Skip to Content
Morningstar

United Parcel Service Inc Class B UPS

Morningstar Rating
Unlock
Stock XNYS Rating as of
$148.87 +3.51 (2.41%)
View Full Chart
As of Delayed Price Closed
Unlock our analysis with Morningstar Investor
Start Free Trial

Company Report

View Archive

UPS Earnings: Firm Still Expects Solid Second-Half Margin Improvement

Matthew Young

UPS' first-quarter top line fell 5% year over year, though volume declines eased in the quarter and revenue was mostly in line with our expectations. Management was up front at its March investor day that first-half package volume and margins would remain pressured but with year-over-year growth returning in the second half. Relative to first-quarter 2023, lower revenue stems from lingering US and international package volume declines and the soft demand and pricing backdrop for truck brokerage (Coyote) and global forwarding. Base rates on package business remained positive, offset by mix and lower fuel surcharges.

Read Full Report

Price vs Fair Value

View History
UPS is trading at a 8% discount.
Price
$145.36
Fair Value
$145.00
Uncertainty
Medium
1-Star Price
$725.20
5-Star Price
$265.60
Economic Moat
Cptkz
Capital Allocation
Qycffwk

Bulls Say, Bears Say

Bulls

Despite near-term normalization, UPS' US ground and express package delivery operations should enjoy positive longer-term tailwinds from e-commerce growth.

Bears

Freight diversions seen last year from the Teamsters' strike threat and lingering sluggish retail restocking will create year-over-year volume growth headwinds into the first half of 2024.

Show More
Is it the right time to buy, sell, or hold?
Start a free trial of Morningstar Investor to unlock exclusive ratings and continuous analyst coverage to help you decide if UPS is a good fit for your portfolio.
Get 7 Days Free

News

View All

Trading Information

Previous Close Price
$145.36
Day Range
$145.25–149.74
52-Week Range
$133.68–197.31
Bid/Ask
$148.35 / $149.00
Market Cap
$127.01 Bil
Volume/Avg
6.4 Mil / 4.3 Mil

Key Statistics

Price/Earnings (Normalized)
16.96
Price/Sales
1.41
Dividend Yield (Trailing)
4.36%
Dividend Yield (Forward)
4.38%
Total Yield
6.19%

Company Profile

As the world's largest parcel delivery company, UPS manages a massive fleet of more than 500 planes and 100,000 vehicles, along with many hundreds of sorting facilities, to deliver an average of about 22 million packages per day to residences and businesses across the globe. UPS' domestic US package operations generate around 64% of total revenue while international package makes up 20%. Air and ocean freight forwarding, truckload brokerage, and contract logistics make up the remainder. UPS is currently pursuing "strategic alternatives" for its truck brokerage unit, Coyote, which it acquired in 2015.
Sector
Industrials
Industry
Integrated Freight & Logistics
Stock Style Box
Large Value
Total Number of Employees
500,000
Website
https://www.ups.com

Competitors

Valuation

View More
Metric
UPS
DHL
FDX
Price/Earnings (Normalized)
 16.9613.1415.67
Price/Book Value
 7.352.052.54
Price/Sales
 1.410.580.78
Price/Cash Flow
 12.075.865.75
Price/Earnings
UPS
DHL
FDX

Financial Strength

Metric
UPS
DHL
FDX
Quick Ratio
 0.980.741.17
Current Ratio
 1.100.951.31
Interest Coverage
 11.927.2216.46
Quick Ratio
UPS
DHL
FDX

Profitability

Metric
UPS
DHL
FDX
Return on Assets (Normalized)
 10.65%5.51%5.74%
Return on Equity (Normalized)
 39.23%16.07%19.12%
Return on Invested Capital (Normalized)
 18.27%9.19%8.22%
Return on Assets
UPS
DHL
FDX
See how this stock stacks up to its competitors with Morningstar Investor
Start Free Trial

Integrated Freight & Logistics Industry Comparables

Screen in Investor
Ticker
Name
Morningstar Rating for Stocks
Capital Allocation
Economic Moat
Market Cap
FDX
FedEx CorpHyzgldzJxlwtk$66.9 Bil
DPSTF
DHL Group—Kczgh$49.1 Bil
DHLGY
DHL Group ADRQqsmvzjyWnlns$49.1 Bil
JBHT
JB Hunt Transport Services IncJtrqgvgcWvvyk$17.3 Bil
ZTO
ZTO Express (Cayman) Inc ADRMlpxdnbrypPxcfyy$16.4 Bil
EXPD
Expeditors International of Washington IncDyltpmcrhKgc$16.3 Bil
CHRW
C.H. Robinson Worldwide IncMchwkqlnzRwlp$8.1 Bil
LSTR
Landstar System IncGgwzmtssyYly$6.1 Bil
HUBG
Hub Group Inc Class ASnvpbbpqlNwvwxs$2.5 Bil

Sponsor Center