FedEx Corporation (FDX) vs ZTO Express (Cayman) Inc. (ZTO)

FedEx Corporation and ZTO Express (Cayman) Inc. are both Integrated Freight & Logistics companies. FedEx Corporation is the larger, with a market value of $70.0B against $11.0B — 6.4× the size. ZTO Express (Cayman) Inc. trades at the lower P/E: 10.6× against 15.8×. ZTO Express (Cayman) Inc. grew revenue faster over the last twelve months: 24.8% against 7.73%. ZTO Express (Cayman) Inc. has the higher net margin (19.0% vs 4.68%) and the higher return on invested capital (13.0% vs 7.75%). Both pay a dividend; ZTO Express (Cayman) Inc. yields more (1.94% vs 1.82%). Across the 22 metrics below, ZTO Express (Cayman) Inc. leads on 15 and FedEx Corporation on 7.

Valuation

Metric FDX ZTO Integrated Freight & Logistics median
P/E 15.75 10.59 22.48
P/S 0.73 1.94 0.73
P/B 2.19 1.64 1.91
Price to free cash flow 9.18 n/m 13.24
EV/EBITDA 6.69 8.40 9.43
EV/Sales 0.86 1.76 1.10
Earnings yield 6.35% 9.44% (1.27%)
Free cash flow yield 10.90% (1.94%) 0.00%

Profitability

Metric FDX ZTO Integrated Freight & Logistics median
Gross margin 70.79% 25.10% 27.04%
Operating margin 5.77% 20.98% 0.92%
Net margin 4.68% 19.02% (0.14%)
Free cash flow margin 7.97% (3.77%) 0.00%
Return on equity 14.85% 16.37% 0.00%
Return on assets 10.12% 10.88% 0.00%
Return on invested capital 7.75% 13.03% 0.00%

Growth

Metric FDX ZTO Integrated Freight & Logistics median
Revenue growth (TTM) 7.73% 24.75% 6.03%
EPS growth (last fiscal year) 10.15% 8.84% 7.70%
Revenue growth, 5-year CAGR 2.44% 12.69% 2.88%
Net income growth, 5-year CAGR (3.26%) 14.46% 0.00%

Health

Metric FDX ZTO Integrated Freight & Logistics median
Debt to equity 0.81 0.34 0.14
Current ratio 1.48 1.67 1.58
Net debt to EBITDA 1.26 (1.05) 0.41

Dividend

Metric FDX ZTO Integrated Freight & Logistics median
Dividend yield 1.82% 1.94% 1.89%
Payout ratio 0.29 0.21 0.29

Size

Metric FDX ZTO Integrated Freight & Logistics median
Market cap 69.95b 10.97b 65.37m

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