United Parcel Service (NYSE:UPS) Shares Down 1.3% - Here's What Happened

Key Points

• Shares slipped 1.3% to about $92.95 on Tuesday with ~6.34M shares traded (8% below average); Wall Street consensus is a Hold with a $110 average target, though analyst opinions range from Strong Buy to Underweight.
• UPS beat Q3 estimates with $1.74 EPS vs. $1.31 expected and $21.42B in revenue vs. $20.94B expected, but revenue was down 3.7% year‑over‑year.
• The company declared a quarterly dividend of $1.64 (annualized $6.56) for a ~7.1% yield, while the dividend payout ratio stands above 100% (101.39%), highlighting a potentially unsustainable payout level relative to earnings.

United Parcel Service, Inc. (NYSE:UPS - Get Free Report) shares traded down 1.3% during trading on Tuesday . The stock traded as low as $92.07 and last traded at $92.9450. 6,341,657 shares changed hands during mid-day trading, a decline of 8% from the average session volume of 6,897,048 shares. The stock had previously closed at $94.19.

Wall Street Analyst Weigh In

Several equities research analysts have recently issued reports on UPS shares. Stifel Nicolaus lowered their price objective on United Parcel Service from $120.00 to $109.00 and set a "buy" rating for the company in a research note on Tuesday, October 28th. Susquehanna increased their price target on United Parcel Service from $100.00 to $105.00 and gave the company a "neutral" rating in a report on Wednesday, October 29th. Vertical Research reaffirmed a "hold" rating and set a $103.00 price objective on shares of United Parcel Service in a research note on Wednesday, July 30th. Stephens upgraded shares of United Parcel Service to a "hold" rating in a research report on Wednesday, October 29th. Finally, Barclays reduced their target price on shares of United Parcel Service from $90.00 to $80.00 and set an "underweight" rating on the stock in a research note on Thursday, July 31st. One equities research analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, sixteen have issued a Hold rating and four have issued a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has an average rating of "Hold" and a consensus target price of $110.00.

United Parcel Service Trading Down 1.3%

The company has a debt-to-equity ratio of 1.50, a quick ratio of 1.32 and a current ratio of 1.30. The company has a market capitalization of $78.78 billion, a P/E ratio of 14.37, a PEG ratio of 2.29 and a beta of 1.11. The company's fifty day simple moving average is $88.11 and its 200-day simple moving average is $92.86.

United Parcel Service (NYSE:UPS - Get Free Report) last posted its earnings results on Tuesday, October 28th. The transportation company reported $1.74 earnings per share for the quarter, topping analysts' consensus estimates of $1.31 by $0.43. The company had revenue of $21.42 billion during the quarter, compared to analyst estimates of $20.94 billion. United Parcel Service had a return on equity of 40.07% and a net margin of 6.15%.United Parcel Service's revenue was down 3.7% on a year-over-year basis. During the same quarter in the prior year, the business earned $1.76 earnings per share. United Parcel Service has set its Q4 2025 guidance at EPS. Research analysts predict that United Parcel Service, Inc. will post 7.95 earnings per share for the current year.

United Parcel Service Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 4th. Shareholders of record on Monday, November 17th will be paid a $1.64 dividend. The ex-dividend date is Monday, November 17th. This represents a $6.56 dividend on an annualized basis and a yield of 7.1%. United Parcel Service's dividend payout ratio (DPR) is 101.39%.

Insider Buying and Selling

In related news, Director Christiana Smith Shi acquired 500 shares of the stock in a transaction dated Friday, August 22nd. The stock was acquired at an average cost of $88.17 per share, for a total transaction of $44,085.00. Following the completion of the purchase, the director owned 500 shares of the company's stock, valued at approximately $44,085. This represents a ∞ increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.13% of the stock is owned by company insiders.

Institutional Trading of United Parcel Service

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Evelyn Partners Investment Management Europe Ltd lifted its holdings in shares of United Parcel Service by 110.1% in the 2nd quarter. Evelyn Partners Investment Management Europe Ltd now owns 250 shares of the transportation company's stock valued at $25,000 after buying an additional 131 shares during the period. Mid American Wealth Advisory Group Inc. purchased a new position in United Parcel Service during the second quarter valued at approximately $26,000. Hemington Wealth Management lifted its holdings in United Parcel Service by 68.9% in the first quarter. Hemington Wealth Management now owns 282 shares of the transportation company's stock valued at $31,000 after acquiring an additional 115 shares during the period. Saudi Central Bank purchased a new stake in United Parcel Service in the 1st quarter worth approximately $32,000. Finally, Flaharty Asset Management LLC purchased a new stake in United Parcel Service in the 1st quarter worth approximately $33,000. Institutional investors and hedge funds own 60.26% of the company's stock.

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.

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