FedEx cut its earnings outlook Wednesday, citing a weak global economy.
The shipping company is often considered a bellwether of the global economy due to both its size and worldwide presence. A lower outlook for the courier is considered a discouraging symptom of a weak recovery.
According to the company's new forecasts, the company could earn as little as $1.37 per share in its fiscal first quarter, down from its original forecast of $1.45 to $1.60. FedEx (Fortune 500)shares tumbled 3.5% in after-hours trading, and shares of competitor , UPS (Fortune 500) fell 1.6%. ,
"Earnings during the quarter were lower than originally forecast, as weakness in the global economy constrained revenue growth at FedEx Express more than expected in the earlier guidance," the company said in a press release.
The company is not scheduled to release its full first-quarter results until September 18.
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