Send me real-time posts from this site at my email
Zacks

Buy Nike and FedEx Stock Before Earnings as Long-Term Holds?

On today’s episode of Full Court Finance at Zacks we take a look at Nike NKE and FedEx FDX ahead of their upcoming quarterly earnings releases on Thursday, June 24 to see if ether stock might be worth buying. Both the apparel giant and the shipping power boast strong growth outlooks and are trading below their highs.

Stocks surged to start the week of June 21, with all three major U.S. indexes up at least 0.8% on Monday, with the Dow leading the way as it bounces back from its worst week since the end of October. The S&P 500, the Dow, and the Nasdaq all climbed through late afternoon trading on Tuesday, with the tech-heavy index notching a new record as Wall Street bulls shake off inflation fears.  

Investors might be focused on the fact that even if the Fed is forced to raise rates sooner than initially projected, they will remain historically low, extending there is no alternative investing. On top of that, the massive U.S. economic comeback, spurred by the nearly complete reopening of many cities around the country, and the impressive earnings outlook appear to have the bulls in the driver’s seat, despite legitimate overheating and inflation worries (also read: Making Sense of Q2 Earnings Season Expectations).

With this in mind, some of the next major market catalysts amid the low volume summer months will likely be second quarter earnings season, which unofficially kicks off in mid-July with the big banks such as JPMorgan JPM. Wall Street has to wait even longer for the likes of Apple AAPL, Microsoft MSFT, and other tech stars.

This week will see both Nike and FedEx release results for their fourth quarter fiscal 2021 periods on Thursday, June 24. NKE shares have been on an up and down ride in 2021 and Nike got hit following its last release amid supply chain and shipping setbacks. But Nike’s long-term bull case remains strong despite the rise of Lululemon LULU and its growth outlook is impressive.

Meanwhile, FedEx is committed to boosting its e-commerce business amid rising global demand. This includes investing in and optimizing its last-mile residential deliveries as it competes against Amazon AMZN in a world where shipping and delivery have never been more important.

5 Stocks Set to Double

Each was hand-picked by a Zacks expert as the #1 favorite stock to gain +100% or more in 2020. Each comes from a different sector and has unique qualities and catalysts that could fuel exceptional growth.

Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.

Today, See These 5 Potential Home Runs >>


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
Amazon.com, Inc. (AMZN): Free Stock Analysis Report
 
JPMorgan Chase & Co. (JPM): Free Stock Analysis Report
 
Apple Inc. (AAPL): Free Stock Analysis Report
 
Microsoft Corporation (MSFT): Free Stock Analysis Report
 
NIKE, Inc. (NKE): Free Stock Analysis Report
 
FedEx Corporation (FDX): Free Stock Analysis Report
 
lululemon athletica inc. (LULU): Free Stock Analysis Report
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

Welcome! Is it your First time here?

What are you looking for? Select your points of interest to improve your first-time experience:

Apply & Continue