Diamond Hill Capital stated in its Q2 2026 investor letter that the newly included FedEx Freight Holding Company (FDXF) has stronger growth potential as an independent company.
Diamond Hill Capital, in its Q2 2026 investor letter, noted that FedEx Freight Holding Company (FDXF), a spin-off from shipping company FedEx Corp., is the largest independent less-than-truckload (LTL) carrier in the industry by revenue. The firm believes the LTL industry is highly concentrated, with disciplined operators and favorable demand trends. As an independent company, FedEx Freight should be better able to focus on operational execution and improve its profit margins, which currently lag behind its main competitors. The letter also mentioned that AI is a dominant market theme, driving an 81% rise in tech stocks, while energy stocks declined after oil prices fell following the end of the Iran war.
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