What is Zacks Research's Estimate for UPS FY2026 Earnings?

Key Points

• Zacks Research lowered its FY2026 EPS estimate for UPS to $7.16 from $7.20, slightly below the current consensus estimate of $7.10 per share.
• The firm also cut longer-term earnings forecasts, including FY2027 EPS to $7.37 and FY2028 EPS to $7.44, suggesting a more cautious outlook for future growth.
• UPS recently beat quarterly expectations, reporting $1.07 EPS on revenue of $21.20 billion, even as revenue declined 1.4% year over year.

United Parcel Service, Inc. (NYSE:UPS - Free Report) - Equities researchers at Zacks Research dropped their FY2026 EPS estimates for United Parcel Service in a research note issued on Tuesday, May 12th. Zacks Research analyst Team now forecasts that the transportation company will earn $7.16 per share for the year, down from their previous estimate of $7.20. The consensus estimate for United Parcel Service's current full-year earnings is $7.10 per share. Zacks Research also issued estimates for United Parcel Service's Q4 2026 earnings at $2.67 EPS, Q3 2027 earnings at $1.69 EPS, Q4 2027 earnings at $3.08 EPS, FY2027 earnings at $7.37 EPS and FY2028 earnings at $7.44 EPS.

United Parcel Service (NYSE:UPS - Get Free Report) last issued its earnings results on Tuesday, April 28th. The transportation company reported $1.07 EPS for the quarter, beating the consensus estimate of $1.02 by $0.05. United Parcel Service had a return on equity of 35.95% and a net margin of 5.94%.The business had revenue of $21.20 billion for the quarter, compared to the consensus estimate of $20.99 billion. During the same period last year, the business posted $1.49 EPS. The company's revenue was down 1.4% compared to the same quarter last year.

Other equities analysts have also recently issued research reports about the stock. UBS Group lowered their target price on shares of United Parcel Service from $125.00 to $123.00 and set a "buy" rating on the stock in a research note on Wednesday, April 29th. Weiss Ratings cut shares of United Parcel Service from a "hold (c)" rating to a "sell (d+)" rating in a report on Friday, May 8th. HSBC upgraded shares of United Parcel Service from a "hold" rating to a "buy" rating in a research report on Wednesday, January 28th. Susquehanna raised their target price on shares of United Parcel Service from $116.00 to $118.00 and gave the stock a "neutral" rating in a report on Wednesday, April 29th. Finally, TD Cowen boosted their target price on shares of United Parcel Service from $101.00 to $115.00 and gave the company a "hold" rating in a research note on Wednesday, January 28th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, eleven have issued a Hold rating and four have assigned a Sell rating to the stock. According to MarketBeat.com, United Parcel Service has an average rating of "Hold" and an average price target of $111.87.

United Parcel Service Trading Up 0.0%

United Parcel Service stock opened at $98.46 on Thursday. United Parcel Service has a one year low of $82.00 and a one year high of $122.41. The business's fifty day moving average is $101.21 and its 200 day moving average is $102.56. The stock has a market capitalization of $83.60 billion, a PE ratio of 15.93, a price-to-earnings-growth ratio of 1.57 and a beta of 1.06. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.21 and a quick ratio of 1.21.

United Parcel Service Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, June 4th. Stockholders of record on Monday, May 18th will be paid a $1.64 dividend. This represents a $6.56 annualized dividend and a dividend yield of 6.7%. The ex-dividend date is Monday, May 18th. United Parcel Service's dividend payout ratio is 106.15%.

Institutional Trading of United Parcel Service

Several large investors have recently added to or reduced their stakes in the business. Dickmeyer Boyce Financial Management Inc. bought a new stake in United Parcel Service during the first quarter valued at about $416,000. Gibbs Wealth Management grew its stake in shares of United Parcel Service by 79.0% during the 1st quarter. Gibbs Wealth Management now owns 6,667 shares of the transportation company's stock valued at $656,000 after acquiring an additional 2,943 shares during the period. Sei Investments Co. grew its stake in shares of United Parcel Service by 26.3% during the 1st quarter. Sei Investments Co. now owns 422,499 shares of the transportation company's stock valued at $41,568,000 after acquiring an additional 87,985 shares during the period. State of Wyoming increased its holdings in United Parcel Service by 29.2% in the 1st quarter. State of Wyoming now owns 5,563 shares of the transportation company's stock worth $547,000 after acquiring an additional 1,256 shares in the last quarter. Finally, Cetera Investment Advisers raised its stake in United Parcel Service by 7.1% during the 1st quarter. Cetera Investment Advisers now owns 546,677 shares of the transportation company's stock worth $53,782,000 after acquiring an additional 36,211 shares during the period. 60.26% of the stock is currently owned by institutional investors.

Key Stories Impacting United Parcel Service

Here are the key news stories impacting United Parcel Service this week:

• Positive Sentiment: Zacks Research raised its estimates for several near-term quarters, including Q2 2026, Q3 2026, Q1 2027, and Q2 2027, which suggests some improving earnings expectations in the nearer term.
• Neutral Sentiment: UPS continues to screen as a relatively inexpensive stock, with recent commentary noting a low forward P/E versus the broader sector, which may help attract value-focused investors. United Parcel Service (UPS) Among the Best Undervalued Stocks to Buy Under $100.
• Neutral Sentiment: Jim Cramer commented on UPS in a broader market discussion, but the remarks were more opinion-based than a direct catalyst for the stock. Jim Cramer on United Parcel: “I Don’t Buy Stocks for Yield. I Buy Stocks for Growth”
• Negative Sentiment: Zacks Research cut FY2026 EPS to $7.16 from $7.20, adding to concerns that earnings momentum may be slowing.
• Negative Sentiment: The firm also lowered Q4 2026 EPS to $2.67 from $2.91, Q3 2027 EPS to $1.69 from $1.72, Q4 2027 EPS to $3.08 from $3.29, FY2027 EPS to $7.37 from $7.56, and FY2028 EPS to $7.44 from $7.77, signaling a more cautious long-term outlook.

About United Parcel Service

United Parcel Service NYSE: UPS is a global package delivery and supply chain management company that provides a broad range of transportation, logistics and e-commerce services. Its core business centers on small-package delivery and last-mile distribution for business and individual customers, supported by a network of ground transportation, air cargo operations (UPS Airlines) and sorting facilities. In addition to parcel delivery, UPS offers freight transportation, contract logistics, warehousing, customs brokerage and reverse-logistics solutions designed to support domestic and international commerce.

The company traces its roots to 1907 when it began as a small messenger service in the United States and later evolved into the United Parcel Service.

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