Jefferies Financial Group Inc. has significantly decreased its holdings in United Parcel Service, Inc. (NYSE: UPS), trimming its position by 60.9% during the second quarter of 2023. According to data from HoldingsChannel.com, the institutional investor now owns 5,668 shares of the transportation company after selling 8,839 shares during this period. As of its most recent filing with the Securities and Exchange Commission (SEC), Jefferies’ holdings in United Parcel Service were valued at approximately $572,000.
Other institutional investors have also adjusted their stakes in UPS recently. Evelyn Partners Investment Management Europe Ltd increased its holdings by 110.1%, acquiring an additional 131 shares and bringing its total to 250 shares, valued at $25,000. Meanwhile, Mid American Wealth Advisory Group Inc. purchased a new stake in UPS worth about $26,000. Hemington Wealth Management raised its stake by 68.9%, now owning 282 shares, valued at $31,000 after acquiring more shares.
Saudi Central Bank and Flaharty Asset Management LLC also entered the fray, purchasing new positions in UPS worth approximately $32,000 and $33,000, respectively. Currently, institutional investors hold 60.26% of United Parcel Service’s stock.
Wall Street Analysts Adjust Ratings
United Parcel Service has been the focus of various research reports. On October 29, 2023, Wells Fargo & Company raised its target price for UPS shares from $91.00 to $96.00, maintaining an “equal weight” rating. Conversely, Weiss Ratings reissued a “sell (d+)” rating on the same day. Meanwhile, Wall Street Zen upgraded UPS from a “sell” to a “hold” rating on November 1, 2023. Citigroup increased its target price from $112.00 to $120.00, assigning a “buy” rating.
UBS Group also boosted its price target, moving it from $110.00 to $113.00, while maintaining a “buy” rating. One analyst has given the stock a “Strong Buy” rating, nine analysts have issued a “Buy” rating, sixteen have assigned a “Hold” rating, and four have provided a “Sell” rating. According to MarketBeat.com, the average rating for UPS is “Hold,” with a target price of $110.00.
Recent Trading Performance and Earnings Report
On Friday, shares of United Parcel Service opened at $95.61. The company has a market capitalization of $81.11 billion, a debt-to-equity ratio of 1.50, and a P/E ratio of 14.78. Its fifty-day moving average stands at $89.60, while the two-hundred-day moving average is $92.81. Over the past year, UPS has seen a low of $82.00 and a high of $137.10.
United Parcel Service reported its quarterly earnings on October 28, 2023, revealing earnings per share (EPS) of $1.74, exceeding the consensus estimate of $1.31 by $0.43. The company achieved a revenue of $21.42 billion, surpassing expectations of $20.94 billion, although this represented a year-over-year decline of 3.7%. The return on equity was noted at 40.07%, with a net margin of 6.15%.
Looking ahead, United Parcel Service has set its guidance for Q4 2025 with an anticipated EPS of $7.95 for the current fiscal year.
The company also announced a quarterly dividend of $1.64, payable on December 4, 2023. Shareholders of record on November 17, 2023, will receive this dividend, which translates to an annualized yield of 6.9%. Currently, UPS’s dividend payout ratio stands at 101.39%.
United Parcel Service, Inc. offers a range of services including transportation, delivery, distribution, and logistics solutions through its U.S. Domestic Package and International Package segments. This latest round of trading and financial reporting highlights the ongoing adjustments within the investment community regarding the company’s performance and market outlook.
