United Parcel Service (NYSE:UPS) Stock Price Up 2.7% – Here’s Why

Shares of United Parcel Service, Inc. (NYSE:UPS) shot up 2.7% during mid-day trading on Wednesday . The company traded as high as $98.25 and last traded at $98.1550. 7,145,461 shares changed hands during trading, an increase of 4% from the average session volume of 6,850,363 shares. The stock had previously closed at $95.58.

Wall Street Analysts Forecast Growth

Several brokerages recently commented on UPS. Weiss Ratings restated a “sell (d+)” rating on shares of United Parcel Service in a research report on Wednesday, October 8th. Wells Fargo & Company boosted their target price on shares of United Parcel Service from $91.00 to $96.00 and gave the company an “equal weight” rating in a research note on Wednesday, October 29th. Truist Financial increased their price objective on United Parcel Service from $100.00 to $120.00 and gave the stock a “buy” rating in a research note on Wednesday, October 29th. Deutsche Bank Aktiengesellschaft lowered their target price on United Parcel Service from $100.00 to $88.00 and set a “hold” rating on the stock in a research note on Thursday, October 2nd. Finally, BMO Capital Markets reissued a “market perform” rating and issued a $96.00 price target (down from $125.00) on shares of United Parcel Service in a research report on Friday, September 19th. One analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating, sixteen have issued a Hold rating and four have given a Sell rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Hold” and an average target price of $110.00.

United Parcel Service Price Performance

The company has a debt-to-equity ratio of 1.50, a current ratio of 1.30 and a quick ratio of 1.30. The stock has a market capitalization of $83.27 billion, a P/E ratio of 15.17, a PEG ratio of 2.27 and a beta of 1.11. The stock’s fifty day moving average is $90.27 and its 200-day moving average is $92.60.

United Parcel Service (NYSE:UPS) last posted its earnings results on Tuesday, October 28th. The transportation company reported $1.74 earnings per share for the quarter, topping the consensus estimate of $1.31 by $0.43. The firm had revenue of $21.42 billion during the quarter, compared to analyst estimates of $20.94 billion. United Parcel Service had a return on equity of 40.07% and a net margin of 6.15%.The company’s revenue for the quarter was down 3.7% on a year-over-year basis. During the same period in the previous year, the company earned $1.76 EPS. On average, equities analysts anticipate that United Parcel Service, Inc. will post 7.95 earnings per share for the current year.

United Parcel Service Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, December 4th. Investors of record on Monday, November 17th will be issued a dividend of $1.64 per share. This represents a $6.56 annualized dividend and a dividend yield of 6.7%. The ex-dividend date of this dividend is Monday, November 17th. United Parcel Service’s dividend payout ratio is currently 101.39%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of the company. Allworth Financial LP increased its stake in shares of United Parcel Service by 2.0% in the third quarter. Allworth Financial LP now owns 192,752 shares of the transportation company’s stock worth $16,101,000 after purchasing an additional 3,707 shares during the period. IFP Advisors Inc grew its holdings in United Parcel Service by 29.0% in the 3rd quarter. IFP Advisors Inc now owns 38,678 shares of the transportation company’s stock valued at $3,235,000 after buying an additional 8,699 shares during the last quarter. Swiss Life Asset Management Ltd increased its position in United Parcel Service by 2.5% in the 3rd quarter. Swiss Life Asset Management Ltd now owns 1,203,460 shares of the transportation company’s stock worth $100,525,000 after buying an additional 29,075 shares during the period. Investment Research Partners LLC acquired a new position in shares of United Parcel Service during the third quarter worth approximately $1,555,000. Finally, ARQ Wealth Advisors LLC bought a new stake in shares of United Parcel Service in the third quarter valued at approximately $591,000. 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.