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Here's Why United Parcel Service (UPS) Gained But Lagged the Market Today
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The latest trading session saw United Parcel Service (UPS - Free Report) ending at $154.34, denoting a +0.05% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, added 0.39%.
Heading into today, shares of the package delivery service had lost 4.2% over the past month, lagging the Transportation sector's loss of 4.18% and the S&P 500's loss of 3.39% in that time.
Analysts and investors alike will be keeping a close eye on the performance of United Parcel Service in its upcoming earnings disclosure. The company's earnings report is set to go public on October 26, 2023. The company's earnings per share (EPS) are projected to be $1.67, reflecting a 44.15% decrease from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $21.73 billion, reflecting a 10.08% fall from the equivalent quarter last year.
UPS's full-year Zacks Consensus Estimates are calling for earnings of $9.37 per share and revenue of $92.73 billion. These results would represent year-over-year changes of -27.59% and -7.59%, respectively.
Investors should also note any recent changes to analyst estimates for United Parcel Service. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 2.38% lower within the past month. Currently, United Parcel Service is carrying a Zacks Rank of #5 (Strong Sell).
In the context of valuation, United Parcel Service is at present trading with a Forward P/E ratio of 16.46. This indicates a premium in contrast to its industry's Forward P/E of 15.34.
We can also see that UPS currently has a PEG ratio of 1.65. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. UPS's industry had an average PEG ratio of 1.65 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 105, positioning it in the top 42% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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Here's Why United Parcel Service (UPS) Gained But Lagged the Market Today
The latest trading session saw United Parcel Service (UPS - Free Report) ending at $154.34, denoting a +0.05% adjustment from its last day's close. This move lagged the S&P 500's daily gain of 0.63%. Meanwhile, the Dow gained 0.59%, and the Nasdaq, a tech-heavy index, added 0.39%.
Heading into today, shares of the package delivery service had lost 4.2% over the past month, lagging the Transportation sector's loss of 4.18% and the S&P 500's loss of 3.39% in that time.
Analysts and investors alike will be keeping a close eye on the performance of United Parcel Service in its upcoming earnings disclosure. The company's earnings report is set to go public on October 26, 2023. The company's earnings per share (EPS) are projected to be $1.67, reflecting a 44.15% decrease from the same quarter last year. At the same time, our most recent consensus estimate is projecting a revenue of $21.73 billion, reflecting a 10.08% fall from the equivalent quarter last year.
UPS's full-year Zacks Consensus Estimates are calling for earnings of $9.37 per share and revenue of $92.73 billion. These results would represent year-over-year changes of -27.59% and -7.59%, respectively.
Investors should also note any recent changes to analyst estimates for United Parcel Service. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. The Zacks Consensus EPS estimate has moved 2.38% lower within the past month. Currently, United Parcel Service is carrying a Zacks Rank of #5 (Strong Sell).
In the context of valuation, United Parcel Service is at present trading with a Forward P/E ratio of 16.46. This indicates a premium in contrast to its industry's Forward P/E of 15.34.
We can also see that UPS currently has a PEG ratio of 1.65. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. UPS's industry had an average PEG ratio of 1.65 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. Currently, this industry holds a Zacks Industry Rank of 105, positioning it in the top 42% of all 250+ industries.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.