There's A Rumor Going Around That Bill Ackman Could Be Making A Massive Bet On FedEx

Yesterday Reuters reported that Bill Ackman is calling on pension funds and endowments to commit $1 billion to two new funds that would take an activist stake in an unnamed American company.

Today, FedEx stock is going absolutely gangbusters, up 6%— so maybe this is the one people (h/t Street Insider). It certainly fits the Ackman profile.

In the letter leaked to Reuters he wrote that the company was "simple, predictable, and free-cash-flow -generative and enjoys high barriers to entry." He also said that it "substantially lower multiple of earnings than its most comparable competitor."

Ackman is known for his successful activist positions in Procter and Gamble and McDonald's and less than successful positions in Target and Herbalife.

A representative from Pershing Square has said that Ackman is declining comment. And as investors have until July 17th to commit $1 million, that makes sense.

From Reuters:

"We are launching two new co-investment funds PS V, L.P. and PS V International," Ackman wrote in a three-page letter dated July 8 and seen by Reuters. "Because of confidentiality considerations, it is not prudent for us to share the target company name with all of our 500+ investors," he added.

FYI — July 17th is the date of CNBC's Delivering Alpha hedge fund conference, Ackman is not a speaker, however.

For more on this head to Reuters, or check out the FedEx chart below.