and geopolitical unrest.FedEx Corp (FDX) anticipates a low-single-digit volume decline within ground economy services. Q & A Highlights Q: Can you discuss the factors contributing to the expected acceleration in profitability for the remainder of the calendar year?
A: Claude Russ, Interim CFO, explained that the variable compensation headwind seen in Q4 FY26 will dissipate, becoming only a $100 million headwind in the transition year. Additionally, the seasonality will shift, with Q4 being the strongest seasonal quarter. The ongoing base business momentum, both in revenue growth and cost management, supports the expected 19% profit growth and 20% EPS growth.

Q: How much margin improvement is expected for FedEx Express Corporation (FEC) in calendar year '26, and what is the plan for stranded costs?
A: Claude Russ stated that margin improvement is expected year-over-year in both the calendar year and the transition period, with more improvement in the transition year due to variable comp headwinds in the first five months. Regarding stranded costs, $250 million has already been conveyed, and $100 million more is expected to be removed in CY26, with the remaining costs mitigated by CY27.

Q: Can you clarify the impact of fuel on the quarter and how you view the fuel dynamic going forward?
A: Claude Russ noted that the fuel surcharge resets weekly and effectively offsets increased expenses from higher fuel prices. The increased revenue from fuel surcharges was able to materially offset the increased fuel expenses, resulting in no material impact on profit. Brie Carere added that there has been no demand destruction due to elevated fuel prices.

Q: What is driving the momentum in the B2B segment, and how significant is the impact of AI-driven CapEx spending?
A: Brie Carere highlighted that the B2B momentum is driven by profitable market share gains and a focus on core B2B verticals. The quarter saw improvement across all key verticals, with AI and data center wins contributing, especially from Asia. The growth is broad-based, with some inventory restocking also playing a role.

Q: How is FedEx managing its SMB strategy in light of competition from Amazon's third-party logistics expansion?
A: Brie Carere emphasized FedEx's strong SMB performance, with double-digit growth and high customer loyalty. FedEx focuses on B2B and high-value B2C, offering a global network and superior visibility. The company maintains goal congruency with customers, supporting their growth while enhancing FedEx's profitability.

For the complete transcript of the earnings call, please refer to the full earnings call transcript.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Key Takeaways FedEx beat fourth-quarter estimates, with adjusted EPS of $6.31 and revenues of $25.01 billion.FDX expects about 11% revenue growth and adjusted EPS of $16.90-$18.10 in 2026.FedEx plans up to $1 billion in share buybacks after generating $4.7 billion in adjusted free cash flow. FedEx Corporation (FDX - Free Report) used its fourth-quarter fiscal 2026 call to press a forward-looking message. The company said premium revenue mix, network changes and structural cost actions are now producing stronger earnings power even as the reporting calendar shifts and FedEx Freight moves out of continuing operations.

That framing mattered as FedEx posted adjusted earnings per share of $6.31, which beat the Zacks Consensus Estimate of $5.91, delivering a surprise of 6.8%. The company reported revenues of $25.01 billion, surpassing the Zacks Consensus Estimate of $24.18 billion by 3.4%.

FDX Resets the Story Around 2026President and CEO Rajesh Subramaniam said the central takeaway from the fiscal fourth quarter was momentum, arguing that FedEx is now growing in higher-yielding parts of the market while pulling through transformation savings. He tied that progress to Network 2.0, Tricolor and European improvement efforts.

The company introduced a calendar 2026 outlook for continuing operations that calls for about 11% revenue growth and adjusted EPS of $16.90 to $18.10. Management also said the June-through-December transition period implies roughly 20% adjusted EPS growth year over year.

That guidance is now the lens that management wants investors to use. Claude Russ, enterprise vice president and interim CFO, said the midpoint assumes $5.8 billion of adjusted operating income and reflects continuing demand in premium B2B and high-value B2C services.

FedEx Leans Harder Into Premium VerticalsChief customer officer Brie Carere described the quarter as further proof that FedEx’s commercial strategy is centered on revenue quality rather than broad volume chasing. She said B2B services drove most of the quarterly revenue growth, with health care, automotive, aerospace, and data center demand standing out.

That emphasis showed up in operating data. Federal Express segment revenues rose 14% in the quarter, with U.S. domestic package revenues up 13% and international export package revenues up 15%, while composite package yield climbed 11%. International domestic volume, however, fell 9% as the company continued to favor higher-yielding cross-border traffic in Europe.

Carere also highlighted nearly $10 billion in health care transportation revenues exiting fiscal 2026 and pointed to double-digit growth tied to AI and data center-related shipments. She presented that business as a broad ecosystem opportunity rather than a narrow vertical.

FDX Says Cost Actions Are Gaining TractionSubramaniam said FedEx exceeded its fiscal 2026 goal of $1 billion in transformation-related savings, calling that a key proof point behind the quarter. Russ added that structural cost reductions continued to offset higher wage rates, purchased transportation and direct trade-related costs.

The quarter still showed some friction. Consolidated adjusted operating margin was 8.4%, down from 9.1% a year earlier, as fuel expense surged 66% and variable incentive compensation moved higher. Management stressed that fuel surcharge revenues largely offset the profit impact of higher fuel costs.

FedEx also continues to reshape its asset base. Fourth-quarter results included a $23 million impairment tied to the permanent retirement of 10 aircraft, part of a multiyear fleet reduction and modernization strategy meant to better align air capacity with demand.

FedEx Turns Stronger Cash Flow Into FlexibilityRuss used the call to underscore free cash flow as a major part of the equity story. FedEx generated $4.7 billion in adjusted free cash flow in fiscal 2026, while capital spending fell to $3.8 billion, or 4% of revenue, the lowest annual capital intensity in the company’s history.

The balance sheet also shifted with the FedEx Freight separation. Ending cash was $13.3 billion, including a $4.1 billion dividend tied to the spin-off, though management noted that about $800 million of that cash balance reflects IEEPA tariff refunds being held for customers.

Against that backdrop, FedEx said it plans to repurchase up to $1 billion of shares during the rest of calendar 2026 and has already lifted its dividend by 5%, adjusted for the spin-off. Russ said capital allocation will remain balanced as the company also funds pension obligations and strategic investments.

FDX Faces Detailed Questions on Margins and CadenceAnalysts pressed management on why fourth-quarter profit flow-through looked more muted than the transition-year outlook suggests. Russ told Wells Fargo and Bernstein analysts that variable compensation was a large near-term headwind and said seasonality should favor stronger profit concentration in the fourth-quarter results.

