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FedEx FDX Return on invested capital

Return on invested capital at other companies

Old Dominion Freight Line logo
Old Dominion Freight LineODFL
24.2%-4.3pp
Amazon logo
AmazonAMZN
14%-3.8pp
United Parcel Service, Inc. logo
United Parcel Service, Inc.UPS
37.5%-3.1pp
XPO
XPOXPO
8.8%-1.2pp
Expeditors International of Washington logo
Expeditors International of WashingtonEXPD
52.2%-2.9pp
JB Hunt Transport Services logo
JB Hunt Transport ServicesJBHT
13.1%+1.8pp

Other financials

Income statement

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Revenue$24.0B+8.3%
Operating income$1.3B+4.3%
Net income$1.1B+16.2%
EPS (diluted)$4.41+17.3%

Balance sheet

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Cash & equivalents$8.0B+56.0%
Total debt$43.2B+14.9%
Total equity$29.8B+11.6%
Total assets$94.7B+11.4%

Cash flow

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Operating cash flow$2.0B-0.9%
CapEx$955.0M-4.2%
Free cash flow$1.0B+2.3%

Valuation

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Market cap$77.77B+43.7%
Enterprise value$112.96B+31.7%
P/E17.3×+3.5×
P/S0.9×+0.2×

Profitability

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Gross margin76%
Operating margin6.2%+0.5pp
Net margin4.9%+0.4pp

Returns & leverage

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Return on equity15.9%+1.1pp
Debt / equity1.4×0.0×
Current ratio1.5×+0.2×

Where this comes from

Calculated from FedEx’s reported figures.

Based on trailing twelve months.

The official record: FedEx’s 10-Q, filed March 19, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is FedEx's return on invested capital?
FedEx (FDX) reported return on invested capital of 7% in Q4 2025.
How has FedEx's return on invested capital changed year-over-year?
FedEx's return on invested capital increased by 10.5% year-over-year, from 6.3% to 7%.
What is the long-term trend for FedEx's return on invested capital?
Over 4 years (2021 to 2025), FedEx's return on invested capital has grown at a -5.1% compound annual growth rate (CAGR), from 31.5% to 25.5%.
What does return on invested capital mean?
The after-tax return the business earns on all the capital — debt and equity — invested in it.
How do you interpret return on invested capital?
The cleanest measure of business quality: ROIC sustained above the cost of capital creates value, below it destroys value. Compare against WACC, not against zero.
How does return on invested capital compare across companies?
Highly comparable across companies as a quality screen. Sector-sensitive definitions of invested capital mean banks/insurers are best excluded.