FedEx Shares Plunge as Lowered Outlook Signals Economic Concerns

The shipping giant's disappointing Q1 results and reduced forecast reflect weaker industrial demand and shifting customer preferences.

FedEx reported Q1 earnings of $3.60 per share, missing analysts' expectations of $4.76.
Revenue for the quarter was $21.6 billion, slightly below the anticipated $21.9 billion.
The company lowered its full-year earnings forecast to $20-$21 per share, down from $20-$22.
Weak demand for priority shipping services and higher operating costs contributed to the poor performance.
FedEx is also facing a $500 million revenue loss from the end of its contract with the U.S. Postal Service.