Questions also centered on stranded costs after the FedEx Freight separation. Russ said FedEx expects to remove about $100 million of those costs in calendar 2026 and does not expect stranded costs to remain a discussion point beyond the exit rate of 2027.

On the demand side, a Goldman Sachs analyst asked whether B2B strength reflected macro factors or execution in targeted verticals. Carere’s response leaned heavily toward execution, saying the gains were broad across the company’s four key verticals, with AI and data center wins adding to, rather than replacing, wider commercial momentum.

FedEx Leaves the Call Focused on ExecutionThe closing message from management was notably consistent. Subramaniam returned to the idea that FedEx is becoming more concentrated on premium B2B and high-value B2C traffic while using network and organizational changes to lower the cost to serve.

That posture came through in both prepared remarks and Q&A. Management sounded confident on pricing, network utilization, international share gains and free cash flow, while treating the fiscal-year transition, pilot contract costs and stranded costs as manageable items within a broader earnings expansion story.

Zacks Signals for FDX After the QuarterFDX carries a Zacks Rank #3 (Hold), along with a Value Score of B, Growth Score of C, Momentum Score of C and VGM Score of B. Under Zacks’ framework, the rank remains the primary signal, while style scores help refine the outlook, with A and B grades generally indicating better expected near-term performance than lower grades.

The Value Score and VGM Score of B suggest relatively stronger broad style characteristics than its Growth and Momentum scores imply, but a Zacks Rank #3 points to a more balanced near-term setup than a top-ranked stock. That rank can also change as earnings estimate revisions adjust after the just-reported results. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

FedEx shares fell more than 7% in premarket trading on Wednesday as investors looked past better-than-expected quarterly earnings and focused on shrinking margins at the company's core delivery business and the uncertainties created by its recent freight spinoff.

The delivery giant recently separated its highly profitable trucking unit, FedEx Freight, as part of a strategy to sharpen its focus on its parcel delivery operations.

The move has placed the slimmed-down company under increased scrutiny, with investors looking for evidence that it can improve profitability and control costs independently.

The operating margin in FedEx's Federal Express segment declined to 7.7% in the latest quarter from 8.4% a year earlier.

The deterioration was driven by higher employee compensation costs as well as increased spending on outsourced transportation and fuel.

The margin pressure comes at a difficult time for logistics companies.

Both FedEx and rival UPS have been grappling with lower shipment volumes amid changing US trade policies and rising fuel prices linked to the conflict involving Iran.

The removal of duty-free "de minimis" treatment for low-value e-commerce imports tied to China-linked online retailers such as Shein and Temu has also weighed on shipping demand.

FDX reported fourth-quarter revenue of $25 billion and adjusted earnings of $6.31 per share.

The earnings figure included adjustments related to the freight spinoff and changes in retirement plan accounting.

Analysts polled by FactSet had expected revenue of $24 billion and adjusted earnings of $5.96 per share.

For the full fiscal year ended in May, adjusted earnings came in at $20.24 per share, topping analysts' estimates of $19.86 and exceeding the company's prior guidance range of $19.30 to $20.10 per share.

However, investors remained focused on the company's forward outlook.

FedEx forecast annual earnings of $16.90 to $18.10 per share as it transitions to a calendar-year reporting period from its previous May fiscal year-end.

Because the guidance only covers the company's delivery operations following the freight separation, analysts have not yet developed comparable models, making it difficult for investors to assess the outlook.

"It will be difficult to judge numbers for a few quarters given the noise, but focus will be on fundamental debates," Morgan Stanley analysts said.

JP Morgan analysts also warned that the company could face a period of uncertainty.

"We recognize FedEx could experience an overhang during the time it will take for the market to sort through the different moving pieces of the Freight spin-off and shift to a calendar year reporting period," they said.

Citi analysts noted that expectations heading into the results were elevated, with FedEx shares having gained roughly 75% over the past year.

They added that confusion surrounding the freight spinoff, which took effect on June 1, may have contributed to the negative market reaction.

Analysts remain constructive on long-term prospectsDespite the near-term uncertainty, some analysts remain optimistic about FedEx's long-term outlook.

FedEx currently trades at 14.68 times projected forward earnings over the next 12 months, slightly above UPS's multiple of 14.05.

Jefferies analyst Stephanie Moore said margins in FedEx's delivery operations are likely near their lowest point and should improve over time through technology investments and operational efficiencies.

According to Moore, FedEx's margins remain less than half those of competitor Old Dominion.

She expects initiatives, including a new sales strategy and technology improvements that increase package density in trucks to help expand margins by 350 basis points by 2029.

She also expects the company to benefit from a broader recovery in freight markets and has initiated coverage on FedEx with a buy rating.

FedEx earnings for the fiscal fourth quarter topped Wall Street estimates and the courier is projecting that profit will grow this year. The results suggest cost-cutting efforts are working.

TEL AVIV, Israel and PARSIPPANY, N.J., June 18, 2026 (GLOBE NEWSWIRE) -- Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) announced today that it will issue a press release on its second quarter 2026 financial results on Wednesday, July 29, 2026, at 7:00 a.m. ET. Following the release, Teva will conduct a conference call and live webcast on the same day, at 8:00 a.m. ET.

In order to participate, please register in advance here to obtain a local or toll-free phone number and your personal pin.

A live webcast of the call will be available on Teva's website at: https://ir.tevapharm.com/Events-and-Presentations.

Following the conclusion of the call, a replay of the webcast will be available within 24 hours on Teva's website.

About Teva

Teva Pharmaceutical Industries Ltd. (NYSE and TASE: TEVA) is transforming into a leading innovative biopharmaceutical company, enabled by a world-class generics business. For over 120 years, Teva’s commitment to bettering health has never wavered. From innovating in the fields of neuroscience and immunology to providing complex generic medicines, biosimilars and pharmacy brands worldwide, Teva is dedicated to addressing patients’ needs, now and in the future. At Teva, We Are All In For Better Health. To learn more about how, visit www.tevapharm.com.

