United Parcel Service (NYSE:UPS) Shares 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 trading, a decline of 68% from the average daily volume of 4,496,863 shares. The stock had previously closed at $115.80.

Other equities research analysts have also issued research reports about the company. Bank of America cut their target price on United Parcel Service from $133.00 to $129.00 and set a “buy” rating on the stock in a research report on Tuesday. BMO Capital Markets raised shares of United Parcel Service from a “market perform” rating to an “outperform” rating and reduced their price objective for the stock from $155.00 to $150.00 in a research report on Tuesday, December 10th. Morgan Stanley lowered their price objective on shares of United Parcel Service from $100.00 to $82.00 and set an “underweight” rating for the company in a research note on Friday, January 31st. Raymond James cut their target price on shares of United Parcel Service from $155.00 to $145.00 and set a “strong-buy” rating on the stock in a research note on Friday, January 31st. Finally, StockNews.com raised shares of United Parcel Service from a “hold” rating to a “buy” rating in a research note on Wednesday, March 5th. Two research analysts have rated the stock with a sell rating, nine have assigned a hold rating, fourteen have issued a buy rating and one has issued a strong buy rating to the company. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $137.57.

Hedge Funds Weigh In On United Parcel Service

Several hedge funds have recently modified their holdings of the company. IMG Wealth Management Inc. bought a new stake in United Parcel Service during the fourth quarter worth $25,000. Generali Investments Management Co LLC bought a new stake in shares of United Parcel Service during the 4th quarter worth $26,000. IFS Advisors LLC boosted its holdings in shares of United Parcel Service by 232.3% in the 4th quarter. IFS Advisors LLC now owns 216 shares of the transportation company’s stock worth $27,000 after buying an additional 151 shares during the last quarter. Pinney & Scofield Inc. bought a new position in United Parcel Service during the fourth quarter valued at about $27,000. Finally, Fourth Dimension Wealth LLC purchased a new stake in United Parcel Service during the fourth quarter worth about $28,000. Institutional investors own 60.26% of the company’s stock.

United Parcel Service Trading Up 0.1 %

The company has a quick ratio of 1.14, a current ratio of 1.17 and a debt-to-equity ratio of 1.16. The firm has a market cap of $94.87 billion, a P/E ratio of 16.43, a price-to-earnings-growth ratio of 1.55 and a beta of 0.94. The firm’s 50-day simple moving average is $119.30 and its 200 day simple moving average is $126.68.

United Parcel Service (NYSE:UPS) last posted its quarterly earnings results on Thursday, January 30th. The transportation company reported $2.75 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 previous year, the firm posted $2.47 EPS. As a group, analysts expect that United Parcel Service, Inc. will post 7.95 earnings per share for the current year.

United Parcel Service Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, March 6th. Investors of record on Tuesday, February 18th were issued a $1.64 dividend. The ex-dividend date of this dividend was Tuesday, February 18th. This represents a $6.56 annualized dividend and a yield of 5.91%. This is a positive change from United Parcel Service’s previous quarterly dividend of $1.63. United Parcel Service’s dividend payout ratio (DPR) is 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.