Zacks Research Issues Pessimistic Outlook for UPS Earnings

United Parcel Service, Inc. (NYSE:UPS) – Research analysts at Zacks Research reduced their Q1 2025 earnings per share estimates for United Parcel Service in a report issued on Thursday, February 13th. Zacks Research analyst M. Basu now expects that the transportation company will earn $1.71 per share for the quarter, down from their prior forecast of $1.74. The consensus estimate for United Parcel Service’s current full-year earnings is $7.99 per share. Zacks Research also issued estimates for United Parcel Service’s Q1 2025 earnings at $1.71 EPS, Q2 2025 earnings at $1.95 EPS, Q2 2025 earnings at $1.95 EPS, Q3 2025 earnings at $1.82 EPS, Q3 2025 earnings at $1.82 EPS, Q4 2025 earnings at $2.96 EPS, Q4 2025 earnings at $2.96 EPS, FY2025 earnings at $8.44 EPS, Q1 2026 earnings at $1.62 EPS, Q1 2026 earnings at $1.62 EPS, Q2 2026 earnings at $1.67 EPS, Q2 2026 earnings at $1.67 EPS, Q3 2026 earnings at $2.42 EPS, FY2027 earnings at $7.37 EPS and FY2027 earnings at $7.37 EPS.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings results on Thursday, January 30th. The transportation company reported $2.75 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $2.52 by $0.23. United Parcel Service had a return on equity of 39.13% and a net margin of 6.35%. During the same period in the prior year, the business earned $2.47 earnings per share.

Several other research firms also recently weighed in on UPS. Bank of America decreased their price objective on United Parcel Service from $150.00 to $133.00 and set a “buy” rating for the company in a report on Friday, January 31st. Stifel Nicolaus cut their price objective on United Parcel Service from $156.00 to $153.00 and set a “buy” rating for the company in a research report on Thursday, January 23rd. Oppenheimer increased their price objective on United Parcel Service from $140.00 to $146.00 and gave the stock an “outperform” rating in a research report on Monday, October 28th. Citigroup dropped their price target on United Parcel Service from $158.00 to $149.00 and set a “buy” rating for the company in a research report on Friday, January 31st. Finally, StockNews.com raised United Parcel Service from a “hold” rating to a “buy” rating in a research note on Wednesday, November 6th. Two investment analysts have rated the stock with a sell rating, eight have assigned a hold rating, fourteen have given a buy rating and one has assigned a strong buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and an average target price of $140.73.

United Parcel Service Price Performance

UPS stock opened at $116.37 on Monday. The company has a market capitalization of $99.31 billion, a P/E ratio of 17.21, a PEG ratio of 1.50 and a beta of 0.98. United Parcel Service has a twelve month low of $109.40 and a twelve month high of $158.95. The business has a 50 day simple moving average of $124.53 and a 200-day simple moving average of $128.78. The company has a current ratio of 1.17, a quick ratio of 1.14 and a debt-to-equity ratio of 1.16.

United Parcel Service Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Thursday, March 6th. Investors of record on Tuesday, February 18th will be issued a dividend of $1.64 per share. This is an increase from United Parcel Service’s previous quarterly dividend of $1.63. This represents a $6.56 annualized dividend and a dividend yield of 5.64%. The ex-dividend date of this dividend is Tuesday, February 18th. United Parcel Service’s dividend payout ratio (DPR) is presently 96.45%.

Insider Activity at United Parcel Service

In other United Parcel Service news, insider Norman M. Brothers, Jr. sold 7,325 shares of United Parcel Service stock in a transaction that occurred on Monday, November 25th. The stock was sold at an average price of $138.57, for a total transaction of $1,015,025.25. Following the sale, the insider now directly owns 45,098 shares in the company, valued at $6,249,229.86. The trade was a 13.97 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 0.13% of the company’s stock.

Institutional Investors Weigh In On United Parcel Service

Several hedge funds and other institutional investors have recently bought and sold shares of UPS. AMF Tjanstepension AB increased its holdings in United Parcel Service by 39.7% during the 3rd quarter. AMF Tjanstepension AB now owns 108,360 shares of the transportation company’s stock worth $14,793,000 after purchasing an additional 30,815 shares during the last quarter. Creative Planning increased its holdings in shares of United Parcel Service by 3.5% in the 3rd quarter. Creative Planning now owns 245,539 shares of the transportation company’s stock valued at $33,412,000 after acquiring an additional 8,320 shares during the last quarter. Claro Advisors LLC increased its holdings in shares of United Parcel Service by 53.8% in the 3rd quarter. Claro Advisors LLC now owns 3,909 shares of the transportation company’s stock valued at $533,000 after acquiring an additional 1,367 shares during the last quarter. Aaron Wealth Advisors LLC bought a new stake in shares of United Parcel Service in the 3rd quarter valued at approximately $281,000. Finally, Stratos Wealth Partners LTD. increased its holdings in shares of United Parcel Service by 46.7% in the 3rd quarter. Stratos Wealth Partners LTD. now owns 64,613 shares of the transportation company’s stock valued at $8,809,000 after acquiring an additional 20,572 shares during the last quarter. 60.26% of the stock is currently owned by hedge funds and other institutional investors.

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.