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United Parcel Service (UPS) Dips More Than Broader Markets: What You Should Know
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United Parcel Service (UPS - Free Report) closed at $162.31 in the latest trading session, marking a -1.01% move from the prior day. This move lagged the S&P 500's daily loss of 0.7%. Elsewhere, the Dow lost 0.57%, while the tech-heavy Nasdaq lost 1.06%.
Prior to today's trading, shares of the package delivery service had lost 9.18% over the past month. This has lagged the Transportation sector's loss of 4.85% and the S&P 500's gain of 0.58% in that time.
United Parcel Service will be looking to display strength as it nears its next earnings release. On that day, United Parcel Service is projected to report earnings of $2.21 per share, which would represent a year-over-year decline of 26.09%. Meanwhile, our latest consensus estimate is calling for revenue of $22.09 billion, down 8.58% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.70 per share and revenue of $92.98 billion. These totals would mark changes of -25.04% and -7.33%, respectively, from last year.
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. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. Within the past 30 days, our consensus EPS projection has moved 8.99% lower. United Parcel Service is currently a Zacks Rank #4 (Sell).
Valuation is also important, so investors should note that United Parcel Service has a Forward P/E ratio of 16.9 right now. Its industry sports an average Forward P/E of 15.87, so we one might conclude that United Parcel Service is trading at a premium comparatively.
Investors should also note that UPS has a PEG ratio of 1.69 right now. 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. The Transportation - Air Freight and Cargo industry currently had an average PEG ratio of 1.69 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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United Parcel Service (UPS) Dips More Than Broader Markets: What You Should Know
United Parcel Service (UPS - Free Report) closed at $162.31 in the latest trading session, marking a -1.01% move from the prior day. This move lagged the S&P 500's daily loss of 0.7%. Elsewhere, the Dow lost 0.57%, while the tech-heavy Nasdaq lost 1.06%.
Prior to today's trading, shares of the package delivery service had lost 9.18% over the past month. This has lagged the Transportation sector's loss of 4.85% and the S&P 500's gain of 0.58% in that time.
United Parcel Service will be looking to display strength as it nears its next earnings release. On that day, United Parcel Service is projected to report earnings of $2.21 per share, which would represent a year-over-year decline of 26.09%. Meanwhile, our latest consensus estimate is calling for revenue of $22.09 billion, down 8.58% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.70 per share and revenue of $92.98 billion. These totals would mark changes of -25.04% and -7.33%, respectively, from last year.
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. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. 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 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. Within the past 30 days, our consensus EPS projection has moved 8.99% lower. United Parcel Service is currently a Zacks Rank #4 (Sell).
Valuation is also important, so investors should note that United Parcel Service has a Forward P/E ratio of 16.9 right now. Its industry sports an average Forward P/E of 15.87, so we one might conclude that United Parcel Service is trading at a premium comparatively.
Investors should also note that UPS has a PEG ratio of 1.69 right now. 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. The Transportation - Air Freight and Cargo industry currently had an average PEG ratio of 1.69 as of yesterday's close.
The Transportation - Air Freight and Cargo industry is part of the Transportation sector. This group has a Zacks Industry Rank of 20, putting it in the top 8% of all 250+ industries.
The Zacks Industry Rank includes is listed in order 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.