United Parcel Service, Inc. (NYSE:UPS) Receives Average Recommendation of "Hold" from Brokerages

Key Points

• Analyst consensus on UPS is “Hold.” Of 21 brokerages, 11 recommend holding, eight recommend buying, one recommends selling, and one gives a strong-buy rating; the average 12-month price target is $117.41.
• UPS reported quarterly EPS of $1.76, beating the $1.65 consensus estimate, while revenue of $22.83 billion rose 7.6% year over year and exceeded expectations.
• The company declared a quarterly dividend of $1.64, equal to $6.56 annually and a 6.5% yield, though its payout ratio is elevated at 121.93%; institutional investors own 60.26% of the stock.

United Parcel Service, Inc. (NYSE:UPS - Get Free Report) has received an average rating of "Hold" from the twenty-one brokerages that are currently covering the stock, MarketBeat.com reports. One analyst has rated the stock with a sell recommendation, eleven have given a hold recommendation, eight have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year price objective among analysts that have covered the stock in the last year is $117.4118.

UPS has been the topic of a number of research analyst reports. Stephens lowered their price target on United Parcel Service from $135.00 to $130.00 and set an "overweight" rating on the stock in a report on Wednesday, July 29th. UBS Group boosted their target price on United Parcel Service from $123.00 to $124.00 and gave the stock a "buy" rating in a research report on Wednesday, July 29th. BMO Capital Markets upped their target price on shares of United Parcel Service from $110.00 to $115.00 and gave the company a "market perform" rating in a research note on Wednesday, July 29th. Oppenheimer raised their price target on shares of United Parcel Service from $115.00 to $117.00 and gave the company an "outperform" rating in a report on Wednesday, July 29th. Finally, Weiss Ratings upgraded shares of United Parcel Service from a "sell (d+)" rating to a "hold (c-)" rating in a research note on Monday, August 17th.

United Parcel Service Price Performance

Shares of NYSE UPS opened at $100.23 on Friday. United Parcel Service has a twelve month low of $82.00 and a twelve month high of $122.41. The firm has a market cap of $85.27 billion, a P/E ratio of 18.63, a PEG ratio of 1.76 and a beta of 1.06. The company has a 50 day moving average of $106.12 and a 200 day moving average of $104.44. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 1.58.

United Parcel Service (NYSE:UPS - Get Free Report) last released its quarterly earnings data on Tuesday, July 28th. The transportation company reported $1.76 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.65 by $0.11. The business had revenue of $22.83 billion for the quarter, compared to analysts' expectations of $21.86 billion. United Parcel Service had a return on equity of 37.50% and a net margin of 5.08%.The firm's quarterly revenue was up 7.6% on a year-over-year basis. During the same period in the prior year, the firm posted $1.55 EPS. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. As a group, research analysts expect that United Parcel Service will post 7.22 EPS for the current fiscal year.

United Parcel Service Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, September 3rd. Shareholders of record on Monday, August 17th were given a $1.64 dividend. This represents a $6.56 dividend on an annualized basis and a yield of 6.5%. The ex-dividend date of this dividend was Monday, August 17th. United Parcel Service's payout ratio is 121.93%.

Institutional Investors Weigh In On United Parcel Service

Hedge funds have recently added to or reduced their stakes in the stock. IKE Capital LLC boosted its stake in shares of United Parcel Service by 13.9% in the 2nd quarter. IKE Capital LLC now owns 7,740 shares of the transportation company's stock worth $832,000 after buying an additional 945 shares during the last quarter. Sequoia Financial Advisors LLC increased its position in United Parcel Service by 0.9% during the second quarter. Sequoia Financial Advisors LLC now owns 56,624 shares of the transportation company's stock valued at $6,087,000 after acquiring an additional 508 shares during the last quarter. MCF Advisors LLC increased its position in United Parcel Service by 3.7% during the second quarter. MCF Advisors LLC now owns 5,769 shares of the transportation company's stock valued at $620,000 after acquiring an additional 206 shares during the last quarter. National Pension Service lifted its holdings in United Parcel Service by 1.5% in the second quarter. National Pension Service now owns 2,379,189 shares of the transportation company's stock valued at $255,763,000 after acquiring an additional 36,099 shares during the period. Finally, WINTON GROUP Ltd lifted its holdings in United Parcel Service by 195.6% in the second quarter. WINTON GROUP Ltd now owns 9,681 shares of the transportation company's stock valued at $1,041,000 after acquiring an additional 6,406 shares during the period. 60.26% of the stock is currently owned by hedge funds and other institutional investors.

United Parcel Service Company Profile

United Parcel Service, Inc NYSE: UPS is a global package delivery and logistics company that provides transportation, distribution and supply-chain services. Its offerings include time-definite delivery of packages and documents, ground and air transportation, international shipping, freight services, customs brokerage and logistics management.

UPS serves businesses and consumers in the United States and across international markets, connecting customers in more than 200 countries and territories.

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