United Parcel Service (NYSE:UPS) Trading 1.2% Higher – Here’s Why

Shares of United Parcel Service, Inc. (NYSE:UPS) rose 1.2% on Thursday . The stock traded as high as $102.89 and last traded at $102.16. Approximately 5,805,427 shares traded hands during trading, a decline of 15% from the average daily volume of 6,804,650 shares. The stock had previously closed at $100.96.

Wall Street Analysts Forecast Growth

UPS has been the subject of several research reports. Wells Fargo & Company raised their price objective on shares of United Parcel Service from $91.00 to $96.00 and gave the company an “equal weight” rating in a research report on Wednesday, October 29th. Wall Street Zen upgraded United Parcel Service from a “sell” rating to a “hold” rating in a research note on Saturday, November 1st. Susquehanna boosted their target price on shares of United Parcel Service from $100.00 to $105.00 and gave the company a “neutral” rating in a research note on Wednesday, October 29th. Citigroup increased their target price on shares of United Parcel Service from $112.00 to $120.00 and gave the stock a “buy” rating in a research report on Wednesday, October 29th. Finally, Bank of America reduced their price target on shares of United Parcel Service from $83.00 to $81.00 and set an “underperform” rating on the stock in a research report on Friday, September 26th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, sixteen have assigned a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat.com, the company currently has an average rating of “Hold” and an average target price of $110.09.

United Parcel Service Price Performance

The stock has a 50-day simple moving average of $93.97 and a 200 day simple moving average of $92.84. The stock has a market capitalization of $86.48 billion, a P/E ratio of 15.75, a price-to-earnings-growth ratio of 2.44 and a beta of 1.11. The company has a debt-to-equity ratio of 1.50, a quick ratio of 1.30 and a current ratio of 1.30.

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

United Parcel Service Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Thursday, December 4th. Shareholders of record on Monday, November 17th were issued a dividend of $1.64 per share. This represents a $6.56 dividend on an annualized basis and a yield of 6.4%. The ex-dividend date of this dividend was Monday, November 17th. United Parcel Service’s payout ratio is currently 101.39%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in UPS. Vanguard Group Inc. boosted its holdings in United Parcel Service by 0.6% during the third quarter. Vanguard Group Inc. now owns 67,277,988 shares of the transportation company’s stock worth $5,619,730,000 after buying an additional 372,850 shares during the last quarter. State Street Corp grew its holdings in United Parcel Service by 0.9% during the third quarter. State Street Corp now owns 31,063,250 shares of the transportation company’s stock valued at $2,594,713,000 after purchasing an additional 288,720 shares during the period. Charles Schwab Investment Management Inc. grew its holdings in United Parcel Service by 3.0% during the second quarter. Charles Schwab Investment Management Inc. now owns 25,792,139 shares of the transportation company’s stock valued at $2,603,459,000 after purchasing an additional 746,667 shares during the period. Geode Capital Management LLC increased its stake in United Parcel Service by 4.8% in the second quarter. Geode Capital Management LLC now owns 16,623,834 shares of the transportation company’s stock valued at $1,675,733,000 after purchasing an additional 762,407 shares in the last quarter. Finally, Norges Bank acquired a new stake in United Parcel Service in the second quarter worth $851,842,000. 60.26% of the stock is currently owned by institutional investors.

About United Parcel Service

United Parcel Service (NYSE: UPS) is a global package delivery and supply chain management company that provides a broad range of transportation, logistics and e-commerce services. Its core business centers on small-package delivery and last-mile distribution for business and individual customers, supported by a network of ground transportation, air cargo operations (UPS Airlines) and sorting facilities. In addition to parcel delivery, UPS offers freight transportation, contract logistics, warehousing, customs brokerage and reverse-logistics solutions designed to support domestic and international commerce.

The company traces its roots to 1907 when it began as a small messenger service in the United States and later evolved into the United Parcel Service.