United Parcel Service (NYSE:UPS) Stock Price Up 1.5% - What's Next?

Key Points

• The stock price of United Parcel Service (UPS) increased by 1.5% during mid-day trading, reaching $85.65 after a prior close at $84.38.
• Analyst ratings for UPS have seen significant changes, with target prices being lowered by firms such as Evercore ISI and BMO Capital Markets, reflecting a cautious outlook on the stock.
• UPS reported a quarterly EPS of $1.55, missing estimates, with revenues also down 2.7% compared to the previous year, highlighting ongoing challenges in the market.

United Parcel Service, Inc. (NYSE:UPS - Get Free Report) rose 1.5% during mid-day trading on Thursday . The stock traded as high as $87.11 and last traded at $85.65. Approximately 9,793,168 shares traded hands during mid-day trading, an increase of 45% from the average daily volume of 6,764,068 shares. The stock had previously closed at $84.38.

Analyst Ratings Changes

UPS has been the topic of several recent research reports. Evercore ISI cut their price target on United Parcel Service from $103.00 to $97.00 and set an "in-line" rating on the stock in a report on Wednesday, July 30th. BMO Capital Markets reissued a "market perform" rating and issued a $96.00 price target (down previously from $125.00) on shares of United Parcel Service in a report on Friday, September 19th. Wall Street Zen cut United Parcel Service from a "hold" rating to a "sell" rating in a research report on Saturday, September 20th. Truist Financial lowered their target price on United Parcel Service from $130.00 to $120.00 and set a "buy" rating on the stock in a research report on Wednesday, July 30th. Finally, Susquehanna lowered their target price on United Parcel Service from $110.00 to $100.00 and set a "neutral" rating on the stock in a research report on Wednesday, July 30th. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, fifteen have issued a Hold rating and three have assigned a Sell rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Hold" and an average target price of $110.41.

United Parcel Service Trading Up 1.5%

The firm has a market capitalization of $72.60 billion, a P/E ratio of 12.75, a price-to-earnings-growth ratio of 1.54 and a beta of 1.10. 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 firm has a 50 day moving average price of $86.88 and a two-hundred day moving average price of $95.92.

United Parcel Service (NYSE:UPS - Get Free Report) last issued 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). The business had revenue of $21.20 billion during the quarter, compared to analyst estimates of $20.90 billion. United Parcel Service had a return on equity of 39.61% and a net margin of 6.34%.The business's quarterly revenue was down 2.7% on a year-over-year basis. During the same period last year, the business earned $1.79 EPS. On average, equities research analysts expect that United Parcel Service, Inc. will post 7.95 EPS for the current fiscal year.

United Parcel Service Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Monday, August 18th were paid a $1.64 dividend. The ex-dividend date was Monday, August 18th. This represents a $6.56 dividend on an annualized basis and a dividend yield of 7.7%. United Parcel Service's payout ratio is presently 97.62%.

Insider Activity at United Parcel Service

In other news, Director William R. Johnson acquired 5,000 shares of United Parcel Service stock in a transaction on Thursday, July 31st. The shares were purchased at an average price of $86.50 per share, with a total value of $432,500.00. Following the acquisition, the director owned 10,160 shares in the company, valued at $878,840. This represents a 96.90% increase in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, CEO Carol B. Tome bought 11,682 shares of the company's stock in a transaction on Friday, August 1st. The shares were acquired at an average price of $85.67 per share, with a total value of $1,000,796.94. Following the transaction, the chief executive officer directly owned 24,718 shares in the company, valued at approximately $2,117,591.06. The trade was a 89.61% increase in their position. The disclosure for this purchase can be found here. Insiders have bought 17,182 shares of company stock worth $1,477,382 over the last three months. Company insiders own 0.13% of the company's stock.

Institutional Trading of United Parcel Service

Large investors have recently made changes to their positions in the company. Park National Corp OH increased its holdings in United Parcel Service by 54.9% during the 3rd quarter. Park National Corp OH now owns 15,526 shares of the transportation company's stock worth $1,297,000 after purchasing an additional 5,501 shares in the last quarter. Cacti Asset Management LLC increased its holdings in United Parcel Service by 0.6% during the 3rd quarter. Cacti Asset Management LLC now owns 370,070 shares of the transportation company's stock worth $30,982,000 after purchasing an additional 2,102 shares in the last quarter. Cullen Capital Management LLC increased its holdings in United Parcel Service by 9.3% during the 2nd quarter. Cullen Capital Management LLC now owns 1,323,656 shares of the transportation company's stock worth $133,610,000 after purchasing an additional 112,642 shares in the last quarter. CacheTech Inc. bought a new position in United Parcel Service during the 2nd quarter worth about $389,000. Finally, Adams Wealth Management bought a new position in United Parcel Service during the 2nd quarter worth about $389,000. Institutional investors own 60.26% 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.

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