NYSE:UPS

United Parcel Service (UPS) Stock Forecast, Price & News

$151.91

-2.40 (-1.56%)

(As of 09/26/2023 ET)

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Today's Range: $151.80
▼
$154.01
50-Day Range: $151.91
▼
$188.37
52-Week Range: $151.80
▼
$197.80

Volume: 3.46 million shs
Average Volume: 3.33 million shs
Market Capitalization: $129.80 billion

P/E Ratio: 13.18
Dividend Yield: 4.27%
Price Target: $186.89

United Parcel Service MarketRank™ Forecast

Analyst Rating: Hold
2.27 Rating Score
Upside/Downside: 23.0% Upside
$186.89 Price Target
Short Interest: Healthy
1.23% of Float Sold Short
Dividend Strength: Strong
Based on Four Factors
Sustainability: -4.52
Upright™ Environmental Score
News Sentiment: 1.16
Based on 26 Articles This Week
Insider Trading: Selling Shares
$3.92 M Sold Last Quarter
Proj. Earnings Growth: 8.14%
From $9.46 to $10.23 Per Share

Overall MarketRank^™

MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation.

2.97 out of 5 stars

Transportation Sector

11th out of 112 stocks

Trucking & Courier Services, Except Air Industry

1st out of 3 stocks

3.1

Analyst's Opinion

Consensus Rating
United Parcel Service has received a consensus rating of Hold. The company's average rating score is 2.27, and is based on 8 buy ratings, 14 hold ratings, and 3 sell ratings.
Price Target Upside/Downside
According to analysts' consensus price target of $186.89, United Parcel Service has a forecasted upside of 23.0% from its current price of $151.91.
Amount of Analyst Coverage
United Parcel Service has been the subject of 12 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

5.0

Short Interest

Percentage of Shares Shorted
1.23% of the float of United Parcel Service has been sold short.
Short Interest Ratio / Days to Cover
United Parcel Service has a short interest ratio ("days to cover") of 2.5, which is generally considered an acceptable ratio of short interest to trading volume.
Change versus previous month
Short interest in United Parcel Service has recently decreased by 10.93%, indicating that investor sentiment is improving significantly.

5.0

Dividend Strength

Dividend Leadership
United Parcel Service is a leading dividend payer. It pays a dividend yield of 4.20%, putting its dividend yield in the top 25% of dividend-paying stocks.
Dividend Growth
United Parcel Service has been increasing its dividend for 14 years.
Dividend Coverage
The dividend payout ratio of United Parcel Service is 56.20%. This payout ratio is at a healthy, sustainable level, below 75%.
Dividend Sustainability
Based on earnings estimates, United Parcel Service will have a dividend payout ratio of 63.34% next year. This indicates that United Parcel Service will be able to sustain or increase its dividend.

1.4

Sustainability and ESG

Overall ESG (Environmental, Social, and Governance) Score
United Parcel Service has received a -29.04% net impact score from Upright. The largest negative impact of United Parcel Service in category "GHG emissions" seems to be driven mostly by its "Air freight transport services", "Less than truckload freight transport services", and "Last mile freight delivery services" products. See details.
Environmental Sustainability
The Environmental Impact score for United Parcel Service is -4.52.

3.4

News and Social Media Coverage

News Sentiment
United Parcel Service has a news sentiment score of 1.16. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.78 average news sentiment score of Transportation companies.
News Coverage This Week
MarketBeat has tracked 26 news articles for United Parcel Service this week, compared to 12 articles on an average week.
Search Interest
Only 88 people have searched for UPS on MarketBeat in the last 30 days. This is a decrease of -11% compared to the previous 30 days.
MarketBeat Follows
61 people have added United Parcel Service to their MarketBeat watchlist in the last 30 days. This is an increase of 74% compared to the previous 30 days.

1.7

Company Ownership

Insider Buying vs. Insider Selling
In the past three months, United Parcel Service insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $3,919,052.00 in company stock.
Percentage Held by Insiders
Only 0.12% of the stock of United Parcel Service is held by insiders.
Percentage Held by Institutions
58.45% of the stock of United Parcel Service is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

1.9

Earnings and Valuation

Earnings Growth
Earnings for United Parcel Service are expected to grow by 8.14% in the coming year, from $9.46 to $10.23 per share.
Price to Earnings Ratio vs. the Market
The P/E ratio of United Parcel Service is 13.18, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 125.63.
Price to Earnings Ratio vs. Sector
The P/E ratio of United Parcel Service is 13.18, which means that it is trading at a more expensive P/E ratio than the Transportation sector average P/E ratio of about 11.87.
Price to Earnings Growth Ratio
United Parcel Service has a PEG Ratio of 1.63. PEG Ratios above 1 indicate that a company could be overvalued.
Price to Book Value per Share Ratio
United Parcel Service has a P/B Ratio of 6.59. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

See Top Rated MarketRank™ Stocks Here

About United Parcel Service (NYSE:UPS) Stock

United Parcel Service, Inc. is a global package delivery and logistics company headquartered in Atlanta, Georgia. The company was founded in 1907 and has since become a significant player in the logistics industry. UPS operates in more than 220 countries and territories, with a network of over 500,000 employees worldwide.

UPS's primary business is package delivery, but the company also provides supply chain solutions and specialized transportation services. In recent years, UPS has expanded into e-commerce, offering services like same-day delivery and order fulfillment for online retailers. In addition to its delivery services, UPS also operates a freight division that provides air and ground transportation for commercial shipments.

UPS has been recognized for its commitment to sustainability, with initiatives such as alternative fuel vehicles and a carbon offset program for shipping. Fortune magazine has also named the company one of the World's Most Admired Companies for several years.

