United Parcel Service (NYSE:UPS) Stock Price Down 3.8% Following Analyst Downgrade

United Parcel Service, Inc. (NYSE:UPS) shares dropped 3.8% during mid-day trading on Tuesday after Wells Fargo & Company lowered their price target on the stock from $128.00 to $120.00. Wells Fargo & Company currently has an overweight rating on the stock. United Parcel Service traded as low as $112.13 and last traded at $111.45. Approximately 1,449,649 shares changed hands during mid-day trading, a decline of 68% from the average daily volume of 4,496,863 shares. The stock had previously closed at $115.80.

A number of other equities research analysts have also recently commented on UPS. Wolfe Research raised United Parcel Service from a “peer perform” rating to an “outperform” rating and set a $147.00 price objective for the company in a research note on Wednesday, January 8th. Loop Capital decreased their price target on shares of United Parcel Service from $120.00 to $115.00 and set a “hold” rating for the company in a research note on Monday, February 3rd. StockNews.com raised shares of United Parcel Service from a “hold” rating to a “buy” rating in a research note on Wednesday, March 5th. Truist Financial assumed coverage on shares of United Parcel Service in a research report on Thursday, March 13th. They set a “buy” rating and a $140.00 target price for the company. Finally, Robert W. Baird cut shares of United Parcel Service from an “outperform” rating to a “neutral” rating and dropped their price target for the company from $160.00 to $130.00 in a research report on Friday, January 31st. Two investment analysts have rated the stock with a sell rating, nine have issued a hold rating, fourteen have issued a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, United Parcel Service currently has an average rating of “Moderate Buy” and an average price target of $137.57.

Institutional Investors Weigh In On United Parcel Service

Several large investors have recently added to or reduced their stakes in the company. IMG Wealth Management Inc. purchased a new position in shares of United Parcel Service in the fourth quarter worth about $25,000. Generali Investments Management Co LLC bought a new stake in United Parcel Service during the 4th quarter valued at $26,000. IFS Advisors LLC lifted its position in shares of United Parcel Service by 232.3% during the fourth quarter. IFS Advisors LLC now owns 216 shares of the transportation company’s stock worth $27,000 after acquiring an additional 151 shares in the last quarter. Pinney & Scofield Inc. bought a new position in shares of United Parcel Service in the fourth quarter worth $27,000. Finally, Fourth Dimension Wealth LLC purchased a new position in shares of United Parcel Service in the fourth quarter valued at $28,000. Hedge funds and other institutional investors own 60.26% of the company’s stock.

United Parcel Service Stock Performance

The business has a 50 day moving average of $119.30 and a 200-day moving average of $126.68. The company has a debt-to-equity ratio of 1.16, a quick ratio of 1.14 and a current ratio of 1.17. The company has a market capitalization of $94.72 billion, a P/E ratio of 16.38, a price-to-earnings-growth ratio of 1.55 and a beta of 0.94.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings results on Thursday, January 30th. The transportation company reported $2.75 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.52 by $0.23. United Parcel Service had a net margin of 6.35% and a return on equity of 39.13%. During the same period in the prior year, the business earned $2.47 EPS. On average, sell-side analysts predict that United Parcel Service, Inc. will post 7.95 EPS for the current fiscal year.

United Parcel Service Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, March 6th. Investors of record on Tuesday, February 18th were given a dividend of $1.64 per share. This represents a $6.56 annualized dividend and a yield of 5.92%. This is a positive change from United Parcel Service’s previous quarterly dividend of $1.63. The ex-dividend date was Tuesday, February 18th. United Parcel Service’s dividend payout ratio (DPR) is presently 97.04%.

About United Parcel Service

United Parcel Service, Inc, a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States.