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

$146.61
-2.26 (-1.52%)
(As of 04/24/2024 ET)
Today's Range
$143.78
$147.93
50-Day Range
$142.25
$157.38
52-Week Range
$133.68
$192.98
Volume
5.28 million shs
Average Volume
4.36 million shs
Market Capitalization
$125.01 billion
P/E Ratio
18.82
Dividend Yield
4.45%
Price Target
$165.61

United Parcel Service MarketRank™ Stock Analysis

Analyst Rating
Hold
2.33 Rating Score
Upside/​Downside
13.3% Upside
$166.09 Price Target
Short Interest
Healthy
1.22% of Shares Sold Short
Dividend Strength
Strong
Based on Four Factors
Sustainability
-4.52
Upright™ Environmental Score
News Sentiment
0.73mentions of United Parcel Service in the last 14 days
Based on 55 Articles This Week
Insider Trading
Acquiring Shares
$199,220 Bought Last Quarter
Proj. Earnings Growth
16.71%
From $8.20 to $9.57 Per Share

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

4.97 out of 5 stars

Transportation Sector

2nd out of 111 stocks

Trucking & Courier Services, Except Air Industry

1st out of 3 stocks

UPS stock logo

About United Parcel Service Stock (NYSE:UPS)

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 Stock Price History

UPS Stock News Headlines

United Parcel Service Is Setting Up for Another Fall
If United Parcel Service NYSE: UPS can be used as a leading indicator of the economy and S&P 500 performance, it sends a mixed signal. On the one hand, operational improvements and increased efficiency set UPS up for leverage growth when its business rebounds.
United Parcel Service Is Setting Up for Another Fall
United Parcel Service struggled in Q1 and isn't guiding for much better later in the year, setting the stock up for a fall that could set new lows
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Three stocks that seemed cheap enough for insiders to buy are also calling Wall Street analysts attention for potentially higher prices in the coming months
FedEx Is A Buy Going Into Earnings  (UPS)
FedEx analysts are upping their targets ahead of the Q3 report and have the stock set up to outperform the consensus target.
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UBS Reaffirms Their Buy Rating on United Parcel (UPS)
Q1 2024 United Parcel Service Inc Earnings Call
Why UPS Stock Is Up Today
Here’s What To Anticipate From UPS’ Q1
UPS reports shipping volume declines in Q1 profit beat
UPS Posts Q1 Profit Beat, Revenue Miss
See More Headlines
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Company Calendar

Ex-Dividend for 3/8 Dividend
2/16/2024
Dividend Payable
3/08/2024
Last Earnings
4/23/2024
Today
4/24/2024
Fiscal Year End
12/31/2024

Industry, Sector and Symbol

Industry
Trucking & courier services, except air
Sub-Industry
Air Freight & Logistics
CUSIP
91131210
Employees
500,000
Year Founded
1907

Price Target and Rating

Average Stock Price Target
$165.61
High Stock Price Target
$205.00
Low Stock Price Target
$100.00
Potential Upside/Downside
+11.3%
Consensus Rating
Hold
Rating Score (0-4)
2.33
Research Coverage
24 Analysts

Profitability

Net Income
$6.71 billion
Pretax Margin
9.43%

Debt

Sales & Book Value

Annual Sales
$90.96 billion
Cash Flow
$13.11 per share
Book Value
$20.30 per share

Miscellaneous

Free Float
851,545,000
Market Cap
$126.92 billion
Optionable
Optionable
Beta
1.05

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Should I Buy United Parcel Service Stock? UPS Pros and Cons Explained

Pros

Here are some ways that investors could benefit from investing in United Parcel Service, Inc.:

  • United Parcel Service, Inc. has shown consistent growth in its U.S. Domestic Package and International Package segments, indicating a strong operational performance.
  • The company offers a wide range of services including transportation, delivery, logistics, and insurance, providing diversified revenue streams.
  • Recent developments show that United Parcel Service, Inc. has been investing in supply chain solutions for the healthcare and life sciences industries, tapping into potentially lucrative markets.
  • With the current stock price at an attractive level, investors may find UPS shares to be a good value investment opportunity.
  • United Parcel Service, Inc. has a long-standing history dating back to 1907, showcasing stability and experience in the industry.

