United Parcel Service, Inc. (NYSE:UPS) Shares Sold by Primecap Management Co. CA

Key Points

• Primecap Management Co. CA reduced its stake in United Parcel Service by 17.3%, selling 483,170 shares, and now holds approximately 2.3 million shares valued at about $253.6 million.
• Analysts have lowered their price targets for UPS, with a consensus rating of "Hold" and a price target of $112.81, reflecting a cautious outlook amid fluctuating performance.
• Insider transactions showed significant purchases, with UPS Director and CEO both increasing their holdings, indicating potential confidence in the company's future performance.

Primecap Management Co. CA reduced its stake in United Parcel Service, Inc. (NYSE:UPS - Free Report) by 17.3% during the 1st quarter, according to the company in its most recent filing with the SEC. The fund owned 2,305,591 shares of the transportation company's stock after selling 483,170 shares during the quarter. Primecap Management Co. CA owned 0.27% of United Parcel Service worth $253,592,000 at the end of the most recent reporting period.

Other institutional investors have also recently added to or reduced their stakes in the company. Hemington Wealth Management lifted its holdings in United Parcel Service by 68.9% during the 1st quarter. Hemington Wealth Management now owns 282 shares of the transportation company's stock worth $31,000 after buying an additional 115 shares in the last quarter. Roberts Glore & Co. Inc. IL raised its position in United Parcel Service by 20.6% in the 1st quarter. Roberts Glore & Co. Inc. IL now owns 7,792 shares of the transportation company's stock valued at $857,000 after purchasing an additional 1,329 shares in the last quarter. Nicholas Hoffman & Company LLC. boosted its stake in shares of United Parcel Service by 26.0% in the 1st quarter. Nicholas Hoffman & Company LLC. now owns 20,045 shares of the transportation company's stock valued at $2,205,000 after buying an additional 4,134 shares during the period. WealthShield Partners LLC increased its stake in shares of United Parcel Service by 47.8% during the first quarter. WealthShield Partners LLC now owns 3,951 shares of the transportation company's stock worth $435,000 after buying an additional 1,277 shares during the period. Finally, Vanguard Group Inc. lifted its stake in United Parcel Service by 1.5% in the first quarter. Vanguard Group Inc. now owns 66,136,226 shares of the transportation company's stock worth $7,274,323,000 after acquiring an additional 999,832 shares during the last quarter. Institutional investors and hedge funds own 60.26% of the company's stock.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on UPS. Morgan Stanley decreased their price objective on shares of United Parcel Service from $80.00 to $75.00 and set an "underweight" rating for the company in a research report on Wednesday, July 30th. Truist Financial cut their price objective on shares of United Parcel Service from $130.00 to $120.00 and set a "buy" rating on the stock in a report on Wednesday, July 30th. Argus reduced their price objective on shares of United Parcel Service from $150.00 to $120.00 in a research report on Friday, May 23rd. Jefferies Financial Group dropped their target price on shares of United Parcel Service from $150.00 to $130.00 in a research report on Wednesday, April 30th. Finally, TD Cowen reduced their price target on shares of United Parcel Service from $117.00 to $107.00 in a research report on Wednesday, April 30th. Two analysts have rated the stock with a sell rating, seventeen have given a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, the stock has a consensus rating of "Hold" and an average price target of $112.81.

United Parcel Service Stock Performance

NYSE UPS traded down $0.51 on Wednesday, hitting $86.27. 6,325,788 shares of the company's stock were exchanged, compared to its average volume of 7,847,141. The company has a debt-to-equity ratio of 1.51, a current ratio of 1.32 and a quick ratio of 1.09. The firm's 50-day moving average price is $98.89 and its two-hundred day moving average price is $105.38. United Parcel Service, Inc. has a fifty-two week low of $84.28 and a fifty-two week high of $145.01. The firm has a market cap of $73.06 billion, a price-to-earnings ratio of 12.84, a P/E/G ratio of 1.58 and a beta of 1.12.

United Parcel Service (NYSE:UPS - Get Free Report) last posted its quarterly earnings results on Tuesday, July 29th. The transportation company reported $1.55 earnings per share for the quarter, missing analysts' consensus estimates of $1.56 by ($0.01). United Parcel Service had a net margin of 6.34% and a return on equity of 39.61%. The business had revenue of $21.20 billion during the quarter, compared to analysts' expectations of $20.90 billion. During the same quarter last year, the firm earned $1.79 earnings per share. The firm's quarterly revenue was down 2.7% compared to the same quarter last year. On average, research analysts expect that United Parcel Service, Inc. will post 7.95 EPS for the current year.

United Parcel Service Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Thursday, June 5th. Stockholders of record on Monday, May 19th were paid a dividend of $1.64 per share. The ex-dividend date of this dividend was Monday, May 19th. This represents a $6.56 dividend on an annualized basis and a dividend yield of 7.6%. United Parcel Service's dividend payout ratio is 97.62%.

Insiders Place Their Bets

In related news, Director William R. Johnson purchased 5,000 shares of the business's stock in a transaction dated Thursday, July 31st. The stock was acquired at an average price of $86.50 per share, for a total transaction of $432,500.00. Following the acquisition, the director directly owned 10,160 shares of the company's stock, valued at $878,840. This trade represents a 96.90% increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CEO Carol B. Tome acquired 11,682 shares of the firm's stock in a transaction that occurred on Friday, August 1st. The shares were bought at an average cost of $85.67 per share, for a total transaction of $1,000,796.94. Following the acquisition, the chief executive officer owned 24,718 shares of the company's stock, valued at $2,117,591.06. This represents a 89.61% increase in their position. The disclosure for this purchase can be found here. Corporate insiders own 0.13% of the company's stock.

United Parcel Service Profile

United Parcel Service, Inc, a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States.