Cautionary Note Regarding Forward-Looking Statements

This Document and the presentation at the conference call may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, which are based on management’s current beliefs and expectations and are subject to substantial risks and uncertainties, both known and unknown, that could cause our future results, performance or achievements to differ significantly from that expressed or implied by such forward-looking statements. You can identify these forward-looking statements by the use of words such as “should,” “expect,” “anticipate,” “estimate,” “target,” “may,” “project,” “guidance,” “intend,” “plan,” “believe” and other words and terms of similar meaning and expression in connection with any discussion of future operating or financial performance. Important factors that could cause or contribute to such differences include risks relating to: our ability to successfully compete in the marketplace; our ability to successfully execute our Pivot to Growth strategy, including to expand our innovative and biosimilar medicines pipeline and profitably commercialize the innovative medicines and biosimilar portfolio, whether organically or through business development, to sustain and focus our portfolio of generic medicines, and to execute on our organizational transformation and to achieve expected cost savings; our significant indebtedness; our business and operations in general; compliance, regulatory and litigation matters; other financial and economic risks; and other factors discussed in our Quarterly Report on Form 10-Q for the first quarter of 2026, and in our Annual Report on Form 10-K for the year ended December 31, 2025, including in the sections captioned “Risk Factors” and “Forward Looking Statements.” Forward-looking statements speak only as of the date on which they are made, and we assume no obligation to update or revise any forward-looking statements or other information contained herein, whether as a result of new information, future events or otherwise. You are cautioned not to put undue reliance on these forward-looking statements.

Teva Media Inquiries
[email protected]

Teva Investor Relations Inquiries
[email protected]

Teva Pharmaceuticals (TEVA +3.14%) is morphing from a generic drug maker into one that develops more innovative -- and profitable -- drugs. The stock is up more than 10% this year, and more than 95% over the past year.

On June 8, the company released data regarding its therapies, Austedo and Austedo XR (extended relief), at the Psych Congress Elevate. The three-year study showed that while more than 50% of tardive dyskinesia patients saw symptom improvement in controlling involuntary movements within 15 weeks, an additional 23% achieved success with long-term treatment.

This means that Austedo XR may be able to expand beyond its approved use to treat the involuntary movements (chorea) of Huntington's disease. The company also released a study on June 5 showing that 60% to 71% of Huntington's disease chorea patients experienced improvement with Austedo or Austedo XR.

This data provides doctors with strong therapeutic justification to prescribe Austedo or Austedo XR over competitors, securing market share for years to come. Here's one more reason to buy Teva stock, and one reason not to.

Image source: Getty Images.

The company's pivot is becoming more profitable In the first quarter of 2026, the company reported revenue of $4 billion, up 2% year over year. Its innovative brands, Austedo, migraine med Ajovy, and long-acting schizophrenia therapy Uzedy, together grew revenue by 41% over the same period last year. Earnings per share (EPS) rose 72% year over year, to $0.31. The key point is that the company's new drugs are offsetting its declining generic sales.

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Meanwhile, the company's application for a long-acting version of olanzapine for once-monthly treatment of schizophrenia is currently under review by the Food and Drug Administration (FDA).

This structural pivot expanded Teva's non-GAAP gross profit margin to 52.9% in Q1. The company is generating healthy free cash flow, estimated at $2 billion to $2.4 billion this year, which is being actively used to pay down its heavy debt load.

In April, the Israeli pharma struck a deal to acquire Emalex Biosciences for $700 million upfront. This included ecopipam, a dopamine D1 receptor antagonist that's en route to an FDA submission for Tourette syndrome this year. The drug has already received FDA fast-track and orphan drug designations.

Disappointing guidance, supply issues Teva's overall full-year 2026 financial guidance disappointed Wall Street. The company projected total 2026 revenue of $16.4 billion to $16.8 billion -- representing flat to slightly negative growth compared to 2025. That helps explain why the stock has fallen more than 3% since Teva released its Q1 earnings on April 29.

This stagnation is primarily due to intense generic competition eating into other parts of the portfolio (such as the generic version of the cancer drug Revlimid) and a drop-off in one-time milestone payments from partnerships (such as Sanofi). Because Austedo XR is carrying so much weight on its shoulders, any future slowdown in its adoption could leave Teva with very few places to hide, capping the stock's near-term upside until its next-generation immunology pipeline begins to commercialize in 2027.

The other concern is that ongoing conflicts in the Middle East and the blockade of the Strait of Hormuz have disrupted the movement of active pharmaceutical ingredients, and rising energy costs make it more expensive to ship drugs.

It's still a company headed in the right direction The company's move to pursue growth is obviously paying off, and its innovative drugs target conditions with unmet needs, giving them less competition.

Teva received FDA approval in March for biosimilar Ponlimsi to treat osteoporosis and bone loss. The company's pipeline includes six additional biosimilars that are expected to receive regulatory decisions this year. One of the most promising is omalizumab, a biosimilar to Xolair, made by Novartis (NVS +0.79%) and Roche (RHHBY +2.50%) to treat chronic hives.

The stock is trading at less than 15 times forward earnings, and considering its potential catalysts this year, that still seems like a bargain.

Key Takeaways Teva is shifting toward branded medicines as a higher-margin growth driver alongside generics.Sales of Austedo, Ajovy and Uzedy rose 41% year over year to $838 million in first-quarter 2026.Teva expects branded products to generate more than $5 billion in revenues by 2030. Teva Pharmaceutical Industries Limited (TEVA - Free Report) has, for long, been one of the world’s largest generic drug companies. However, Teva is gradually transitioning from a pure-play generics company to a more diversified biopharma company. Its biggest growth driver now is its higher-margin branded/innovative drugs rather than traditional generics.

The company's strategic transformation accelerated under its "Pivot to Growth" initiative. Management has focused on strengthening the branded drugs segment by investing in research and development, pursuing targeted acquisitions and partnerships, and expanding its commercial capabilities in specialty therapeutic areas. Rather than attempting to compete across numerous disease categories, Teva has concentrated on areas where it possesses scientific expertise and can establish meaningful market positions, including neuroscience, immunology and respiratory diseases.

The company is seeing continued market share growth of its newest branded drugs, Austedo, Ajovy and Uzedy. Collectively, sales of Austedo, Ajovy and Uzedy rose 41% year over year to $838 million in the first quarter of 2026.

Global sales of Austedo, one of the major pillars of Teva's branded business, rose 41% to $578 million in the first quarter, backed by strong prescription growth. The drug is approved for movement disorders associated with conditions such as tardive dyskinesia and Huntington's disease. Teva expects Austedo annual revenues to be more than $2.5 billion by 2027 and exceed $3 billion by 2030. The Austedo franchise got a boost from the launch of Austedo XR, a new once-daily formulation of Austedo. Teva launched Austedo in European markets in 2026, which should further contribute to growth.

Global revenues of its migraine drug, Ajovy, rose 35% (constant currency) year over year to $196.0 million in the first quarter. Although Teva is experiencing slightly slower growth of Ajovy in the U.S. market, it anticipates sales to benefit from continued patient growth and launches in additional countries in Europe and international markets. In 2026, Ajovy sales are expected to be in the range of $750 million to $790 million.

