Current Price: $95.86
+7.45%
on October 28, 2025

United Parcel Service, Inc. (UPS) is a leading package delivery and global supply chain management company, founded in 1907. Headquartered in Atlanta, GA, UPS operates through three main segments: U.S. Domestic Package, International Package, and Supply Chain Solutions. The company provides timely delivery services across various regions, including Europe and Asia, while also offering logistics and forwarding solutions to meet diverse customer needs.

United Parcel Service Inc. (UPS) released its second-quarter financial results, reporting revenue of $21.2 billion, reflecting a 1% decline from the prior year. Consolidated adjusted operating profit decreased 35% to $1.6 billion, while the company recorded a net loss of $25 million, or $0.03 per diluted share. Adjusted earnings per share stood at $1.79, down from $2.54 in the same period last year. These figures underscore ongoing pressures from softened demand in domestic and international segments.

In operational updates, UPS advanced cost-reduction initiatives, including workforce adjustments and network optimizations under its recent labor agreement, aiming to enhance efficiency and profitability. The company also highlighted expansions in healthcare logistics capabilities, integrating new technology for faster delivery of temperature-sensitive shipments. No major strategic partnerships, acquisitions, or regulatory developments were announced during this period. Management reaffirmed its full-year guidance, targeting revenue growth and margin improvements through disciplined execution.

United Parcel Service, Inc. (UPS) reported its Q3 2025 financial results on October 28, revealing consolidated revenues of $21.4 billion, a slight decline from $21.9 billion in Q3 2024. The operating profit decreased to $1.8 billion, leading to a net income of $1.3 billion and a diluted EPS of $1.55, down from $1.80 year-over-year. The U.S. Domestic segment saw a 2.6% revenue drop, while the International segment grew by 5.9%. However, the Supply Chain Solutions segment experienced a significant revenue decline of 22.1%. UPS incurred a $164 million charge related to its transformation strategy but benefited from a $330 million pre-tax gain from a sale-leaseback transaction. For Q4 2025, UPS projects revenues of approximately $24 billion and an adjusted operating margin of 11.0% – 11.5%. The company also reported free cash flow of $2.744 billion for the first nine months of the year.

The current price of $96.16 reflects a notable daily increase of approximately 8.1%, indicating strong bullish momentum. The stock is trading well above its 20-day (MA20: $86.44) and 50-day (MA50: $85.75) moving averages, suggesting a positive short-term trend. However, it remains below the 200-day moving average (MA200: $97.84), indicating potential resistance at this level.

The stock’s position relative to Bollinger Bands shows a current price significantly above the upper band ($91.89), which may suggest overbought conditions. The RSI at 78.35 confirms this, indicating potential for a pullback. The MACD value of 1.38 supports the bullish trend but could signal a weakening momentum if the price retraces.

With a 52-week high of $132.01 and a low of $82.00, the stock is currently 27.16% off its high but 17.27% above its low, indicating a recovery phase.

The earnings data reveals a mixed trend in earnings per share (EPS) performance over the specified periods. Notably, the company has consistently reported EPS figures that either meet or exceed analysts’ estimates in six out of eight earnings events, indicating a general positive sentiment among investors. The most significant surprises occurred in the January 2025 and April 2024 reports, where reported EPS exceeded estimates by 8.65% and 11.17%, respectively.

However, the July 2024 report stands out with a negative surprise of -10.07%, suggesting potential challenges that may have impacted performance during that quarter. Despite this dip, the overall trend appears to lean toward upward momentum, particularly in the latter half of 2024 and early 2025, with reported EPS consistently above estimates. This trend may reflect effective cost management and operational efficiencies, which could bolster investor confidence moving forward. Overall, the consistent ability to exceed EPS estimates suggests a resilient financial outlook for the company.

The recent dividend data reflects a stable trend in the company’s dividend payouts, with incremental increases observed over the past few years. The dividends have consistently risen from $1.62 in November 2023 to $1.64 by August 2025, indicating a commitment to returning value to shareholders. This gradual increase suggests a robust financial position and a positive outlook for the company, as it signals confidence in future earnings and cash flow.

The consistency in dividend amounts, particularly the small increases every few months, indicates a strategic approach to dividend policy, likely aimed at attracting income-focused investors while maintaining a sustainable payout ratio. Moreover, this trend aligns with a broader market inclination towards dividend-paying stocks, especially in uncertain economic times when investors seek stable income streams. Overall, these dividend trends reflect a healthy corporate strategy and a favorable investment climate for those seeking reliable returns.

Recent rating changes reflect a cautious sentiment among analysts regarding the performance of certain stocks. Notably, BMO Capital Markets downgraded its rating from “Outperform” to “Market Perform” on September 19, signaling a potential slowdown in growth or increased market volatility. Similarly, BofA Securities made significant downgrades, shifting from “Neutral” to “Underperform” on September 11 and from “Buy” to “Neutral” on July 29. These changes suggest a reevaluation of stock prospects, possibly due to macroeconomic factors or company-specific challenges.

Vertical Research’s downgrade from “Buy” to “Hold” on July 30 further emphasizes this trend, indicating a consensus among analysts that the stocks may not deliver the expected returns in the near term. The downgrades, occurring at varied price points, suggest that analysts are becoming increasingly conservative, potentially reflecting broader economic uncertainties or sector-specific weaknesses. Investors should consider these ratings as indicators of shifting market dynamics and adjust their strategies accordingly.

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