United Parcel Service, Inc. provides letter and package delivery, transportation, logistics, and financial services. More Details
Reasonable growth potential average dividend payer.
Share Price & News
How has United Parcel Service's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: UPS is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: UPS's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: UPS exceeded the US Logistics industry which returned 70.1% over the past year.
Return vs Market: UPS exceeded the US Market which returned 53.8% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is United Parcel Service's share price compared to the market and industry in the last 5 years?
Simply Wall St News
2 months ago | Simply Wall StAt US$157, Is It Time To Put United Parcel Service, Inc. (NYSE:UPS) On Your Watch List?
5 months ago | Simply Wall StIs Now The Time To Look At Buying United Parcel Service, Inc. (NYSE:UPS)?
6 months ago | Simply Wall StIs United Parcel Service, Inc. (NYSE:UPS) A Great Dividend Stock?
Is United Parcel Service undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: UPS ($179.71) is trading above our estimate of fair value ($111.05)
Significantly Below Fair Value: UPS is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: UPS is poor value based on its PE Ratio (116x) compared to the US Logistics industry average (30.7x).
PE vs Market: UPS is poor value based on its PE Ratio (116x) compared to the US market (22.4x).
Price to Earnings Growth Ratio
PEG Ratio: UPS is poor value based on its PEG Ratio (4x)
Price to Book Ratio
PB vs Industry: UPS is overvalued based on its PB Ratio (236.6x) compared to the US Logistics industry average (2.7x).
How is United Parcel Service forecast to perform in the next 1 to 3 years based on estimates from 23 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: UPS's forecast earnings growth (29.3% per year) is above the savings rate (2%).
Earnings vs Market: UPS's earnings (29.3% per year) are forecast to grow faster than the US market (17.9% per year).
High Growth Earnings: earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: UPS's revenue (4.5% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: UPS's revenue (4.5% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: UPS's Return on Equity is forecast to be very high in 3 years time (56.4%).
How has United Parcel Service performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: UPS has high quality earnings.
Growing Profit Margin: UPS's current net profit margins (1.6%) are lower than last year (6%).
Past Earnings Growth Analysis
Earnings Trend: UPS's earnings have declined by 3.1% per year over the past 5 years.
Accelerating Growth: UPS's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.
Earnings vs Industry: UPS had negative earnings growth (-69.7%) over the past year, making it difficult to compare to the Logistics industry average (-24%).
Return on Equity
High ROE: Whilst UPS's Return on Equity (200.75%) is outstanding, this metric is skewed due to their high level of debt.
How is United Parcel Service's financial position?
Financial Position Analysis
Short Term Liabilities: UPS's short term assets ($20.2B) exceed its short term liabilities ($17.0B).
Long Term Liabilities: UPS's short term assets ($20.2B) do not cover its long term liabilities ($44.7B).
Debt to Equity History and Analysis
Debt Level: UPS's debt to equity ratio (3636.2%) is considered high.
Reducing Debt: UPS's debt to equity ratio has increased from 577.8% to 3636.2% over the past 5 years.
Debt Coverage: UPS's debt is well covered by operating cash flow (43%).
Interest Coverage: UPS earns more interest than it pays, so coverage of interest payments is not a concern.
What is United Parcel Service current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: UPS's dividend (2.27%) is higher than the bottom 25% of dividend payers in the US market (1.24%).
High Dividend: UPS's dividend (2.27%) is low compared to the top 25% of dividend payers in the US market (3.46%).
Stability and Growth of Payments
Stable Dividend: UPS's dividends per share have been stable in the past 10 years.
Growing Dividend: UPS's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its high payout ratio (260.8%), UPS's dividend payments are not well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: UPS's dividends in 3 years are forecast to be well covered by earnings (43.9% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
Carol Tomé (63 yo)
Ms. Carol B. Tomé serves as the Chief Financial Officer and Executive Vice President of Corporate Services at Home Depot U.S.A., Inc. Ms. Tomé has been Chief Executive Officer and Director of United Parcel...
CEO Compensation Analysis
Compensation vs Market: Carol's total compensation ($USD4.35M) is below average for companies of similar size in the US market ($USD11.16M).
Compensation vs Earnings: Carol's compensation has increased by more than 20% whilst company earnings have fallen more than 20% in the past year.
Experienced Management: UPS's management team is considered experienced (3 years average tenure).
Experienced Board: UPS's board of directors are considered experienced (8.5 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: UPS insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
United Parcel Service, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: United Parcel Service, Inc.
- Ticker: UPS
- Exchange: NYSE
- Founded: 1907
- Industry: Air Freight and Logistics
- Sector: Transportation
- Market Cap: US$156.242b
- Shares outstanding: 869.41m
- Website: https://www.ups.com
Number of Employees
- United Parcel Service, Inc.
- 55 Glenlake Parkway, N.E.
- United States
United Parcel Service, Inc. provides letter and package delivery, transportation, logistics, and financial services. It operates through three segments: U.S. Domestic Package, International Package, and Su...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/04/19 22:54|
|End of Day Share Price||2021/04/19 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.