Financial commentator Jim Cramer has expressed profound admiration for FedEx Corporation's Chief Executive Officer, Raj Subramaniam, hailing him as a "hero." Cramer's commendation stems from Subramaniam's remarkable achievements in enhancing service quality and executing substantial cost-cutting measures, amounting to billions of dollars, since assuming leadership from the company's founder. Furthermore, Cramer brought attention to FedEx's strategic decision to spin off its freight division. This anticipated move, scheduled for an independent listing in early June, is viewed by Cramer as a potentially highly lucrative opportunity for investors, suggesting that the new entity could offer compelling value if priced appropriately.
Jim Cramer Highlights FedEx's Strategic Progress and Leadership Success
In a recent broadcast, influential financial analyst Jim Cramer enthusiastically applauded FedEx CEO Raj Subramaniam, recognizing his pivotal role in steering the company towards significant operational improvements and financial efficiencies. Speaking on February 10, 2026, Cramer emphasized Subramaniam's successful transition into leadership, describing how the CEO not only honored the legacy of founder Fred Smith but also elevated the company's performance. Under Subramaniam's guidance, FedEx has seen a dramatic improvement in its service offerings while simultaneously implementing cost reductions totaling billions of dollars. This dual achievement underscores a rare blend of operational excellence and fiscal discipline. Additionally, Cramer drew investor attention to FedEx's imminent freight spin-off, which involves the independent trading of its freight division starting in June. This strategic maneuver, formally detailed in a Form-10 registration statement, is expected to create a distinct entity with considerable market appeal, potentially offering substantial returns to investors if its initial valuation is attractive. The announcement has generated significant buzz, with Cramer noting the palpable optimism surrounding the move.
Jim Cramer's enthusiastic endorsement of Raj Subramaniam's leadership at FedEx offers valuable insights into the dynamics of corporate transformation and value creation. The emphasis on both service enhancement and cost reduction highlights a comprehensive approach to business management that serves as a model for other enterprises facing competitive pressures. Moreover, the strategic decision to spin off the freight division illustrates a forward-thinking approach to unlocking shareholder value and optimizing business structure. This move underscores the importance of adaptive strategies in a rapidly evolving market landscape, suggesting that carefully considered divestitures can lead to renewed focus and growth for core operations, as well as new opportunities for investors in the spun-off entity. This scenario provides a compelling case study for the benefits of bold leadership and strategic restructuring.