United Parcel Service (NYSE:UPS) Shares Down 1.2% – Here’s Why

United Parcel Service, Inc. (NYSE:UPS)’s stock price traded down 1.2% during mid-day trading on Tuesday . The company traded as low as $117.63 and last traded at $117.86. 1,123,910 shares changed hands during mid-day trading, a decline of 74% from the average session volume of 4,382,076 shares. The stock had previously closed at $119.26.

Wall Street Analyst Weigh In

UPS has been the topic of several recent research reports. JPMorgan Chase & Co. cut their target price on United Parcel Service from $135.00 to $120.00 and set a “neutral” rating on the stock in a report on Friday, January 31st. BMO Capital Markets upgraded United Parcel Service from a “market perform” rating to an “outperform” rating and reduced their target price for the stock from $155.00 to $150.00 in a report on Tuesday, December 10th. Evercore ISI increased their price target on United Parcel Service from $141.00 to $147.00 and gave the company an “in-line” rating in a report on Wednesday, January 22nd. Morgan Stanley reduced their price objective on shares of United Parcel Service from $100.00 to $82.00 and set an “underweight” rating for the company in a research note on Friday, January 31st. Finally, UBS Group lowered their target price on shares of United Parcel Service from $170.00 to $141.00 and set a “buy” rating on the stock in a research note on Friday, January 31st. Two analysts have rated the stock with a sell rating, nine have given a hold rating, thirteen have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $140.73.

United Parcel Service Price Performance

The stock has a fifty day moving average of $122.28 and a 200-day moving average of $128.03. The company has a quick ratio of 1.14, a current ratio of 1.17 and a debt-to-equity ratio of 1.16. The firm has a market capitalization of $99.75 billion, a P/E ratio of 17.28, a PEG ratio of 1.55 and a beta of 0.98.

United Parcel Service (NYSE:UPS) last announced its earnings results on Thursday, January 30th. The transportation company reported $2.75 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.52 by $0.23. United Parcel Service had a net margin of 6.35% and a return on equity of 39.13%. During the same quarter last year, the business earned $2.47 EPS. Equities analysts predict that United Parcel Service, Inc. will post 7.95 EPS for the current fiscal year.

United Parcel Service Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Thursday, March 6th. Stockholders of record on Tuesday, February 18th will be paid a $1.64 dividend. This is a boost from United Parcel Service’s previous quarterly dividend of $1.63. This represents a $6.56 annualized dividend and a dividend yield of 5.62%. The ex-dividend date of this dividend is Tuesday, February 18th. United Parcel Service’s dividend payout ratio (DPR) is 97.04%.

Institutional Inflows and Outflows

Several hedge funds have recently modified their holdings of the business. IMG Wealth Management Inc. bought a new position in shares of United Parcel Service in the 4th quarter worth $25,000. Generali Investments Management Co LLC acquired a new position in United Parcel Service in the fourth quarter valued at about $26,000. IFS Advisors LLC boosted its holdings in United Parcel Service by 232.3% during the fourth quarter. IFS Advisors LLC now owns 216 shares of the transportation company’s stock worth $27,000 after buying an additional 151 shares during the last quarter. Pinney & Scofield Inc. acquired a new position in shares of United Parcel Service during the 4th quarter worth about $27,000. Finally, Fourth Dimension Wealth LLC bought a new position in United Parcel Service during the 4th quarter worth approximately $28,000. Institutional investors own 60.26% of the company’s stock.

About United Parcel Service

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.