VOL. XCIV, NO. 247

★ WIDE MOAT STOCKS COMPARISON ★

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Sunday, January 11, 2026

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Stock Comparison

FedEx Corporation vs Xero Limited

Compare moat strength, market structure, and segment coverage to understand how each company defends its edge.

FedEx Corporation

FDX · New York Stock Exchange

Market cap (USD)—

Gross margin (TTM)—

Operating margin (TTM)—

Net margin (TTM)—

SectorIndustrials

Industry—

CountryUS

Data as of2026-01-10

Moat score

72/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into FedEx Corporation's moat claims, evidence, and risks.

View FDX analysis

Xero Limited

XRO · Australian Securities Exchange

Market cap (USD)$18.3B

Gross margin (TTM)85.3%

Operating margin (TTM)17.6%

Net margin (TTM)11.5%

SectorTechnology

IndustrySoftware - Application

CountryNZ

Data as of2026-01-02

Moat score

71/ 100

Weighted average of segment moat scores, combining moat strength, durability, confidence, market structure, pricing power, and market share.

Full stock profile

Dive deeper into Xero Limited's moat claims, evidence, and risks.

View XRO analysis

Comparison highlights

Moat score gap: FedEx Corporation leads (72 / 100 vs 71 / 100 for Xero Limited).
Segment focus: FedEx Corporation has 3 segments (85.6% in Federal Express (integrated parcel & express)); Xero Limited has 2 segments.
Moat breadth: FedEx Corporation has 6 moat types across 4 domains; Xero Limited has 7 across 3.

Primary market context

FedEx Corporation

Federal Express (integrated parcel & express)

Market

Integrated parcel and express delivery (air-ground integrator model)

Geography

Global

Customer

Business and consumer shippers

Role

Carrier / integrator

Revenue share

85.6%

Xero Limited

Core Accounting Subscription Platform

Market

Cloud accounting software for small businesses and their advisors

Geography

Global

Customer

SMB; accountants & bookkeepers

Role

Software platform (SaaS)

Side-by-side metrics

FedEx Corporation

Xero Limited

Ticker / Exchange

FDX - New York Stock Exchange

XRO - Australian Securities Exchange

Market cap (USD)

n/a

$18.3B

Gross margin (TTM)

n/a

85.3%

Operating margin (TTM)

n/a

17.6%

Net margin (TTM)

n/a

11.5%

Sector

Industrials

Technology

Industry

n/a

Software - Application

HQ country

Primary segment

Federal Express (integrated parcel & express)

Core Accounting Subscription Platform

Market structure

Oligopoly

Market share

18% (reported)

n/a

HHI estimate

2,464

n/a

Pricing power

Moderate

Moat score

72 / 100

71 / 100

Moat domains

Supply, Demand, Financial, Network

Demand, Network, Financial

Last update

2026-01-10

2026-01-02

Moat coverage

Shared moat types

Benchmark Pricing Power

FedEx Corporation strengths

Physical Network DensityScale Economies Unit CostBrand TrustScope EconomiesData Network Effects

Xero Limited strengths

Data Workflow LockinSwitching Costs GeneralTwo Sided NetworkInteroperability HubEcosystem ComplementsSuite Bundling

Segment mix

FedEx Corporation segments

Full profile >

Federal Express (integrated parcel & express)

Oligopoly

85.6%

FedEx Freight (LTL)

Oligopoly

10.1%

Corporate, other, and eliminations (Dataworks, Office, Logistics)

Competitive

4.2%

Xero Limited segments

Full profile >

Core Accounting Subscription Platform

Oligopoly

n/a

Platform Services (Payments, Payroll, App Ecosystem)

Competitive

n/a

Want the full wide moat stocks list?

Browse the full ranking of wide moat stocks, updated with moat scores and segment context.

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Looking for expansion-stage stocks?

Proven models entering the expansion stage with unit economics that work.

View expansion-stage stocks

Curation & Accuracy

This directory blends AI‑assisted discovery with human curation. Entries are reviewed, edited, and organized with the goal of expanding coverage and sharpening quality over time. Your feedback helps steer improvements (because no single human can capture everything all at once).

Details change. Pricing, features, and availability may be incomplete or out of date. Treat listings as a starting point and verify on the provider’s site before making decisions. If you spot an error or a gap, send a quick note and I’ll adjust.