Another important branded asset is Uzedy, a long-acting injectable treatment for schizophrenia. Management believes Uzedy has substantial long-term potential because long-acting injectable antipsychotics are increasingly being adopted in psychiatric care. Sales of Uzedy rose 62% to $63 million in the first quarter, with total sales expected to be between $250 million and $280 million in 2026.

The company has also made decent progress with its branded pipeline, which includes olanzapine, a long-acting subcutaneous injectable (LAI) for treating schizophrenia and duvakitug, its anti-TL1A therapy for inflammatory bowel diseases (IBD), ulcerative colitis (UC) and Crohn’s disease (CD). Teva has partnered with Sanofi (SNY - Free Report) for duvakitug to maximize the value of the asset. Teva and Sanofi will equally share the development costs globally. While olanzapine LAI is under review in the United States and the EU, Sanofi is conducting phase III studies on duvakitug.

In April, Teva announced a definitive agreement to acquire Emalex, including its lead asset, ecopipam. The acquisition closed in June. Ecopipam is a late-stage, first-in-class therapy for pediatric Tourette syndrome, which is a natural fit for Teva’s central nervous system franchise. Earlier this month, Teva filed a new drug application to the FDA seeking approval for ecopipam.

While generics remain an important part of Teva's business and continue to generate substantial revenues and cash flows, management's strategy over the past several years has increasingly centered on building a sustainable portfolio of innovative medicines that can drive higher growth and improve profitability. Branded medicines are expected to become increasingly important contributors to Teva's long-term growth because they generally offer significantly higher margins and longer periods of market exclusivity than generic products.

In 2022, only about 9% of Teva’s revenues came from its branded drugs, which has now increased to more than 20%. Teva anticipates generating more than $5 billion in revenues from its branded products by 2030.

If Teva continues to successfully commercialize its existing branded products and advance its pipeline, the company could evolve into a more diversified pharmaceutical company with a healthier balance between stable generics operations and higher-growth innovative medicines.

TEVA’s Price, Valuation & Estimate DiscussionTeva stock has risen 3.2% so far this year against the industry’s 5.1% decrease.

Image Source: Zacks Investment Research

The stock is trading at an attractive valuation relative to the industry. Going by the price/earnings ratio, the company shares currently trade at 11.82 on a forward 12-month basis, lower than 14.52 for the industry. However, the stock is trading above its 5-year mean of 4.65.

Image Source: Zacks Investment Research

The Zacks Consensus Estimate for earnings has declined from $2.69 per share to $2.33 per share for 2026 over the past 60 days and from $3.19 per share to $3.16 per share for 2027.

Image Source: Zacks Investment Research

TEVA’s Zacks Rank & Stocks to ConsiderTeva has a Zacks Rank #3 (Hold).

Some better-ranked stocks in the biotech sector are Indivior Pharmaceuticals (INDV - Free Report) and Immunocore (IMCR - Free Report) , each currently sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

Over the past 60 days, earnings estimates for Indivior Pharmaceuticals have risen from $3.33 per share to $4.05 per share, while those for 2027 have increased from $3.66 per share to $4.27 per share. INDV shares have risen 6.8% year to date.

Indivior Pharmaceuticals’ earnings beat estimates in each of the trailing four quarters, with the average surprise being 65.44%.

Over the past 60 days, estimates for Immunocore’s 2026 bottom line have improved from a loss of 88 cents per share to earnings of 6 cents per share. For 2027, earnings estimates have increased from 24 cents per share to 87 cents per share over the same timeframe. IMCR shares have lost 15.4% year to date.

Immunocore’s earnings beat estimates in three of the trailing four quarters and missed in the remaining one, the average surprise being 46.66%.

© https://www.flickr.com/photos/fortunelivemedia/

The Berkshire Hathaway annual meeting is in the rearview mirror, and investors are now parsing Greg Abel’s early portfolio moves as CEO. The Q1 2026 13F told a clear story: Abel is willing to do the things Warren Buffett openly regretted not doing sooner. That includes finally embracing big tech, leaning harder into AI-exposed names and continuing to compound the consumer franchises Buffett built the empire around.

Here are three U.S.-listed stocks that fit the “ones that got away, until they didn’t” theme this June.

Alphabet (GOOGL) Alphabet (NASDAQ:GOOGL | GOOGL Price Prediction) is the freshest example. Per the Q1 2026 13F, Abel aggressively added to GOOGL, with shares up about 204% in the quarter, and a separate GOOG position was initiated the same quarter. Buffett and Charlie Munger both publicly called missing Google a mistake. Abel is correcting it.

The setup is hard to argue with. Q1 2026 EPS came in at $5.11 versus the $2.63 estimate, with revenue of $109.90 billion, up 22% year over year. Google Cloud grew 63% to $20.03 billion with a backlog near $460 billion. Shares trade at $369.35 on a forward P/E of 26x, with a Street target of $432.83 and 14 strong-buy and 43 buy ratings against just 7 holds. The stock is up 18% YTD and 112% over one year.

Retail is along for the ride. A widely circulated r/stocks post titled “For those who keep asking for a ‘one buy and hold for the next 10 years’ the opportunity is here: it’s GOOGL” drew 2,134 upvotes.

Risk: AI CapEx is mammoth. Alphabet guided 2026 capex of $175 billion to $185 billion, and Q1 free cash flow already fell 47% year over year. If AI monetization slips, the depreciation wave will bite margins.

Apple (AAPL) Apple (NASDAQ:AAPL) remains Berkshire’s largest holding at roughly 22% of the portfolio. Buffett has said multiple times he wishes he had started buying sooner. He didn’t begin until 2016, and the stock is up 1,266% over the past 10 years. Even after trimming, Berkshire still leans on Apple as its anchor.

Recent results explain why. Q2 FY26 EPS of $2.01 beat the $1.94 estimate on revenue of $111.18 billion, up 17%. iPhone revenue jumped to $56.99 billion from $46.84 billion on iPhone 17 demand. Services hit an all-time record of $30.98 billion. Management authorized a new $100 billion buyback and lifted the dividend 4% to $0.27. CEO Tim Cook called it the “Best March quarter ever…double-digit growth across every geographic segment.”

Shares trade at a premium, with a forward P/E of 31x and an analyst target of $312.72. The installed base sits at 2.5 billion-plus active devices, a moat that compounds Services revenue every quarter.

Risk: Valuation is the friction. At a trailing P/E of 35x, any tariff escalation or China softness gets punished quickly. An r/stocks thread asking “is there underappreciated risk of AAPL re-rating significantly downward?” drew 146 comments, a fair counterpoint to the bull case.

American Express (AXP) American Express (NYSE:AXP) is a long-time Berkshire core holding. Buffett has said he should have bought more sooner and never sold. The position dates back decades, and Abel has signaled comfort holding through cycles.

