United Parcel Service (NYSE:UPS) Stock Jumps 1.8% – Still a Buy?

United Parcel Service, Inc. (NYSE:UPS) shot up 1.8% during mid-day trading on Thursday. The company traded as high as $101.97 and last traded at $101.3870. 4,694,773 shares traded hands during trading, a decline of 16% from the average daily volume of 5,603,128 shares. The stock had previously closed at $99.57.

More United Parcel Service News

Here are the key news stories impacting United Parcel Service this week:

• Positive Sentiment: UPS has automated four additional facilities ahead of the peak shipping season, which should improve capacity and productivity while supporting margins through lower operating costs. UPS automates four additional facilities
• Positive Sentiment: The carrier has been raising revenue per package, targeting more efficiency-driven savings, and reducing lower-margin U.S. volume. That strategy could improve profitability even if total package volumes remain pressured. UPS pricing and cost savings
• Neutral Sentiment: Investors are focused on the upcoming third-quarter report and on operating metrics beyond revenue and EPS, including package volume, pricing, margins, and management’s outlook. UPS Q3 2026 preview
• Neutral Sentiment: Commentary on UPS’s cash generation and dividend appeal provides some support for the investment case, but also cautions that strong cash flow alone may not overcome weak demand or inefficient capital allocation. Cash-producing stocks
• Negative Sentiment: Bernstein issued a pessimistic forecast, while another report noted UPS has fallen behind FedEx, highlighting competitive and execution concerns. A separate price-target reduction further reinforces cautious analyst sentiment. Bernstein forecast
• Negative Sentiment: The decision to shed lower-margin volume suggests management is prioritizing profitability over growth, but it also signals continued pressure on shipment demand and could limit revenue expansion. UPS trims lower-margin volume

Wall Street Analyst Weigh In

A number of research analysts have weighed in on UPS shares. Wall Street Zen cut shares of United Parcel Service from a “buy” rating to a “hold” rating in a research note on Saturday, September 19th. Oppenheimer raised their price target on shares of United Parcel Service from $115.00 to $117.00 and gave the stock an “outperform” rating in a research note on Wednesday, July 29th. Bank of America decreased their price target on shares of United Parcel Service from $115.00 to $108.00 and set a “neutral” rating for the company in a research note on Monday, September 21st. UBS Group lifted their price target on shares of United Parcel Service from $123.00 to $124.00 and gave the stock a “buy” rating in a report on Wednesday, July 29th. Finally, Truist Financial dropped their price objective on United Parcel Service from $130.00 to $115.00 and set a “buy” rating on the stock in a research note on Wednesday, October 7th. One investment analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating, eleven have given a Hold rating and three have assigned a Sell rating to the stock. According to data from MarketBeat, United Parcel Service presently has a consensus rating of “Hold” and a consensus target price of $115.70.

United Parcel Service Trading Down 0.4%

The firm has a fifty day moving average of $98.88 and a two-hundred day moving average of $103.62. The company has a market cap of $85.99 billion, a PE ratio of 18.79, a price-to-earnings-growth ratio of 1.87 and a beta of 1.07. The company has a current ratio of 1.18, a quick ratio of 1.18 and a debt-to-equity ratio of 1.58.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings data on Tuesday, July 28th. The transportation company reported $1.76 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.65 by $0.11. The business had revenue of $22.83 billion for the quarter, compared to analysts’ expectations of $21.86 billion. United Parcel Service had a return on equity of 37.50% and a net margin of 5.08%. The firm’s quarterly revenue was up 7.6% compared to the same quarter last year. During the same period in the previous year, the business posted $1.55 EPS. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. As a group, sell-side analysts predict that United Parcel Service, Inc. will post 7.19 EPS for the current year.

United Parcel Service Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 3rd. Investors of record on Monday, August 17th were paid a dividend of $1.64 per share. This represents a $6.56 dividend on an annualized basis and a dividend yield of 6.5%. The ex-dividend date was Monday, August 17th. United Parcel Service’s dividend payout ratio is presently 121.93%.

Institutional Inflows and Outflows

A number of hedge funds have recently bought and sold shares of UPS. Markowski Investments purchased a new stake in United Parcel Service during the 2nd quarter valued at about $30,000. Allied Private Wealth LLC purchased a new position in United Parcel Service during the 2nd quarter valued at about $34,000. Legacy Wealth Managment LLC ID increased its holdings in United Parcel Service by 48.6% during the 1st quarter. Legacy Wealth Managment LLC ID now owns 309 shares of the transportation company’s stock valued at $30,000 after purchasing an additional 101 shares during the period. Community Financial Services Group LLC raised its position in United Parcel Service by 170.1% during the 2nd quarter. Community Financial Services Group LLC now owns 370 shares of the transportation company’s stock valued at $41,000 after purchasing an additional 233 shares during the last quarter. Finally, Grove Bank & Trust raised its position in United Parcel Service by 49.8% during the 2nd quarter. Grove Bank & Trust now owns 379 shares of the transportation company’s stock valued at $41,000 after purchasing an additional 126 shares during the last quarter. 60.26% of the stock is currently owned by hedge funds and other institutional investors.

United Parcel Service Company Profile

United Parcel Service, Inc (NYSE: UPS) is a global package delivery and logistics company. Its services include the transportation and delivery of packages and freight, time-definite express delivery, supply chain management, customs brokerage, and logistics consulting. UPS serves businesses and consumers through ground, air, and international delivery networks.

The company operates across the United States and in international markets throughout Europe, Asia-Pacific, Latin America, Canada, and other regions.