United Parcel Service, Inc. (UPS) Cut to “Hold” at Zacks Investment Research
United Parcel Service, Inc. (NYSE:UPS) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research report issued to clients and investors on Thursday.
According to Zacks, “United Parcel Service is leaving no stone unturned to perform well in the upcoming holiday season. It expects to benefit from the growth in e-commerce. Additionally, growth in export shipments continue to boost the company. Moreover, UPS' efforts to reward its shareholders are impressive. The company hiked quarterly dividend by 6.4% earlier this year. Its expansion efforts also raise optimism. The company is, however, being troubled by headwinds like higher costs and foreign exchange-related issues. It expects 2017 adjusted earnings per share in the band of $5.80 to $6.10, which includes $400 million of pre-tax currency headwinds. Moreover, the increased costs from investments made to upgrade facilities may hurt its bottom line. Shares of UPS have underperformed its industry in a year.”
UPS has been the subject of several other reports. BidaskClub raised United Parcel Service from a “strong sell” rating to a “sell” rating in a research report on Friday, August 11th. Sanford C. Bernstein reaffirmed an “outperform” rating and set a $127.00 target price on shares of United Parcel Service in a research report on Monday, July 3rd. TheStreet raised United Parcel Service from a “c” rating to a “b” rating in a research report on Thursday, July 27th. Citigroup Inc. raised United Parcel Service from a “neutral” rating to a “buy” rating and raised their target price for the company from $115.00 to $128.00 in a research report on Tuesday, August 8th. Finally, Cowen and Company reaffirmed a “hold” rating on shares of United Parcel Service in a research report on Tuesday, September 26th. One equities research analyst has rated the stock with a sell rating, twelve have assigned a hold rating and five have issued a buy rating to the company’s stock. The company presently has an average rating of “Hold” and a consensus price target of $115.27.
Shares of United Parcel Service (UPS) traded down 0.67% during trading on Thursday, reaching $118.20. 4,480,304 shares of the company were exchanged. The firm’s 50 day moving average price is $116.32 and its 200 day moving average price is $110.25. United Parcel Service has a one year low of $102.12 and a one year high of $120.80. The company has a market capitalization of $102.36 billion, a PE ratio of 29.06 and a beta of 0.90. United Parcel Service also was the recipient of some unusual options trading on Wednesday. Investors purchased 8,546 put options on the stock. This is an increase of 417% compared to the average daily volume of 1,652 put options.
United Parcel Service (NYSE:UPS) last announced its earnings results on Thursday, July 27th. The transportation company reported $1.58 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.46 by $0.12. United Parcel Service had a return on equity of 417.18% and a net margin of 5.68%. The firm had revenue of $15.75 billion during the quarter, compared to analyst estimates of $15.49 billion. During the same period last year, the firm posted $1.43 EPS. The business’s revenue was up 7.7% compared to the same quarter last year. Equities research analysts forecast that United Parcel Service will post $6.01 earnings per share for the current fiscal year.
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In other United Parcel Service news, EVP Alan Gershenhorn sold 17,699 shares of the firm’s stock in a transaction dated Tuesday, August 22nd. The stock was sold at an average price of $114.10, for a total value of $2,019,455.90. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider James J. Barber sold 3,556 shares of the firm’s stock in a transaction dated Monday, July 31st. The stock was sold at an average price of $110.85, for a total value of $394,182.60. The disclosure for this sale can be found here. 0.59% of the stock is owned by company insiders.
A number of hedge funds and other institutional investors have recently modified their holdings of the business. Genovese Burford & Brothers Wealth & Retirement Plan Management LLC boosted its stake in United Parcel Service by 0.3% in the 2nd quarter. Genovese Burford & Brothers Wealth & Retirement Plan Management LLC now owns 1,482 shares of the transportation company’s stock worth $163,000 after purchasing an additional 5 shares during the period. Founders Capital Management boosted its stake in United Parcel Service by 0.3% in the 2nd quarter. Founders Capital Management now owns 5,367 shares of the transportation company’s stock worth $594,000 after purchasing an additional 15 shares during the period. Bollard Group LLC boosted its stake in United Parcel Service by 0.8% in the 2nd quarter. Bollard Group LLC now owns 2,239 shares of the transportation company’s stock worth $248,000 after purchasing an additional 17 shares during the period. Guardian Life Insurance Co. of America boosted its stake in United Parcel Service by 0.7% in the 1st quarter. Guardian Life Insurance Co. of America now owns 2,659 shares of the transportation company’s stock worth $285,000 after purchasing an additional 18 shares during the period. Finally, Conservest Capital Advisors Inc. boosted its stake in United Parcel Service by 0.8% in the 2nd quarter. Conservest Capital Advisors Inc. now owns 2,913 shares of the transportation company’s stock worth $322,000 after purchasing an additional 23 shares during the period. Institutional investors and hedge funds own 52.86% of the company’s stock.
United Parcel Service Company Profile
United Parcel Service, Inc (UPS) is a package delivery company. The Company is a provider of global supply chain management solutions. The Company operates through three segments: U.S. Domestic Package operations, International Package operations, and Supply Chain & Freight operations. As of December 31, 2016, the Company delivered packages in over 220 countries and territories.
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