The Q1 2026 numbers reinforce why. EPS of $4.28 beat the $3.99 estimate, revenue came in at $18.91 billion, and billed business hit $428.0 billion, up 10% year over year, the highest quarterly growth in three years. The net write-off rate improved to 2% from 2%. Management reaffirmed full-year guidance of 9% to 10% revenue growth and EPS of $17.30 to $17.90. CEO Stephen Squeri summed it up: “We delivered 10 percent FX-adjusted revenue growth and 18 percent EPS growth in the quarter…Card Member spending grew 9 percent FX-adjusted, the highest quarterly growth in three years.”

Shares closed at $340.78, with the stock down 9% YTD but up 7% in the past week and 18% over one year. Forward P/E is 19x, the cheapest multiple of the three, and the Street target is $361.94. The dividend was hiked 16% in Q4 2025 to $0.95 quarterly, with net card fee revenue growing double digits for 30 consecutive quarters.

Risk: Amex is macro-sensitive. A consumer slowdown, tariff escalation, or new interest-rate cap regulation could compress engagement margins, especially after the recent Platinum refresh.

The Takeaway The common thread across all three is that Berkshire eventually paid up for quality it could have owned cheaper. GOOGL is the freshest example of Abel acting decisively on a stock Buffett admittedly missed. AAPL is the franchise that proved the thesis. AXP is the multi-decade compounder that keeps validating the strategy. Investors studying Abel’s first moves should keep an eye on whether the GOOGL position grows again in the next 13F.

American Express (AXP 0.21%) is a leader in financial services and payments. Its success has delivered market-beating returns for investors. Shares have produced a total return of 114% in the past five years (as of June 16).

The company recently made headlines with a deal aimed at bolstering its reach within the world of sports. American Express signed a new multiyear global payments partnership with the National Football League (NFL), set to start with the commencement of the 2026 season this fall.

With this move, it's clear what American Express's strategic priority continues to be.

Image source: The Motley Fool.

It's a touchdown American Express is no stranger when it comes to sports. The business says that it has a "portfolio that spans more than fifty premier sports leagues, teams, venues, and marquee events around the world."

Understanding its customer base's interests, American Express continues to lean in. "Nearly 80% of surveyed U.S. American Express Consumer Card Members say they are sports fans," the press release reads, based on a survey from January 2026.

The NFL deal unlocks new opportunities for card members. These American Express customers will have access to unique experiences, ticket releases, and other perks. There is a focus outside the U.S., too. American Express will offer presale tickets to the NFL's international games.

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The overarching goal is clear Arguably, the most critical factor supporting this company's success is its brand strength. American Express, which positions itself as a premium player in the industry, attracts an affluent customer base. These people find tremendous value in the benefits and rewards that are offered. Partnerships are a major contributing factor.

And American Express wants to provide more value to these card members. A partnership with one of the world's most popular sports leagues plays to that. This can support higher spending activity, further boosting the American Express brand in the process.

This tie-up with the NFL aims to attract new card members, a move that is critical to the company's growth. There were 153.9 million cards in force as of March 31, up 4% year over year.

The NFL partnership is the latest example of how American Express leverages its premium market position to score big deals that might not be available to its rivals. It's a stamp of approval for the company, as there were 18.7 million viewers per game last NFL season. And on average, the 32 NFL teams have a market value of $7.1 billion, up 25% annually.

All of this justifies the stock's current valuation, with American Express shares trading at a reasonable price-to-earnings ratio of 21.3.

American Express is an advertising partner of Motley Fool Money. Neil Patel has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends American Express. The Motley Fool has a disclosure policy.

Here at Zacks, we offer our members many different opportunities to take full advantage of the stock market, as well as how to invest in ways that lead to long-term success.

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The service also includes the Focus List, which is a long-term portfolio of top stocks that boast a winning, market-beating combination of growth and momentum qualities.

Breaking Down the Zacks Focus ListBuilding an investment portfolio from scratch can be difficult, so if you could, wouldn't you take a peek at a curated list of top stocks?

That's what the Zacks Focus List, a portfolio of 50 stocks, offers investors. Not only does it serve as a starting point for long-term investors, but all stocks included in the list are poised to outperform the market over the next 12 months.

One thing that makes the Focus List even more advantageous is that each pick comes with a full Zacks Analyst Report. This helps explain why each stock was selected and why we believe it's a good pick for the long-term.

The portfolio's past performance only solidifies why investors should consider it as a starting point. For 2020, the Focus List gained 13.85% on an annualized basis compared to the S&P 500's return of 9.38%. Cumulatively, the portfolio has returned 2,519.23% while the S&P returned 854.95%. Returns are for the period of February 1, 1996 to March 31, 2021.

Focus List MethodologyWhen stocks are picked for the Focus List, it reflects our enduring reliance on the power of earnings estimate revisions.

Earnings estimates are expectations of growth and profitability, and are determined by brokerage analysts. Together with company management, these analysts examine every aspect that may affect future earnings, like interest rates, the economy, and sector and industry optimism.

Investors also need to look at what a company will earn down the road. This is why earnings estimate revisions are so important.

Stocks that receive upward earnings estimate revisions are more likely to receive even more upward changes in the future. For example, if an analyst raised their estimates last month, they're more likely to do it again this month, and other analysts are likely to do the same.

Harnessing the power of earnings estimate revisions is where the Zacks Rank comes in. The Zacks Rank is a unique, proprietary stock-rating model that utilizes changes to a company's quarterly earnings expectations to help investors build a winning portfolio.

There are four main factors behind the Zacks Rank: Agreement, Magnitude, Upside, and Surprise. Each one of these features is then given a raw score that's recalculated every night and compiled into the Rank. Using this data, stocks are classified into five groups, ranging from "Strong Buy" to "Strong Sell."

The Focus List is comprised of stocks hand-picked from a long list of #1 (Strong Buy) or #2 (Buy) ranked companies, meaning that each new addition boasts a bullish earnings consensus among analysts.

It can be very profitable to buy stocks with rising earnings estimates, as stock prices respond to revisions. By adding Focus List stocks, there's a great chance you'll be getting into companies whose future earnings estimates will be raised, which can lead to price momentum.

Focus List Spotlight: American Express (AXP - Free Report) Founded in 1850, NY-based American Express Company is a diversified financial services company, offering charge and credit payment card products, and travel-related services worldwide. AmEx earns revenue through both transaction fees and interest income, supported by a closed-loop payment network. Unlike open-loop peers (e.g., Visa or Mastercard), its integrated system allows AmEx to engage directly with both merchants and cardholders. This setup enables deeper customer insights, targeted marketing and strong customer loyalty.

