United Parcel Service (NYSE:UPS) Trading Down 1.4% - Time to Sell?

Key Points

• United Parcel Service's stock price has decreased by 1.4%, trading at $86.65, with a significant drop in share volume compared to average sessions.
• Analysts have adjusted their ratings, with a consensus of "Hold" and a target price of $112.81; however, one strong buy and two sell ratings were also noted.
• The company reported earnings of $1.55 per share for the last quarter, slightly missing analysts' estimates, while also announcing a quarterly dividend of $1.64 per share.

United Parcel Service, Inc. (NYSE:UPS - Get Free Report)'s stock price traded down 1.4% during trading on Thursday . The company traded as low as $86.62 and last traded at $86.65. 2,584,871 shares traded hands during trading, a decline of 60% from the average session volume of 6,443,294 shares. The stock had previously closed at $87.86.

Wall Street Analyst Weigh In

A number of equities analysts recently commented on the stock. Wall Street Zen lowered shares of United Parcel Service from a "buy" rating to a "hold" rating in a research report on Wednesday, May 7th. Loop Capital lowered their price target on shares of United Parcel Service from $115.00 to $105.00 and set a "hold" rating on the stock in a research report on Wednesday, April 30th. BNP Paribas raised shares of United Parcel Service to a "hold" rating in a research report on Thursday, July 3rd. UBS Group lowered their price target on shares of United Parcel Service from $124.00 to $118.00 and set a "buy" rating on the stock in a research report on Wednesday, July 30th. Finally, Bank of America reaffirmed a "neutral" rating and set a $98.00 price target on shares of United Parcel Service in a research report on Tuesday, July 29th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, fifteen have given a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, United Parcel Service presently has a consensus rating of "Hold" and a consensus target price of $112.81.

United Parcel Service Trading Down 1.3%

The business's 50 day moving average price is $95.15 and its two-hundred day moving average price is $101.48. The company has a current ratio of 1.32, a quick ratio of 1.32 and a debt-to-equity ratio of 1.51. The company has a market capitalization of $73.51 billion, a price-to-earnings ratio of 12.90, a P/E/G ratio of 1.61 and a beta of 1.12.

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

United Parcel Service Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 4th. Investors of record on Monday, August 18th will be given a dividend of $1.64 per share. The ex-dividend date is Monday, August 18th. This represents a $6.56 annualized dividend and a yield of 7.6%. United Parcel Service's dividend payout ratio (DPR) is currently 97.62%.

Insider Buying and Selling

In other United Parcel Service news, CEO Carol B. Tome bought 11,682 shares of the business's stock in a transaction that occurred on Friday, August 1st. The shares were acquired at an average cost of $85.67 per share, for a total transaction 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. This represents a 89.61% increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director William R. Johnson bought 5,000 shares of the business's stock in a transaction that occurred on Thursday, July 31st. The shares were acquired at an average price of $86.50 per share, for a total transaction of $432,500.00. Following the completion of the transaction, the director owned 10,160 shares in the company, valued at $878,840. This trade represents a 96.90% increase in their ownership of the stock. The disclosure for this purchase can be found here. Insiders have acquired a total of 17,182 shares of company stock worth $1,477,382 in the last ninety days. Company insiders own 0.13% of the company's stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently modified their holdings of the company. Evelyn Partners Investment Management Europe Ltd lifted its position 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 worth $25,000 after purchasing an additional 131 shares during the period. Graybill Wealth Management LTD. acquired a new position in shares of United Parcel Service in the 1st quarter worth approximately $26,000. Mid American Wealth Advisory Group Inc. acquired a new position in shares of United Parcel Service in the 2nd quarter worth approximately $26,000. Pinney & Scofield Inc. acquired a new position in shares of United Parcel Service in the 4th quarter worth approximately $27,000. Finally, Citizens National Bank Trust Department increased its stake in shares of United Parcel Service by 525.0% in the 1st quarter. Citizens National Bank Trust Department now owns 250 shares of the transportation company's stock valued at $27,000 after acquiring an additional 210 shares in the last quarter. 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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