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United Parcel Service (UPS) Gains As Market Dips: What You Should Know
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United Parcel Service (UPS - Free Report) closed at $182.23 in the latest trading session, marking a +0.38% move from the prior day. This change outpaced the S&P 500's 0.15% loss on the day. Elsewhere, the Dow lost 0.28%, while the tech-heavy Nasdaq added 3.16%.
Heading into today, shares of the package delivery service had lost 1.99% over the past month, outpacing the Transportation sector's loss of 3.89% and the S&P 500's loss of 5.39% in that time.
United Parcel Service will be looking to display strength as it nears its next earnings release, which is expected to be April 25, 2023. The company is expected to report EPS of $2.23, down 26.89% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $22.96 billion, down 5.81% from the year-ago period.
UPS's full-year Zacks Consensus Estimates are calling for earnings of $11.50 per share and revenue of $97.85 billion. These results would represent year-over-year changes of -11.13% and -2.48%, respectively.
Any recent changes to analyst estimates for United Parcel Service should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.8% lower within the past month. United Parcel Service currently has a Zacks Rank of #3 (Hold).
In terms of valuation, United Parcel Service is currently trading at a Forward P/E ratio of 15.78. This represents a premium compared to its industry's average Forward P/E of 14.9.
Also, we should mention that UPS has a PEG ratio of 2.18. 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 Transportation - Air Freight and Cargo was holding an average PEG ratio of 1.59 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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United Parcel Service (UPS) Gains As Market Dips: What You Should Know
United Parcel Service (UPS - Free Report) closed at $182.23 in the latest trading session, marking a +0.38% move from the prior day. This change outpaced the S&P 500's 0.15% loss on the day. Elsewhere, the Dow lost 0.28%, while the tech-heavy Nasdaq added 3.16%.
Heading into today, shares of the package delivery service had lost 1.99% over the past month, outpacing the Transportation sector's loss of 3.89% and the S&P 500's loss of 5.39% in that time.
United Parcel Service will be looking to display strength as it nears its next earnings release, which is expected to be April 25, 2023. The company is expected to report EPS of $2.23, down 26.89% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $22.96 billion, down 5.81% from the year-ago period.
UPS's full-year Zacks Consensus Estimates are calling for earnings of $11.50 per share and revenue of $97.85 billion. These results would represent year-over-year changes of -11.13% and -2.48%, respectively.
Any recent changes to analyst estimates for United Parcel Service should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.8% lower within the past month. United Parcel Service currently has a Zacks Rank of #3 (Hold).
In terms of valuation, United Parcel Service is currently trading at a Forward P/E ratio of 15.78. This represents a premium compared to its industry's average Forward P/E of 14.9.
Also, we should mention that UPS has a PEG ratio of 2.18. 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 Transportation - Air Freight and Cargo was holding an average PEG ratio of 1.59 at yesterday's closing price.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 176, putting it in the bottom 31% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.