Sterneck Capital Management LLC Reduces Stake in United Parcel Service, Inc. $UPS

Sterneck Capital Management LLC cut its stake in shares of United Parcel Service, Inc. (NYSE:UPS) by 2.6% during the second quarter, HoldingsChannel reports. The firm owned 14,710 shares of the transportation company’s stock after selling 398 shares during the quarter. United Parcel Service comprises 0.8% of Sterneck Capital Management LLC’s holdings, making the stock its 28th largest position. Sterneck Capital Management LLC’s holdings in United Parcel Service were worth $1,485,000 as of its most recent SEC filing.

Several other institutional investors have also modified their holdings of the stock. Goldman Sachs Group Inc. raised its holdings in United Parcel Service by 124.0% during the 1st quarter. Goldman Sachs Group Inc. now owns 9,011,107 shares of the transportation company’s stock valued at $991,132,000 after buying an additional 4,988,044 shares during the period. Pacer Advisors Inc. boosted its stake in United Parcel Service by 1,056.6% during the first quarter. Pacer Advisors Inc. now owns 4,336,175 shares of the transportation company’s stock worth $476,936,000 after buying an additional 3,961,255 shares during the period. Nuveen LLC bought a new position in United Parcel Service during the first quarter valued at $201,358,000. Charles Schwab Investment Management Inc. increased its position in United Parcel Service by 7.7% during the first quarter. Charles Schwab Investment Management Inc. now owns 25,045,472 shares of the transportation company’s stock valued at $2,754,751,000 after acquiring an additional 1,780,807 shares during the last quarter. Finally, Assenagon Asset Management S.A. raised its stake in shares of United Parcel Service by 443.6% in the second quarter. Assenagon Asset Management S.A. now owns 1,549,962 shares of the transportation company’s stock valued at $156,453,000 after acquiring an additional 1,264,842 shares during the period. 60.26% of the stock is owned by institutional investors.

United Parcel Service Stock Performance

Shares of NYSE:UPS opened at $83.74 on Friday. The firm’s 50 day simple moving average is $87.90 and its 200-day simple moving average is $96.45. The company has a debt-to-equity ratio of 1.51, a quick ratio of 1.32 and a current ratio of 1.32. United Parcel Service, Inc. has a one year low of $82.00 and a one year high of $145.01. The firm has a market cap of $70.98 billion, a PE ratio of 12.46, a price-to-earnings-growth ratio of 1.54 and a beta of 1.08.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings results on Tuesday, July 29th. The transportation company reported $1.55 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.56 by ($0.01). United Parcel Service had a net margin of 6.34% and a return on equity of 39.61%. The firm had revenue of $21.20 billion during the quarter, compared to analysts’ expectations of $20.90 billion. During the same quarter in the previous year, the firm posted $1.79 EPS. The firm’s revenue for the quarter was down 2.7% on a year-over-year basis. As a group, equities analysts predict that United Parcel Service, Inc. will post 7.95 EPS for the current year.

United Parcel Service Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, September 4th. Stockholders of record on Monday, August 18th were given a dividend of $1.64 per share. The ex-dividend date of this dividend was Monday, August 18th. This represents a $6.56 dividend on an annualized basis and a dividend yield of 7.8%. United Parcel Service’s dividend payout ratio is presently 97.62%.

Insider Activity

In other United Parcel Service news, CEO Carol B. Tome acquired 11,682 shares of the stock in a transaction that occurred on Friday, August 1st. The stock was bought at an average cost of $85.67 per share, with a total value of $1,000,796.94. Following the completion of the purchase, the chief executive officer directly owned 24,718 shares in the company, valued at $2,117,591.06. The trade was a 89.61% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director William R. Johnson bought 5,000 shares of the company’s stock in a transaction on Thursday, July 31st. The shares were acquired at an average price of $86.50 per share, for a total transaction of $432,500.00. Following the completion of the acquisition, the director owned 10,160 shares in the company, valued at $878,840. This represents a 96.90% increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last 90 days, insiders have bought 17,182 shares of company stock worth $1,477,382. Company insiders own 0.13% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research firms recently commented on UPS. Morgan Stanley dropped their price target on shares of United Parcel Service from $80.00 to $75.00 and set an “underweight” rating for the company in a research note on Wednesday, July 30th. BMO Capital Markets reissued a “market perform” rating and issued a $96.00 price objective (down previously from $125.00) on shares of United Parcel Service in a research note on Friday, September 19th. Barclays dropped their target price on United Parcel Service from $90.00 to $80.00 and set an “underweight” rating for the company in a research report on Thursday, July 31st. UBS Group reduced their price target on United Parcel Service from $124.00 to $118.00 and set a “buy” rating on the stock in a report on Wednesday, July 30th. Finally, BNP Paribas Exane raised United Parcel Service from an “underperform” rating to a “neutral” rating and set a $100.00 price target for the company in a research note on Thursday, July 3rd. One equities research analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, fifteen have given a Hold rating and three have given a Sell rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $111.38.

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.