FedEx-cellent Earnings; Santa’s Not So Little Helpers; New Home Confidence Booster

Can I get that overnight?

Image courtesy of tigger11th/FreeDigitalPhotos.net

Image courtesy of tigger11th/FreeDigitalPhotos.net

You may not use FedEx on a regular basis but other people sure do. The shipping company’s earnings toppled Wall Street predictions earning $2.10 per share in its first quarter compared with an expected $1.96 per share. Nothing like giving those predictions a smack down. Those hefty earnings were a 37% increase over the same time last year which took in just $1.53 per share. If you’re in the market for some shares of this very useful company, you’ll need to plunk over approximately $159…again, per share. Revenue for the company came in at $11.7 billion while analysts short changed FedEx for a paltry $11.44 billion. In fact, just between June and August the express shipping company earned a whopping $606 million, which happens to be a not-so-modest 24% increase over the same time last year. Graciously enough, FedEx will be waiting until after the holiday season to raise its rates by almost 5%.

Elves, elves everywhere…

Image courtesy of suphakit73/FreeDigitalPhotos.net

Image courtesy of suphakit73/FreeDigitalPhotos.net

Speaking of the holiday season (and FedEx, for that matter) which is in fact a lot closer than you may (choose to) realize, FedEx and UPS have big plans to add to their workforces. Following last year’s debacle when the shipping companies received more packages than they could physically handle, with some arriving after the holiday, UPS and FedEx decided they would increase the amount of workers they hired last year so that there will be no doubt – make that little doubt –  that your packages make it on time. FedEx plans to hire 50,000 seasonal employees, as opposed to last year’s 40,000. UPS is pulling out all the stops by bringing in 95,000  extra workers for what they predict will be an epic  – at least as far as shipping needs are concerned – holiday season. But it’s not just shipping companies that are hiring extra staff. Kohl’s just announced its plans to hire approximately 50 associates per store. Considering Kohl’s has over 1,160 stores in 49 states, you just might find yourself at the right end of some decent customer service come December. Expect other stores to follow suit.

Home sweet home…

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Image courtesy of Stuart Miles/FreeDigitalPhotos.net

Which brings us to homebuilders confidence. Well really it doesn’t, but whatever. According to the National Association of Home Builders/Wells Fargo builder sentiment index (yeah, try saying that five times fast), the sentiment hit 59 in August. Analysts called for about a 55. So ha! Considering anything over a 50 is good news, this number deserves its own party. In fact, US home builder confidence for new single family homes (sorry, old homes)  hasn’t been this well…confident – and high – in nine years. All this seems to suggest sales for homes will rise – which is good, especially if you’re selling. It also helps that the job market is improving and interest rates are low. All things that make buying a new single family home (again, sorry old homes) that much more enticing.

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