UPS is led by CEO Carol Tomé, who joined the company in 1995 and became CEO in 2020. Tomé has extensive finance experience and served as The Home Depot's CFO before joining UPS. In addition to Tomé, UPS's executive team includes Executive Vice President and President of U.S. operations, Nando Cesarone, Chief Marketing and Customer Experience Officer Kevin Warren, and Chief Financial Officer Brian Newman.

UPS has reported stable revenue over the past several years. UPS's profit margins have remained steady, with an average gross profit margin of 56.4% and an operating margin of approximately 9.3%. UPS has a strong balance sheet, with total assets of $69.4 billion and total liabilities of $43.4 billion as of the end of 2022.

The company's debt-to-equity ratio is higher than the industry average but within a reasonable range. UPS's valuation metrics are generally in line with industry peers, and overall, UPS's valuation suggests that the market views the company as fairly valued. UPS's stock performance has been robust in recent years, with the company's share price increasing by 33% from 2020 to 2022. This outperformed the S&P 500 index, which increased by 26% over the same period. Trading volume for UPS has been relatively stable, with an average daily volume of around 2.83 million shares.

The logistics industry is highly competitive, with several large players vying for market share. In addition to traditional competitors such as FedEx and DHL, UPS competes with newer players in the e-commerce space, such as Amazon and Shopify. The industry is also subject to regulatory and political pressures, such as changes in trade policies and labor regulations.

Despite these challenges, the logistics industry is expected to grow in the coming years. E-commerce, in particular, is driving demand for package delivery and supply chain solutions, and UPS is well-positioned to benefit from this trend.

UPS has several potential growth opportunities in the coming years. The company's expansion into e-commerce has been a significant growth driver, and this trend is expected to continue. UPS's recent acquisition of Roadie, a same-day delivery platform, could also help the company capture more business in the rapidly growing same-day delivery market.

In addition to e-commerce, UPS is investing in technology to improve its operations and customer experience. The company is testing drone delivery in specific markets and has developed digital tools to help customers manage their shipments.

UPS has also announced plans to expand its presence in healthcare logistics. The company has already invested in specialized facilities and services for pharmaceutical and medical device manufacturers, and this market is expected to continue growing in the coming years.

UPS faces risks and challenges like any company that could impact its future performance. One critical risk is the potential for increased competition, particularly from newer entrants in the e-commerce space. These companies may have lower overhead costs and more agile business models, making it more difficult for UPS to compete on price and speed.

Another risk for UPS is the potential for regulatory or political changes that could impact the logistics industry. Changes in trade policies or labor regulations could increase costs for the company or limit its ability to operate in certain markets.

UPS Price History

30 days | 90 days | 365 days | Advanced Chart

UPS Stock News Headlines

September 19, 2023 | marketbeat.com

Nikola's Stock Could Double in Price Within Weeks (UPS)

NKLA stock is in the middle of a solid turnaround; the stock is up double-digits and could post additional triple-digit growth

September 8, 2023 | marketbeat.com

3 Stocks to Play the Easing Food Supply Chain (UPS)

Supply chains in the United States are coming back to normal levels, enabling profit expansion trends to take over the industry and these three stocks.

September 27, 2023 | Edge On The Street (Ad)

Is Gold Really Boring?

Many investors perceive gold as a "boring" investment. But according to MoneyWeek, that's a good thing. Gold helps investors sleep soundly as it preserves wealth and creates a hedge against inflation. Today, there's a unique way to invest in gold, with real advantages over coins and mining stocks.

August 29, 2023 | marketbeat.com

What is the Dividend Capture Strategy? How to Use it (UPS)

What is the dividend capture strategy? You can buy a stock before the ex-dividend date to earn the dividend and sell it on or after the ex-dividend date.

September 26, 2023 | finance.yahoo.com

UPS plans to hire 100K seasonal workers for peak

September 26, 2023 | finance.yahoo.com

UPS Recruits 100,000 Seasonal Workers For The 2023 Holiday Season

September 25, 2023 | finance.yahoo.com

UPS Has a Clear Path to Growth

September 25, 2023 | finance.yahoo.com

UPS Has a Clear Path to Grow

September 27, 2023 | Wall Street Fundamentals (Ad)

The "Plug and Play" Model Putting Online Giants to Shame

While e-commerce has been undergoing a turbulent time, a "simple" model has grown 4X faster than Amazon over the last 3 years. Applying this model to high-margin, recession-resistant businesses has shown to be profitable. But that's just the beginning of explaining the 400+% growth - and potential - of this "diamond in the rough."

September 25, 2023 | finance.yahoo.com

Beyond Market Price: Uncovering United Parcel Service Inc's Intrinsic Value

September 24, 2023 | finance.yahoo.com

Own UPS Stock? It Will Get Worse Before It Gets Better.

September 24, 2023 | finance.yahoo.com

Calculating The Intrinsic Value Of United Parcel Service, Inc. (NYSE:UPS)

September 24, 2023 | americanbankingnews.com

United Parcel Service (NYSE:UPS) Hits New 1-Year Low at $154.83

September 22, 2023 | ca.finance.yahoo.com

US employment commission sues UPS, alleging discrimination against deaf driver candidates

September 22, 2023 | finance.yahoo.com

UPDATE 1-US employment commission sues UPS, alleging discrimination against deaf driver candidates

September 22, 2023 | finance.yahoo.com

UAW, Hollywood strikes: Workers 'taking inspiration from each other,' SEIU president says

September 22, 2023 | finance.yahoo.com

United Parcel Service (UPS) Stock Moves -1.4%: What You Should Know

September 21, 2023 | finance.yahoo.com

Unlocking Intrinsic Value: A Deep Dive into United Parcel Service Inc