Added to YB: 2025-07-21
Pitch date: 2025-07-17
UPS [neutral]
United Parcel Service, Inc.
+21.78%
current return
Author Info
Financial Engineering shares stock pitches in concise 12-page reports. Visit the website.
Company Info
United Parcel Service, Inc., a package delivery and logistics provider, offers transportation and delivery services.
Market Cap
$98.0B
Pitch Price
$94.88
Price Target
N/A
Dividend
5.68%
EV/EBITDA
8.59
P/E
17.61
EV/Sales
1.36
Sector
Air Freight and Logistics
Category
dividend
Not Safe: My next picks for a dividend cut - United Parcel Service, Inc.
UPS (bearish): High 6.6% yield but 25yr price return only 41% (1.4% CAGR). Post-pandemic sales stabilized higher, but margins below pre-boom levels. FCF barely covers dividend. Q2 guidance shows B2C volumes down 9%. $24B debt+pension vs $4.8B cash. Dividend at risk if economy weakens despite automation efforts.
Read full article (3 min)