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United Parcel Service (UPS) Advances But Underperforms Market: Key Facts
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The latest trading session saw United Parcel Service (UPS - Free Report) ending at $156.65, denoting a +1.01% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 1.06%. At the same time, the Dow added 0.93%, and the tech-heavy Nasdaq gained 1.2%.
Shares of the package delivery service witnessed a loss of 3.37% over the previous month, beating the performance of the Transportation sector with its loss of 4.12% and underperforming the S&P 500's loss of 3%.
Market participants will be closely following the financial results of United Parcel Service in its upcoming release. The company plans to announce its earnings on October 26, 2023. The company is predicted to post an EPS of $1.60, indicating a 46.49% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $21.61 billion, indicating a 10.57% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $9.33 per share and a revenue of $92.71 billion, demonstrating changes of -27.9% and -7.6%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for United Parcel Service. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.67% downward. United Parcel Service is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, United Parcel Service is presently being traded at a Forward P/E ratio of 16.63. This represents a premium compared to its industry's average Forward P/E of 15.01.
We can also see that UPS currently has a PEG ratio of 1.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Transportation - Air Freight and Cargo industry stood at 1.66 at the close of the market yesterday.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 59, positioning it in the top 24% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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United Parcel Service (UPS) Advances But Underperforms Market: Key Facts
The latest trading session saw United Parcel Service (UPS - Free Report) ending at $156.65, denoting a +1.01% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 1.06%. At the same time, the Dow added 0.93%, and the tech-heavy Nasdaq gained 1.2%.
Shares of the package delivery service witnessed a loss of 3.37% over the previous month, beating the performance of the Transportation sector with its loss of 4.12% and underperforming the S&P 500's loss of 3%.
Market participants will be closely following the financial results of United Parcel Service in its upcoming release. The company plans to announce its earnings on October 26, 2023. The company is predicted to post an EPS of $1.60, indicating a 46.49% decline compared to the equivalent quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $21.61 billion, indicating a 10.57% decrease compared to the same quarter of the previous year.
For the full year, the Zacks Consensus Estimates project earnings of $9.33 per share and a revenue of $92.71 billion, demonstrating changes of -27.9% and -7.6%, respectively, from the preceding year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for United Parcel Service. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.67% downward. United Parcel Service is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, United Parcel Service is presently being traded at a Forward P/E ratio of 16.63. This represents a premium compared to its industry's average Forward P/E of 15.01.
We can also see that UPS currently has a PEG ratio of 1.66. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The average PEG ratio for the Transportation - Air Freight and Cargo industry stood at 1.66 at the close of the market yesterday.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 59, positioning it in the top 24% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.