Cons

Investors should be bearish about investing in United Parcel Service, Inc. for these reasons:

  • Despite its strong presence in the industry, United Parcel Service, Inc. faces intense competition from other logistics and delivery companies, potentially impacting its market share.
  • The company's operations are subject to economic fluctuations and global trade conditions, which could affect its financial performance.
  • Recent trends in the air freight and logistics subindustry may pose challenges for United Parcel Service, Inc. in terms of maintaining profitability and growth.
  • Investors need to consider the impact of regulatory changes and geopolitical factors on United Parcel Service, Inc.'s business operations and profitability.
  • While UPS has a strong track record, investors should be cautious of any potential disruptions in the supply chain industry that could impact the company's performance.
These pros and cons were generated based on recent news and financial data from MarketBeat in order to provide readers with the fastest and most accurate insights. They were last updated on Wednesday, April 10, 2024. Please send any questions or comments about these United Parcel Service pros and cons to contact@marketbeat.com.

UPS Stock Analysis - Frequently Asked Questions

Should I buy or sell United Parcel Service stock right now?

24 Wall Street analysts have issued "buy," "hold," and "sell" ratings for United Parcel Service in the last twelve months. There are currently 1 sell rating, 15 hold ratings, 7 buy ratings and 1 strong buy rating for the stock. The consensus among Wall Street analysts is that investors should "hold" UPS shares. A hold rating indicates that analysts believe investors should maintain any existing positions they have in UPS, but not buy additional shares or sell existing shares.
View UPS analyst ratings
or view top-rated stocks.

What is United Parcel Service's stock price target for 2024?

24 Wall Street analysts have issued 12-month price objectives for United Parcel Service's shares. Their UPS share price targets range from $100.00 to $205.00. On average, they predict the company's stock price to reach $166.09 in the next year. This suggests a possible upside of 13.3% from the stock's current price.
View analysts price targets for UPS
or view top-rated stocks among Wall Street analysts.

How have UPS shares performed in 2024?

United Parcel Service's stock was trading at $157.23 on January 1st, 2024. Since then, UPS shares have decreased by 6.7% and is now trading at $146.62.
View the best growth stocks for 2024 here
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When is United Parcel Service's next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Tuesday, August 13th 2024.
View our UPS earnings forecast
.

How were United Parcel Service's earnings last quarter?

United Parcel Service, Inc. (NYSE:UPS) released its quarterly earnings data on Tuesday, April, 23rd. The transportation company reported $1.43 earnings per share for the quarter, beating the consensus estimate of $1.33 by $0.10. The transportation company earned $21.70 billion during the quarter, compared to the consensus estimate of $21.84 billion. United Parcel Service had a net margin of 7.37% and a trailing twelve-month return on equity of 39.46%. The company's quarterly revenue was down 5.3% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.20 earnings per share.
Read the conference call transcript
.

How often does United Parcel Service pay dividends? What is the dividend yield for United Parcel Service?

United Parcel Service announced a quarterly dividend on Tuesday, January 30th. Investors of record on Tuesday, February 20th will be given a dividend of $1.63 per share on Friday, March 8th. This represents a $6.52 annualized dividend and a yield of 4.45%. The ex-dividend date is Friday, February 16th. This is an increase from the stock's previous quarterly dividend of $1.62.
Read our dividend analysis for UPS
.

Is United Parcel Service a good dividend stock?

United Parcel Service (NYSE:UPS) pays an annual dividend of $6.52 per share and currently has a dividend yield of 4.57%. UPS has a dividend yield higher than 75% of all dividend-paying stocks, making it a leading dividend payer. The company has been increasing its dividend for 15 consecutive years, indicating the company has a strong committment to maintain and grow its dividend. The dividend payout ratio is 83.70%. Payout ratios above 75% are not desirable because they may not be sustainable. Based on earnings estimates, UPS will have a dividend payout ratio of 68.13% next year. This indicates that the company will be able to sustain or increase its dividend.
Read our dividend analysis for UPS.

