Resona Asset Management Co. Ltd. Increases Holdings in United Parcel Service, Inc. (NYSE:UPS)

Key Points

• Resona Asset Management Co. Ltd. increased its stake in United Parcel Service, Inc. by 8.0%, acquiring an additional 17,540 shares, bringing its total holdings to $25,979,000.
• United Parcel Service recently reported Q2 earnings of $1.55 EPS, missing estimates by $0.01, while revenue was $21.20 billion, surpassing projections.
• The company announced a quarterly dividend of $1.64 per share, with a payout ratio of 97.62% and a dividend yield of 7.5%.

Resona Asset Management Co. Ltd. grew its position in United Parcel Service, Inc. (NYSE:UPS - Free Report) by 8.0% during the 1st quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 236,306 shares of the transportation company's stock after acquiring an additional 17,540 shares during the quarter. Resona Asset Management Co. Ltd.'s holdings in United Parcel Service were worth $25,979,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also made changes to their positions in the company. Goldman Sachs Group Inc. increased its holdings in shares of United Parcel Service by 124.0% in the first quarter. Goldman Sachs Group Inc. now owns 9,011,107 shares of the transportation company's stock valued at $991,132,000 after purchasing an additional 4,988,044 shares during the last quarter. Pacer Advisors Inc. increased its holdings in shares of United Parcel Service by 1,056.6% in the first quarter. Pacer Advisors Inc. now owns 4,336,175 shares of the transportation company's stock valued at $476,936,000 after purchasing an additional 3,961,255 shares during the last quarter. Nuveen LLC acquired a new stake in shares of United Parcel Service in the first quarter valued at approximately $201,358,000. Charles Schwab Investment Management Inc. increased its holdings in shares of United Parcel Service by 7.7% in the first quarter. Charles Schwab Investment Management Inc. now owns 25,045,472 shares of the transportation company's stock valued at $2,754,751,000 after purchasing an additional 1,780,807 shares during the last quarter. Finally, Castlekeep Investment Advisors LLC acquired a new stake in shares of United Parcel Service in the fourth quarter valued at approximately $145,846,000. Hedge funds and other institutional investors own 60.26% of the company's stock.

Analyst Upgrades and Downgrades

Several equities research analysts recently commented on UPS shares. JPMorgan Chase & Co. cut their price target on United Parcel Service from $110.00 to $107.00 and set a "neutral" rating for the company in a report on Tuesday, July 8th. Argus reduced their target price on United Parcel Service from $150.00 to $120.00 in a research report on Friday, May 23rd. Stephens reduced their target price on United Parcel Service from $110.00 to $101.00 in a research report on Wednesday, April 30th. Jefferies Financial Group reduced their target price on United Parcel Service from $150.00 to $130.00 in a research report on Wednesday, April 30th. Finally, Barclays reduced their target price on United Parcel Service from $90.00 to $80.00 and set an "underweight" rating on the stock in a research report on Thursday, July 31st. Two investment analysts have rated the stock with a sell rating, seventeen have given a hold rating, eleven have issued a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the company presently has an average rating of "Hold" and a consensus price target of $112.81.

United Parcel Service Trading Up 0.8%

Shares of NYSE UPS traded up $0.74 during trading on Wednesday, reaching $88.17. The stock had a trading volume of 13,583,232 shares, compared to its average volume of 8,590,222. United Parcel Service, Inc. has a fifty-two week low of $84.28 and a fifty-two week high of $145.01. The company has a market cap of $74.66 billion, a P/E ratio of 13.12, a PEG ratio of 1.59 and a beta of 1.12. The company has a debt-to-equity ratio of 1.51, a quick ratio of 1.32 and a current ratio of 1.32. The business's 50-day moving average price is $97.59 and its 200-day moving average price is $103.68.

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

United Parcel Service Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Monday, August 18th will be paid a dividend of $1.64 per share. This represents a $6.56 annualized dividend and a yield of 7.4%. The ex-dividend date of this dividend is Monday, August 18th. United Parcel Service's payout ratio is presently 97.62%.

Insider Buying and Selling at United Parcel Service

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

About United Parcel Service

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.