FedEx's plunge stuns Wall Street

After shocking Wall Street by yanking its guidance, flagging weakness in Asia, challenges in Europe, announcing office closures and mass layoffs – a fate that awaits most of corporate America – and warning that conditions could deteriorate further in the current quarter, Fedex shares have plunged 21% in premarket trading, its biggest drop on record…

… and – as usual on Wall Street – the move has triggered an avalanche of downgrades from countless banks such as Bank of America, Stifel, JP Morgan and KeyBanc… banks who are supposed to predict the move not react to it, and yet despite the biggest drop ever, there is still just one sell rating!

Then again, nobody ever accused sellside analysts of actually being able to predict the future: if they did, they would be on the buside.