How will United Parcel Service's stock buyback program work?

United Parcel Service announced that its board has approved a share repurchase plan on Tuesday, January 31st 2023, which permits the company to buyback $5,000,000,000.00 in outstanding shares, according to EventVestor. This buyback authorization permits the company to buy up to 3% of its shares through open market purchases. Shares buyback plans are often an indication that the company's board of directors believes its stock is undervalued.

What guidance has United Parcel Service issued on next quarter's earnings?

United Parcel Service issued an update on its FY 2024 earnings guidance on Tuesday, April, 23rd. The company provided EPS guidance of for the period. The company issued revenue guidance of $92.0 billion-$94.5 billion, compared to the consensus revenue estimate of $93.0 billion.

What is David Abney's approval rating as United Parcel Service's CEO?

4,404 employees have rated United Parcel Service Chief Executive Officer David Abney on Glassdoor.com. David Abney has an approval rating of 68% among the company's employees.

What other stocks do shareholders of United Parcel Service own?

Based on aggregate information from My MarketBeat watchlists, some companies that other United Parcel Service investors own include Johnson & Johnson (JNJ), AT&T (T), Walt Disney (DIS), NVIDIA (NVDA), Walmart (WMT), Verizon Communications (VZ), Intel (INTC), JPMorgan Chase & Co. (JPM), FedEx (FDX) and Pfizer (PFE).

Who are United Parcel Service's major shareholders?

United Parcel Service's stock is owned by a number of institutional and retail investors. Top institutional shareholders include Raymond James & Associates (0.34%), Sumitomo Mitsui Trust Holdings Inc. (0.21%), Raymond James Financial Services Advisors Inc. (0.09%), Confluence Investment Management LLC (0.08%), Sarasin & Partners LLP (0.07%) and IMC Chicago LLC (0.00%). Insiders that own company stock include Brian Newman, Eva C Boratto, Juan R Perez, Kathleen M Gutmann, Kevin M Warren, Laura J Lane, Laura J Lane, Nando Cesarone, Norman M Brothers Jr, Norman M Brothers, Jr, Philippe R Gilbert and Russell Stokes.
View institutional ownership trends
.

How do I buy shares of United Parcel Service?

Shares of UPS stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

Does United Parcel Service have any subsidiaries?
The following companies are subsidiares of United Parcel Service: BT Property Holdings, BT Realty, BT Realty II, C.C. & E. I, Cemelog Kft, Challenge Air, Coyote Logistics, Coyote Logistics Midco, First International Bancorp, Freightex, Fritz Companies, Kiala, Lynx Express, Mail Boxes Etc. Australia, Marken LLP, Menlo Worldwide, Nightline Logistics Group, Overnite, Pieffe Group, PolarSpeed, Sandler & Travis Trade Advisory Services Inc., TNT Express, UPICO Corporation, UPINSCO, UPS Asia Group Pte. Ltd., UPS Expedited Mail Services, UPS Global Treasury Plc, UPS Ground Freight, UPS Grundstucksverwaltungs GmbH, UPS Limited, UPS Parcel Delivery Service Limited, UPS SCS, UPS SCS (Nederland) B.V., UPS Supply Chain Solutions, UPS Worldwide Forwarding, United Parcel Service, United Parcel Service Canada Ltd., United Parcel Service Co., United Parcel Service Deutschland S.à r.l. & Co. OHG, United Parcel Service France SAS, United Parcel Service General Services Co., United Parcel Service Italia SRL, United Parcel Service LLC & Co. OHG, United Parcel Service of America, and X4i Limited.
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This page (NYSE:UPS) was last updated on 4/24/2024 by MarketBeat.com Staff

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