AXP, a #3 (Hold) stock, was added to the Focus List on December 23, 2021 at $162.47 per share. Since then, shares have increased 108.04% to $338.

For fiscal 2026, five analysts revised their earnings estimate upwards in the last 60 days, and the Zacks Consensus Estimate has increased $0.11 to $17.64. AXP boasts an average earnings surprise of 4%.

Moreover, analysts are expecting AXP's earnings to grow 14.7% for the current fiscal year.

Reveal Winning StocksUnlock all of our powerful research, tools and analysis, including the Zacks #1 Rank List, Equity Research Reports, Zacks Earnings ESP Filter, Premium Screener and more, as part of Zacks Premium. You'll quickly identify which stocks to buy, hold and sell, and target today's hottest industries, to help improve the performance of your portfolio. Gain full access now >>

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Pfizer (PFE +1.31%), a large-cap biopharmaceutical company focused on medicines, vaccines, and specialty therapeutics, closed at $25.21, down 2.74%. This morning's CFO transition announcement and succession review kept investors focused on 2026 guidance and leadership continuity.

The company’s trading volume reached 67.9M shares, which is roughly 85% above its three-month average of 36.6M shares.

How the markets moved todayThe S&P 500 (^GSPC +0.21%) rose 1.05% to 7,500.58, while the Nasdaq Composite (^IXIC +0.40%) gained 1.91% to 26,518. Among global biopharmaceuticals; research, development, manufacturing, and commercialization of prescription medicines and vaccines, Merck (MRK +1.40%) fell 1.36% to $113.87, and Bristol-Myers Squibb (BMY +1.75%) dropped 2.32% to $54.00.

What this means for investorsPfizer shares declined after the company announced that CFO Dave Denton will depart in August, raising concerns about leadership continuity and the execution of 2026 guidance. Cecile Guegan will serve as interim CFO during the search for a permanent successor. This transition is significant as Pfizer continues to address patent expirations and ongoing cost-control initiatives.

Recent approvals of Hympavzi and VEPPANU strengthen Pfizer’s long-term pipeline. However, the immediate challenge is maintaining confidence in the 2026 revenue and adjusted EPS targets during the CFO transition. Investors will look for management to provide stable financial guidance and demonstrate that new products, cost controls, and pipeline execution are contributing to earnings recovery.

Eric Trie has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Bristol Myers Squibb, Merck, and Pfizer. The Motley Fool has a disclosure policy.

Eli Lilly (LLY +1.80%) is basically hitting it out of the park right now. Sales of its industry-leading GLP-1 weight-loss drugs Mounjaro and Zepbound rose 125% and 80%, respectively, in the first quarter of 2026, driving a huge 56% sales gain for the drug giant. There's a reason why the stock is up more than 400% over the past five years.

There's just one small problem for dividend investors: Eli Lilly's dividend yield is a tiny 0.6%. That's well below the S&P 500 index's (^GSPC +0.21%) roughly 1% yield and the average drug stock's 1.6%. Eli Lilly competitor Pfizer (PFE +1.31%) has a 6.6% yield, which is more than 10x higher! Is it the better dividend stock?

Image source: Getty Images.

What's wrong with Pfizer? While Eli Lilly is hitting on all cylinders today, Pfizer is not. That's why the pharmaceutical giant's stock is down 30% over the past five years and nearly 60% from the high it reached in late 2021. There are a couple of problems worth noting.

First, Pfizer was one of the companies that quickly created a COVID vaccine during the coronavirus pandemic. Sales of COVID vaccines haven't lived up to expectations now that the world has basically learned to live with the illness. In addition, Pfizer has a number of highly profitable drugs set to lose patent protection over the next couple of years. Oncology drug Ibrance will lose patent protection in 2027, with cardiovascular drugs Eliquis and Vyndaqel getting hit the following year.

As if that wasn't enough, Pfizer got a high-profile black eye in 2025 when it was forced to stop research on the GLP-1 drug it was developing. So not only is the company facing headwinds, but it is falling behind in the GLP-1 weight-loss niche that has Wall Street excited about Eli Lilly.

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There's nothing unusual going on with Pfizer While the list of negatives about Pfizer today is long, the truth is it isn't really facing any unusual problems. These are just the normal dynamics of the drug sector. Sure, Pfizer is dealing with a lot of problems all at once, but the over 100-year-old company has successfully navigated headwinds before. It is highly likely to do the same this time around, as well.

Notably, it didn't just give up on GLP-1 drugs. It quickly reset, buying a company with a more attractive drug candidate. And it has other drugs in the pipeline, focused on things like migraines and oncology, among other indications. In 2026 alone, it has 20 major studies evaluating new drug candidates.

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Research and development success doesn't always align neatly with patent expirations. Given enough time, Pfizer is likely to get back on the growth track again. In the meantime, long-term, income-focused investors can collect that fat 6.6% yield. The only problem is that the payout ratio is over 100%, which is a worrying sign.

On that front, the company is openly stating that supporting the dividend is a key goal, which it can achieve by tapping other sources of cash, such as the debt market or its own bank accounts. It isn't unusual for companies to do that when they are facing temporary headwinds.

Pfizer isn't for the risk-averse, but it shouldn't be ignored At the end of the day, Pfizer comes with risks. However, they aren't unusual risks. While a risk-averse income investor may decide to take a pass, those willing to accept a little near-term uncertainty should probably take a closer look. Buying a hot stock like Eli Lilly isn't going to get you much dividend income. Taking on a little risk with Pfizer could reward you with a huge income stream and the potential for capital gains when it works through the normal industry headwinds it currently faces.

Pfizer (PFE +1.31%) is deeply unloved, down more than 50% from its late 2021 high. The stock decline has driven the dividend yield up to a very high 6.8%, well above the pharmaceutical stock average of 1.6%. The company is facing headwinds, which are clearly worrying investors. But if you think in decades and not days, buying this out-of-favor drug maker could help create generational wealth. Here's what you need to know

Pfizer: Nothing special to see here The big headline with Pfizer is that it will have to deal with revenue declines from drugs facing patent expirations over the next few years. That's normal, since new drugs are given a time-limited period during which they can be sold without facing generic competition. Once the patents expire, however, generic versions usually enter the market, and revenues from branded drugs decline sharply.

Image source: Getty Images.

This is why drug companies like Pfizer are always looking for new drug candidates, whether through internal R&D or acquisitions. The problem is that patent expirations happen on a set schedule, but drug development does not. Pfizer doesn't currently have anything new to replace the drugs it has that are losing patent protection.

