Comparative Analysis FedEx Corporation

Market Capital:

  • FedEx has 25.2%
  • UPS has 57.1%
  • YRC World has 5%

Common Sized Financial Statements:

Income Statement:

  • Salaries and employee benefits: FedEx (36%), UPS and YRCW (52%)
  • Number of employees: 400,000, 44,4000, and 32,000 respectively
  • Net income: FedEx (3%), UPS (8%), and YRCW (loss)

Balance Sheet:

  • Average of 8% cash like other competitors
  • AR: FedEx (15%), UPS (18%), and YRCW (22%)
  • Liabilities: FedEx (50%), UPS (93%), and YRCW (120%)

Ratios

  • ROA: FedEx (3.95%), UPS (12.64%), and Industry (9.24%)
  • ROCE: FedEx (8.09%), UPS (27.77%), YRCW (7.04%)
  • Current Ratio above 1 but below the industry
  • Time interest earned, average collection period, and profitability ratios are lower than the industry average

Weaknesses

  • Overdependent on the US market
  • Shipping rate is among the highest
  • World expansion is weak

Strengths

  • Expansion with TNT in Europe to Asia
  • One to three days delivery service that compasses 90% of world's gross domestic product
  • end-to-end international shipping process

Credits:

Created with images by photogreat - "fedex courier safety" • ceris42 - "Mercedes USP truck" • sillygwailo - "FedEx" • pasa47 - "FedEx" • Paul L Dineen - "FedEx" • JeepersMedia - "Fedex" • danielhedrick - "FedEx"

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