United Parcel Service (NYSE:UPS) Price Target Lowered to $118.00 at Citigroup

United Parcel Service (NYSE:UPS) had its price objective dropped by investment analysts at Citigroup from $120.00 to $118.00 in a research note issued to investors on Tuesday,Benzinga reports. The firm currently has a “buy” rating on the transportation company’s stock. Citigroup’s price target suggests a potential upside of 20.95% from the stock’s previous close.

UPS has been the subject of several other reports. Stifel Nicolaus lifted their price target on United Parcel Service from $112.00 to $116.00 and gave the company a “buy” rating in a research report on Wednesday, January 28th. Deutsche Bank Aktiengesellschaft lifted their price target on United Parcel Service from $88.00 to $106.00 and gave the company a “hold” rating in a research report on Wednesday, January 28th. Truist Financial boosted their target price on United Parcel Service from $120.00 to $130.00 and gave the stock a “buy” rating in a research report on Wednesday, January 28th. UBS Group boosted their target price on United Parcel Service from $116.00 to $125.00 and gave the stock a “buy” rating in a research report on Wednesday, January 28th. Finally, JPMorgan Chase & Co. boosted their target price on United Parcel Service from $99.00 to $107.00 and gave the stock a “neutral” rating in a research report on Wednesday, January 28th. Two equities research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating, fourteen have issued a Hold rating and three have given a Sell rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus target price of $113.60.

United Parcel Service Stock Performance

Shares of UPS traded up $0.40 during mid-day trading on Tuesday, hitting $97.56. The stock had a trading volume of 4,353,128 shares, compared to its average volume of 6,510,975. The firm has a market cap of $82.84 billion, a P/E ratio of 14.87, a PEG ratio of 1.54 and a beta of 1.12. The business has a fifty day moving average price of $106.94 and a 200-day moving average price of $99.38. The company has a debt-to-equity ratio of 1.45, a current ratio of 1.22 and a quick ratio of 1.22. United Parcel Service has a 52 week low of $82.00 and a 52 week high of $122.41.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings results on Tuesday, January 27th. The transportation company reported $2.38 earnings per share for the quarter, beating the consensus estimate of $2.20 by $0.18. The company had revenue of $24.48 billion during the quarter, compared to analysts’ expectations of $23.91 billion. United Parcel Service had a return on equity of 38.30% and a net margin of 6.28%.The firm’s quarterly revenue was down 3.2% compared to the same quarter last year. During the same period in the previous year, the business earned $2.75 earnings per share. On average, equities research analysts expect that United Parcel Service will post 7.95 EPS for the current year.

Insider Activity

In other news, insider Norman M. Brothers, Jr. sold 25,014 shares of the company’s stock in a transaction dated Wednesday, January 28th. The stock was sold at an average price of $106.15, for a total value of $2,655,236.10. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders own 0.13% of the company’s stock.

Hedge Funds Weigh In On United Parcel Service

A number of hedge funds and other institutional investors have recently modified their holdings of the company. Vanguard Group Inc. boosted its holdings in United Parcel Service by 1.8% during the 4th quarter. Vanguard Group Inc. now owns 68,496,420 shares of the transportation company’s stock valued at $6,794,160,000 after acquiring an additional 1,218,432 shares during the period. State Street Corp boosted its holdings in United Parcel Service by 3.3% during the 4th quarter. State Street Corp now owns 32,092,627 shares of the transportation company’s stock valued at $3,183,268,000 after acquiring an additional 1,029,377 shares during the period. Charles Schwab Investment Management Inc. boosted its holdings in United Parcel Service by 3.3% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 27,142,759 shares of the transportation company’s stock valued at $2,692,290,000 after acquiring an additional 856,125 shares during the period. Geode Capital Management LLC boosted its holdings in United Parcel Service by 1.4% during the 4th quarter. Geode Capital Management LLC now owns 17,154,091 shares of the transportation company’s stock valued at $1,703,291,000 after acquiring an additional 240,253 shares during the period. Finally, Victory Capital Management Inc. boosted its holdings in United Parcel Service by 72.9% during the 4th quarter. Victory Capital Management Inc. now owns 13,818,314 shares of the transportation company’s stock valued at $1,370,639,000 after acquiring an additional 5,826,824 shares during the period. 60.26% of the stock is currently owned by hedge funds and other institutional investors.

United Parcel Service News Roundup

Here are the key news stories impacting United Parcel Service this week:

• Positive Sentiment: Settlement removes labor uncertainty by capping voluntary driver buyouts and clarifying seniority protections through 2028 — this lowers litigation and bargaining risk for investors. UPS, Teamsters reach settlement that caps driver severance offers
• Neutral Sentiment: UPS and the Teamsters agreed to cap buyouts at about 7,500 drivers and to limit severance payments (reported cap ~$150k per driver), offering clarity on workforce plans but constraining the scale of voluntary cuts. UPS Inks Deal to Cap Driver Buyouts: Will the Cost Burden Ease?
• Negative Sentiment: Bank of America trimmed its UPS price target (from $112 to $105), citing the Teamsters settlement as a constraint on margin recovery — a direct signal that analysts expect earnings pressure from the deal. UPS Price Target Trimmed to $105 by BofA as Teamsters Settlement Tightens the Road to Margin Recovery
• Negative Sentiment: Diesel prices have surged (reports say ~50% jump), lifting fuel surcharges industry‑wide and increasing UPS’s network costs at a time when capacity is already tight — a clear near‑term headwind for margins. Diesel Prices Jump Nearly 50%, Trucking Surcharges Hit Highest Since 2022
• Negative Sentiment: FedEx’s recent stock rally and positive guidance spotlight competitor momentum on cost cuts — increasing investor scrutiny on UPS’s ability to execute margin recovery while managing higher fuel and labor costs. FedEx Stock Rises 16.2% in 3 Months: Buy the Rally or Wait?

About United Parcel Service

United Parcel Service (NYSE: UPS) is a global package delivery and supply chain management company that provides a broad range of transportation, logistics and e-commerce services. Its core business centers on small-package delivery and last-mile distribution for business and individual customers, supported by a network of ground transportation, air cargo operations (UPS Airlines) and sorting facilities. In addition to parcel delivery, UPS offers freight transportation, contract logistics, warehousing, customs brokerage and reverse-logistics solutions designed to support domestic and international commerce.

The company traces its roots to 1907 when it began as a small messenger service in the United States and later evolved into the United Parcel Service.