Pfizer has a long history of success The fact that investors are worried about Pfizer's situation isn't unreasonable. However, Pfizer is an over 100-year-old company and is highly respected in the healthcare sector. It has worked through difficult periods before. And the outlook isn't all bad. For example, after an internal GLP-1 weight-loss drug didn't pan out, the company quickly bought a company with a more attractive GLP-1 candidate. It also has several key drug trials scheduled for 2026.

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The company is doing what it is supposed to do; it's just that the new drugs aren't expected to arrive in time to offset the hit from patent expirations. That's likely to put some stress on the dividend, noting that the payout ratio is already over 100%. Still, management seems willing to support the dividend over the near term as it works through this difficult stretch. Even if the dividend were cut, however, it would likely still be high relative to the average drug stock. And given the stock's decline, a dividend cut may already be priced in.

Turnarounds are long-term plays All in, Pfizer is a turnaround story navigating typical industry headwinds. Given its long and successful history as a company, it is highly likely that it will muddle through this period and return to the growth path. And even if the dividend is cut, which management says isn't currently in the cards, the yield will likely still be sizable. If you think in decades and not days, buying Pfizer could set you up for a generous income stream and capital appreciation. And it is the type of industry-leading company that you'll be happy to pass on to your heirs.

Pfizer stock is taking a breather. What’s ahead for PFE stock? What To Watch: Pfizer CFO Transition ImpactPfizer is leaning on continuity here: Guegan has spent more than 20 years at the company and led the financial integration of Seagen in 2024. That helps explain why the market reaction is muted rather than disorderly, even as the stock trades in a fragile technical posture.

Pfizer also has to navigate shifting demand narratives in obesity care, where GLP-1 users are consuming up to 21% fewer calories, an adoption curve that’s increasingly shaping how investors think about pharma winners and losers. The industry push beyond weekly injections toward oral formulations raises the competitive bar for large cap drugmakers as the market prices durability of the category’s growth.

Pfizer Stock: Key Levels To WatchFrom a trend perspective, Pfizer is still stuck under key moving averages, which keeps rallies looking more like rebounds than breakouts. The stock is trading 3.1% below its 20-day SMA ($25.80), 4.6% below its 50-day SMA ($26.20), 6.2% below its 100-day SMA ($26.66), and 3.4% below its 200-day SMA ($25.88).

Momentum looks more "range-bound" than trending, with RSI at 48.91—close to neutral—suggesting neither buyers nor sellers have a clear edge right now. RSI is a quick way to gauge whether a move is getting stretched; near-midrange readings often mean price respects nearby support/resistance more cleanly.

The moving-average structure is mixed: the 20-day SMA is below the 50-day SMA (a bearish short-term crossover), but the 50-day SMA remains above the 200-day SMA after the golden cross in October 2025. In that kind of setup, traders often watch for a higher low (the recent swing low was in May) followed by a reclaim of the 50-day/200-day area to confirm the longer-term trend is reasserting itself.

Key Resistance: $27.50 — a round-number area above the main moving-average cluster where rebounds can stall Key Support: $25.00 — a psychological level near the lower edge of the recent range as price tests the area How Pfizer Compares To Healthcare PeersPfizer is underperforming its Healthcare peer group today, down 0.32% versus a 0.13% gain for the sector—about 0.44 percentage points of relative lag. That matters because Healthcare is currently ranked No. 3 out of 11 sectors (a top-performing group), so the weakness reads as more stock-specific than sector-driven.

Merck’s Capvaxive label expansion provides a benchmark for Pfizer because pneumococcal vaccines are a key competitive arena for big pharma immunization franchises. The move mirrors Merck’s push into ages 2-17 with chronic conditions, where Capvaxive coverage is tied to about 79% of invasive pneumococcal disease cases in at-risk children under 18, keeping pressure on Pfizer’s vaccine moat narrative.

What Is Pfizer’s Business Model?Pfizer is one of the world’s largest pharmaceutical firms, with annual sales of roughly $60 billion, and it now leans heavily on prescription drugs and vaccines. Key products include the pneumococcal vaccine Prevnar 13 and cardiology drugs Vyndaqel and Eliquis.

It also sells globally, with international markets making up about 40% of total sales, and emerging markets are a meaningful part of that mix. In that context, a CFO transition can matter to longer-term holders because it touches capital allocation, deal integration (Guegan led the financial integration of Seagen in 2024), and how management frames the path for the portfolio.

Pfizer Benzinga Edge: Strengths and WeaknessesBelow is the Benzinga Edge scorecard for Pfizer, highlighting its strengths and weaknesses compared to the broader market:

The Verdict: Pfizer’s Benzinga Edge signal reveals a generally weak profile, led by soft Momentum and Growth readings. For longer-term bulls, the setup improves if the stock can hold $25.00 and start reclaiming the 50-day/200-day area, which would better align the chart with the "fair value" valuation backdrop.

Pfizer Stock Price Movement TodayPFE Stock Price Activity: Pfizer shares were down 0.91% at $24.98 at the time of publication on Monday, according to Benzinga Pro data.

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A Pfizer logo is shown at a research facility in the La Jolla neighborhood of San Diego, California, U.S., September 30, 2025. REUTERS/Mike Blake//File Photo Purchase Licensing Rights, opens new tab

SummaryCompaniesContinuing with ongoing trial that combines drug with KeytrudaPlans to explore using the drug with other experimental treatmentsShares fall 1%June 22 (Reuters) - Pfizer (PFE.N), opens new tab said on Monday that one ‌of the key experimental drugs it picked up in its $43 billion 2023 acquisition of Seagen failed to improve survival when compared to chemotherapy in a late-stage trial of lung cancer patients who had already tried other treatments.

The drug, sigvotatug vedotin, ​did not show a statistically significant improvement in the study's primary endpoint of overall ​survival in adults with locally advanced, unresectable or metastatic non-squamous non-small cell ⁠lung cancer (NSCLC) versus the chemotherapy docetaxel, Pfizer said. The company's shares fell more than 1 ​percent in after-hours trading.

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Pfizer said that it was still confident in the potential of the drug ​due to a stronger survival trend in the patients who had received only one prior course of treatment, as well as data from an early stage trial where the drug was used in combination with Merck's (MRK.N), opens new tab Keytruda.

"In ​patients who had received only one prior line of therapy here, we did see very ​favorable trends in both progression-free survival and overall survival, suggesting that the drug is active and the payload ‌is getting ⁠directly to the cancer cells," Pfizer Chief Oncology Officer said in an interview.

