Stock Traders Purchase Large Volume of United Parcel Service Call Options (NYSE:UPS)

Key Points

• Traders bought 33,857 UPS call options on Wednesday, 40% above the stock’s typical daily call-option volume. UPS shares rose 1.3% to $112.49.
• Analyst views are mixed: MarketBeat reports a consensus “Hold” rating and an average price target of $118.45.
• UPS declared a quarterly dividend of $1.64 per share, equivalent to a 5.8% annualized yield; its reported payout ratio is 126.15%.

United Parcel Service, Inc. (NYSE:UPS - Get Free Report) saw some unusual options trading on Wednesday. Stock traders bought 33,857 call options on the stock. This is an increase of 40% compared to the typical daily volume of 24,154 call options.

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on the company. Wall Street Zen upgraded United Parcel Service from a "hold" rating to a "buy" rating in a report on Saturday, October 31st. Citizens Jmp assumed coverage on shares of United Parcel Service in a research note on Wednesday, July 15th. They set a "market perform" rating on the stock. Stephens reduced 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 research report on Wednesday, July 29th. Oppenheimer upped their target price on shares of United Parcel Service from $117.00 to $119.00 and gave the company an "outperform" rating in a research note on Wednesday, October 28th. Finally, Raymond James Financial raised their price target on shares of United Parcel Service from $127.00 to $131.00 and gave the company a "strong-buy" rating in a report on Wednesday, July 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, eleven have given a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the company presently has a consensus rating of "Hold" and an average price target of $118.45.

Insider Activity at United Parcel Service

In other news, insider Matthew Guffey sold 8,318 shares of the company's stock in a transaction dated Wednesday, October 28th. The stock was sold at an average price of $105.39, for a total value of $876,634.02. Following the completion of the sale, the insider owned 271 shares of the company's stock, valued at $28,560.69. This represents a 96.84% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. 0.19% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On United Parcel Service

A number of institutional investors have recently modified their holdings of UPS. Mayflower Financial Advisors LLC grew its holdings in United Parcel Service by 144.1% in the 3rd quarter. Mayflower Financial Advisors LLC now owns 109,948 shares of the transportation company's stock worth $10,274,000 after buying an additional 64,900 shares in the last quarter. Advisors Asset Management Inc. acquired a new position in shares of United Parcel Service in the 3rd quarter worth approximately $52,713,000. Private Wealth Asset Management LLC raised its holdings in shares of United Parcel Service by 124.3% in the 3rd quarter. Private Wealth Asset Management LLC now owns 7,603 shares of the transportation company's stock worth $710,000 after purchasing an additional 4,214 shares in the last quarter. Private Advisor Group LLC raised its holdings in shares of United Parcel Service by 47.1% in the 3rd quarter. Private Advisor Group LLC now owns 146,116 shares of the transportation company's stock worth $13,653,000 after purchasing an additional 46,774 shares in the last quarter. Finally, Focus Advisor Solutions LLC lifted its stake in United Parcel Service by 4.6% during the third quarter. Focus Advisor Solutions LLC now owns 24,122 shares of the transportation company's stock valued at $2,254,000 after purchasing an additional 1,069 shares during the last quarter. Institutional investors own 60.26% of the company's stock.

United Parcel Service Stock Up 1.3%

UPS traded up $1.44 during trading on Wednesday, hitting $112.49. The company had a trading volume of 1,797,992 shares, compared to its average volume of 5,606,673. The company has a market cap of $95.70 billion, a PE ratio of 21.62, a P/E/G ratio of 1.99 and a beta of 0.98. The business has a 50-day moving average of $100.05 and a 200-day moving average of $104.73. The company has a debt-to-equity ratio of 1.67, a current ratio of 1.24 and a quick ratio of 1.24. United Parcel Service has a 1-year low of $90.84 and a 1-year high of $122.41.

United Parcel Service (NYSE:UPS - Get Free Report) last released its earnings results on Wednesday, November 4th. The transportation company reported $1.69 earnings per share for the quarter. United Parcel Service had a net margin of 4.84% and a return on equity of 37.78%. The company had revenue of $22.85 billion during the quarter. As a group, analysts forecast that United Parcel Service will post 7.28 earnings per share for the current year.

United Parcel Service Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 3rd. Stockholders of record on Monday, November 16th will be issued a $1.64 dividend. The ex-dividend date of this dividend is Monday, November 16th. This represents a $6.56 annualized dividend and a dividend yield of 5.8%. United Parcel Service's payout ratio is 126.15%.

About United Parcel Service

United Parcel Service, Inc. (UPS) is a global package delivery and logistics company. Its services include domestic and international shipping, air and ground delivery, freight forwarding, customs brokerage, and supply chain management. UPS also provides solutions for businesses, including warehousing, inventory management, healthcare logistics, and returns processing. Its network serves customers in more than 200 countries and territories. Founded in Seattle in 1907 as the American Messenger Company, UPS is headquartered in Atlanta, Georgia.

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.