United Parcel Service, Inc. to Issue Quarterly Dividend of $1.64 (NYSE:UPS)

United Parcel Service, Inc. (NYSE:UPS - Get Free Report) declared a quarterly dividend on Thursday, May 8th, Wall Street Journal reports. Stockholders of record on Monday, May 19th will be paid a dividend of 1.64 per share by the transportation company on Thursday, June 5th. This represents a $6.56 annualized dividend and a dividend yield of 6.48%. The ex-dividend date of this dividend is Monday, May 19th.

United Parcel Service has raised its dividend payment by an average of 16.9% per year over the last three years and has raised its dividend every year for the last 16 years. United Parcel Service has a dividend payout ratio of 82.4% indicating that its dividend is currently covered by earnings, but may not be in the future if the company's earnings decline. Research analysts expect United Parcel Service to earn $8.77 per share next year, which means the company should continue to be able to cover its $6.56 annual dividend with an expected future payout ratio of 74.8%.

United Parcel Service Trading Up 5.5%

Shares of UPS traded up $5.27 during trading hours on Monday, hitting $101.16. 8,330,014 shares of the stock traded hands, compared to its average volume of 5,035,723. The company has a current ratio of 1.17, a quick ratio of 1.14 and a debt-to-equity ratio of 1.16. United Parcel Service has a 1-year low of $90.55 and a 1-year high of $153.42. The firm has a market capitalization of $86.41 billion, a PE ratio of 14.96, a price-to-earnings-growth ratio of 1.55 and a beta of 1.23. The business has a fifty day moving average of $104.28 and a 200-day moving average of $118.70.

United Parcel Service (NYSE:UPS - Get Free Report) last released its earnings results on Tuesday, April 29th. The transportation company reported $1.49 earnings per share for the quarter, beating the consensus estimate of $1.38 by $0.11. United Parcel Service had a return on equity of 39.13% and a net margin of 6.35%. The firm had revenue of $21.50 billion for the quarter, compared to analyst estimates of $21.25 billion. During the same quarter in the prior year, the firm posted $1.43 earnings per share. The company's quarterly revenue was down .9% on a year-over-year basis. Analysts expect that United Parcel Service will post 7.95 EPS for the current year.

Institutional Inflows and Outflows

An institutional investor recently raised its position in United Parcel Service stock. Brighton Jones LLC raised its stake in United Parcel Service, Inc. (NYSE:UPS - Free Report) by 63.8% in the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 12,126 shares of the transportation company's stock after purchasing an additional 4,723 shares during the quarter. Brighton Jones LLC's holdings in United Parcel Service were worth $1,529,000 at the end of the most recent reporting period. 60.26% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on the company. HSBC lowered United Parcel Service from a "buy" rating to a "hold" rating and set a $105.00 target price on the stock. in a research note on Thursday, May 1st. Oppenheimer cut their target price on United Parcel Service from $126.00 to $114.00 and set an "outperform" rating on the stock in a research note on Wednesday, April 30th. Baird R W lowered United Parcel Service from a "strong-buy" rating to a "hold" rating in a research note on Friday, January 31st. Evercore ISI increased their target price on United Parcel Service from $141.00 to $147.00 and gave the company an "in-line" rating in a research note on Wednesday, January 22nd. Finally, BMO Capital Markets dropped their price target on United Parcel Service from $130.00 to $125.00 and set an "outperform" rating on the stock in a research report on Wednesday, April 30th. Two research analysts have rated the stock with a sell rating, thirteen have issued a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, United Parcel Service presently has a consensus rating of "Hold" and a consensus target price of $120.87.

United Parcel Service Company 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.