The company already has an ongoing late-stage trial of the drug in combination with Keytruda as a first-line treatment. It also plans to explore using the drug with other experimental cancer treatments in its pipeline.

Sigvotatug ​vedotin targets a protein ​known as integrin beta‑6. ⁠In the trial, Pfizer said it found no clear relationship between tumors expressing the protein and patient response to the drug.

Pfizer bought Seagen ​and its portfolio of targeted cancer therapies called antibody-drug conjugates in ​hopes of offsetting ⁠the steep fall in sales of its COVID-19 portfolio and generic competition for some top-selling drugs.

The company is continuing to develop other ADCs, it said, including some that also target the same ⁠protein, ​IB6.

Pfizer shares have dropped more than 50% since early ​2023 as the drugmaker has worked to develop new blockbuster drugs. It has said it expects to return to stronger ​growth in 2028.

Additional reporting by Puyaan Singh in Bengaluru; Editing by Vijay Kishore and Stephen Coates

Our Standards: The Thomson Reuters Trust Principles., opens new tab

China has pulled ahead of Europe in pharmaceutical innovation and drug development, a senior Pfizer executive said on Tuesday.

BILLERICA, Mass.--(BUSINESS WIRE)--Javelin Biotech today announced a landmark scientific publication, titled "Interconnected multi-microphysiological systems and PBPK modeling for predicting human pharmacokinetics”, in the "Breakthrough" special issue of Lab on a Chip. The study details a liver-centric multi-tissue chip (MTC) platform designed to capture the complex pharmacokinetic (PK) profiles of small-molecule drugs.

"The results of this collaboration represent a significant step in bridging the gap between laboratory models and clinical reality."

Share The research marks a significant demonstration of how combinatorial NAMs enable the translation of multi-MPS data into clinical exposure predictions. By integrating the liver MPS with kidney and skeletal muscle within a single, recirculating microfluidic environment, the platform allows for the simultaneous identification of hepatic metabolism, renal excretion, and volume of distribution.

“This work is a major achievement in the New Approach Methodologies (NAMs) space, proving that multi-MPS platforms can deliver accurate clinical predictions,” said Murat Cirit, Ph.D., Chief Executive Officer of Javelin Biotech. “Small molecules represent 50% of therapeutics in development today. On the first anniversary of the FDA Modernization Act 3.0, this study provides critical scientific evidence that the Javelin platform can deliver clinical predictions and accelerate development without the use of animal data.”

A core breakthrough of the study is the validation of these on-chip parameters through integration with Physiologically Based Pharmacokinetic (PBPK) models. The study demonstrated high correlation with human clinical data across all Extended Clearance Classification System (ECCS) classes, providing a scalable tool for researchers to refine predictions before entering human trials.

“Pfizer remains committed to the 3Rs and to exploring innovative ways to enhance the predictive accuracy of our preclinical research,” said R. Scott Obach, Ph.D., Senior Research Fellow at Pfizer. “The results of this collaboration represent a significant step in bridging the gap between laboratory models and clinical reality. By showing how on-chip data can be integrated into PBPK models, we are building a deeper understanding of human-specific pharmacokinetics—a critical step in our ongoing efforts to refine our research models and reduce reliance on animal studies over time.”

As the industry moves toward more efficient, data-driven methodologies, Javelin Biotech’s platform serves as a critical bridge between laboratory research and human clinical trials. This is a major achievement in the NAM space that multi-MPS platform can deliver accurate clinical predictions.

About Javelin Biotech

Born from MIT’s interdisciplinary ecosystem, Javelin is a leading biotechnology company providing cutting-edge organ-on-a-chip platforms that offer unparalleled fidelity and insight into human biology and disease states. Our technology generates high-quality, human-relevant data essential for robust AI/ML integration, accelerating the development of safer, more effective, and personalized therapeutics while reducing costs and the reliance on animal testing.

David Denton's appointment, effective Aug. 17, comes as the company struggles to execute its turnaround.

Pfizer stock is showing downward bias. Where is PFE stock headed? What Are the Latest Phase 3 Results for Pfizer?Pfizer also flagged that an exploratory analysis failed to show a clear relationship between integrin beta-6 (IB6) expression levels and treatment response, keeping the "who benefits" question open. Detailed trial findings are expected at a future medical meeting, which can become the next sentiment checkpoint for the program.

Critical Price Levels to Watch for PFE StockAt $24.77, the stock is trading below every major moving average tracked here—about 3.8% under the 20-day SMA ($25.74), 5.3% under the 50-day SMA ($26.16), 7% under the 100-day SMA ($26.65), and 4.3% under the 200-day SMA ($25.88). That "below the stack" posture keeps rallies more likely to run into supply until price can reclaim at least the 20-day/200-day zone.

MACD is the cleaner momentum read right now: it’s below its signal line with a negative histogram, which typically means upside pressure is fading versus the prior upswing unless buyers can reassert control. Structurally, the longer-term backdrop is mixed—there’s still a golden cross from October 2025 (50-day SMA above the 200-day SMA), but the nearer-term crossover has turned bearish with the 20-day SMA below the 50-day SMA.

Key Resistance: $27.50 — a round-number area above the main moving-average cluster where rebounds can stall Key Support: $24.00 — a nearby round-number level just above the 52-week low zone ($23.11) where buyers may try to defend What Is Pfizer and How Does It Operate?Pfizer is one of the world’s largest pharmaceutical firms, with annual sales of roughly $60 billion. Today, prescription drugs and vaccines make up most of its business, and its scale means pipeline updates can matter even when they don’t immediately change near-term revenue.

Top sellers include the pneumococcal vaccine Prevnar 13 and cardiology drugs Vyndaqel and Eliquis, and the company sells globally with international markets representing about 40% of total sales. In that context, mixed oncology readouts like SigVie-002 tend to be judged on whether they expand the long runway—Pfizer is also evaluating sigvotatug vedotin in a Phase 3 combination study with pembrolizumab in first-line advanced NSCLC.

Pfizer Benzinga Edge Rankings: Strengths and WeaknessesBelow is the Benzinga Edge scorecard for Pfizer, highlighting its strengths and weaknesses compared to the broader market:

The Verdict: Pfizer’s Benzinga Edge signal reveals a weaker-tilted profile, led by soft Momentum and Growth scores. For longer-term bulls, the chart likely needs to reclaim key moving averages to improve the momentum backdrop, while bears will focus on whether $24.00 holds on any risk-off tape.

Pfizer Stock Price Movement in Premarket TradingPFE Stock Price Activity: Pfizer shares were up 0.32% at $24.80 during premarket trading on Wednesday, according to Benzinga Pro data.

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