Manning & Napier Advisors LLC Purchases Shares of 1,780,430 United Parcel Service, Inc. $UPS

Key Points

• Manning & Napier Advisors bought 1.78 million UPS shares worth approximately $192.3 million, making UPS about 2.5% of its portfolio and its 10th-largest holding. Institutional investors collectively own 60.26% of the company.
• UPS exceeded quarterly expectations with adjusted earnings of $1.76 per share and revenue of $22.83 billion, while revenue rose 7.6% year over year. The company declared a $1.64 quarterly dividend, equating to a 6.4% annualized yield, though its payout ratio exceeds 100%.
• UPS plans to invest more than $2 billion through 2028 in international, healthcare and supply-chain operations, including cold-chain logistics. The strategy could improve its business mix, but execution risks, the loss of lower-margin Amazon volume and concerns that dividend growth may remain frozen through 2027 weigh on the outlook; analysts maintain a consensus “Hold” rating.

Manning & Napier Advisors LLC purchased a new position in shares of United Parcel Service, Inc. (NYSE:UPS - Free Report) during the 2nd quarter, according to the company in its most recent disclosure with the SEC. The fund purchased 1,780,430 shares of the transportation company's stock, valued at approximately $192,304,000. United Parcel Service comprises about 2.5% of Manning & Napier Advisors LLC's investment portfolio, making the stock its 10th biggest position. Manning & Napier Advisors LLC owned about 0.21% of United Parcel Service at the end of the most recent quarter.

Other large investors also recently made changes to their positions in the company. Norges Bank acquired a new position in United Parcel Service during the fourth quarter worth $902,446,000. Victory Capital Management Inc. lifted its stake in United Parcel Service by 72.9% in the fourth quarter. Victory Capital Management Inc. now owns 13,818,314 shares of the transportation company's stock valued at $1,370,639,000 after acquiring an additional 5,826,824 shares during the last quarter. AQR Capital Management LLC grew its position in shares of United Parcel Service by 175.7% in the 4th quarter. AQR Capital Management LLC now owns 5,200,135 shares of the transportation company's stock valued at $515,801,000 after acquiring an additional 3,314,166 shares during the period. Pacer Advisors Inc. grew its position in shares of United Parcel Service by 507.8% in the 4th quarter. Pacer Advisors Inc. now owns 3,244,234 shares of the transportation company's stock valued at $321,796,000 after acquiring an additional 2,710,470 shares during the period. Finally, Bank of America Corp DE increased its stake in shares of United Parcel Service by 23.3% during the 1st quarter. Bank of America Corp DE now owns 9,728,123 shares of the transportation company's stock worth $957,053,000 after purchasing an additional 1,836,651 shares during the last quarter. Institutional investors and hedge funds own 60.26% of the company's stock.

United Parcel Service Price Performance

United Parcel Service stock opened at $102.73 on Tuesday. United Parcel Service, Inc. has a 12 month low of $82.00 and a 12 month high of $122.41. The stock's 50 day moving average is $108.28 and its 200-day moving average is $106.28. The company has a current ratio of 1.18, a quick ratio of 1.18 and a debt-to-equity ratio of 1.58. The company has a market capitalization of $87.40 billion, a price-to-earnings ratio of 19.09, a PEG ratio of 1.84 and a beta of 1.06.

United Parcel Service (NYSE:UPS - Get Free Report) last announced its earnings results on Tuesday, July 28th. The transportation company reported $1.76 earnings per share for the quarter, topping analysts' consensus estimates of $1.65 by $0.11. The company had revenue of $22.83 billion for the quarter, compared to analyst estimates 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% compared to the same quarter last year. During the same quarter last year, the company earned $1.55 earnings per share. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. Equities research analysts expect that United Parcel Service, Inc. will post 7.22 EPS for the current year.

United Parcel Service Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 3rd. Stockholders of record on Monday, August 17th will be issued a dividend of $1.64 per share. The ex-dividend date of this dividend is Monday, August 17th. This represents a $6.56 dividend on an annualized basis and a dividend yield of 6.4%. United Parcel Service's dividend payout ratio (DPR) is currently 121.93%.

Key Headlines Impacting United Parcel Service

Here are the key news stories impacting United Parcel Service this week:

• Positive Sentiment: UPS disclosed that it is investing more than $2 billion from 2024 through 2028 across its International, Healthcare and Supply Chain Solutions businesses. The spending is intended to improve delivery speed, customer control and supply-chain resilience amid changing trade routes and regulations. UPS is investing $2 billion in international, healthcare and supply chain businesses
• Positive Sentiment: Projects include new logistics hubs in the Philippines, Canada and Hong Kong, expanded international air connections, freight infrastructure and additional healthcare logistics capacity. These investments could strengthen UPS’s position in faster-growing cross-border and specialized-shipping markets. UPS Is Investing Over $2 Billion Across Operations
• Positive Sentiment: The healthcare strategy includes cold-chain capabilities, supporting pharmaceuticals and weight-loss medicines. Investors may view this as an opportunity to capture higher-value, specialized shipments rather than relying solely on traditional package volume. UPS investing $2 billion in international and healthcare logistics
• Positive Sentiment: The announcement reinforces UPS’s network-optimization strategy and signals progress toward improving its business mix, international reach and operational efficiency.
• Neutral Sentiment: UPS eliminated approximately 2 million lower-quality Amazon packages per day. Reducing less-profitable volume may improve margins and capacity, but the lost shipments could also weigh on revenue and leave UPS more dependent on replacing volume with higher-value business. UPS Stopped Carrying 2 Million Amazon Packages a Day
• Negative Sentiment: The multiyear investment program requires substantial capital before its revenue and profit benefits are fully realized, creating execution and return-on-investment risks.
• Negative Sentiment: Analyst commentary warns that UPS’s dividend could remain frozen through 2027. The company’s high yield and concerns about payout growth continue to signal investor uncertainty about cash flow and the pace of recovery. Prediction: UPS Dividend Remains Frozen Through 2027

Analyst Ratings Changes

UPS has been the topic of a number of research analyst reports. Stephens dropped their target price on shares of United Parcel Service from $135.00 to $130.00 and set an "overweight" rating on the stock in a report on Wednesday, July 29th. Citizens Jmp started coverage on United Parcel Service in a report on Wednesday, July 15th. They set a "market perform" rating for the company. BMO Capital Markets increased their price target on 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. Citigroup raised their price target on United Parcel Service from $127.00 to $132.00 and gave the company a "buy" rating in a report on Thursday, July 9th. Finally, Weiss Ratings raised shares of United Parcel Service from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Monday, August 17th. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of "Hold" and an average target price of $117.41.

About United Parcel Service

United Parcel Service NYSE: UPS is a global package delivery and supply chain management company that provides a broad range of transportation, logistics and e-commerce services. Its core business centers on small-package delivery and last-mile distribution for business and individual customers, supported by a network of ground transportation, air cargo operations (UPS Airlines) and sorting facilities. In addition to parcel delivery, UPS offers freight transportation, contract logistics, warehousing, customs brokerage and reverse-logistics solutions designed to support domestic and international commerce.

The company traces its roots to 1907 when it began as a small messenger service in the United States and later evolved into the United Parcel Service.

Want to see what other hedge funds are holding UPS? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for United Parcel Service, Inc. (NYSE:UPS - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source