United Parcel Service (NYSE:UPS) Stock Gets Price Target Reduction from Citigroup

United Parcel Service (NYSE:UPS) had its target price reduced by Citigroup from $132.00 to $122.00 in a research note issued to investors on Wednesday,Benzinga reports. Citigroup currently has a buy rating on the transportation company’s stock.

Other analysts have also issued reports about the stock. The Goldman Sachs Group upped their target price on shares of United Parcel Service from $128.00 to $132.00 and gave the stock a “buy” rating in a research note on Wednesday, July 29th. Stephens decreased their price target on shares of United Parcel Service from $135.00 to $130.00 and set an “overweight” rating for the company in a research note on Wednesday, July 29th. Weiss Ratings upgraded shares of United Parcel Service from a “sell (d+)” rating to a “hold (c-)” rating in a report on Monday, August 17th. Citizens Jmp assumed coverage on shares of United Parcel Service in a research report on Wednesday, July 15th. They issued a “market perform” rating on the stock. Finally, Truist Financial reduced their price objective on shares of United Parcel Service from $130.00 to $115.00 and set a “buy” rating on the stock in a report on Wednesday. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, eleven have assigned a Hold rating and three have given a Sell rating to the stock. Based on data from MarketBeat.com, United Parcel Service presently has a consensus rating of “Hold” and an average target price of $115.87.

United Parcel Service Trading Up 0.5%

UPS opened at $94.59 on Wednesday. The business has a fifty day moving average price of $100.39 and a 200 day moving average price of $103.58. The company has a debt-to-equity ratio of 1.58, a current ratio of 1.18 and a quick ratio of 1.18. United Parcel Service has a 12 month low of $82.00 and a 12 month high of $122.41. The stock has a market capitalization of $80.48 billion, a price-to-earnings ratio of 17.58, a PEG ratio of 1.73 and a beta of 1.07.

United Parcel Service (NYSE:UPS) last posted its quarterly earnings results on Tuesday, July 28th. The transportation company reported $1.76 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.65 by $0.11. The company had revenue of $22.83 billion for the quarter, compared to analyst estimates of $21.86 billion. United Parcel Service had a return on equity of 37.50% and a net margin of 5.08%. United Parcel Service’s revenue for the quarter was up 7.6% compared to the same quarter last year. During the same quarter last year, the company earned $1.55 EPS. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. Sell-side analysts expect that United Parcel Service will post 7.21 earnings per share for the current fiscal year.

United Parcel Service Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Thursday, September 3rd. Stockholders of record on Monday, August 17th were given a dividend of $1.64 per share. This represents a $6.56 annualized dividend and a dividend yield of 6.9%. The ex-dividend date of this dividend was Monday, August 17th. United Parcel Service’s dividend payout ratio (DPR) is 121.93%.

Hedge Funds Weigh In On United Parcel Service

Several hedge funds have recently added to or reduced their stakes in the stock. Victory Capital Management Inc. raised its holdings in United Parcel Service by 72.9% during the fourth quarter. Victory Capital Management Inc. now owns 13,818,314 shares of the transportation company’s stock worth $1,370,639,000 after purchasing an additional 5,826,824 shares in the last quarter. Bank of America Corp DE lifted its position in shares of United Parcel Service by 23.3% during the 1st quarter. Bank of America Corp DE now owns 9,728,123 shares of the transportation company’s stock worth $957,053,000 after buying an additional 1,836,651 shares during the last quarter. Dimensional Fund Advisors LP boosted its holdings in shares of United Parcel Service by 5.7% in the 1st quarter. Dimensional Fund Advisors LP now owns 5,037,626 shares of the transportation company’s stock valued at $495,411,000 after buying an additional 271,646 shares in the last quarter. Bank of New York Mellon Corp boosted its holdings in shares of United Parcel Service by 2.1% in the 1st quarter. Bank of New York Mellon Corp now owns 4,639,324 shares of the transportation company’s stock valued at $456,417,000 after buying an additional 97,582 shares in the last quarter. Finally, Van ECK Associates Corp grew its position in shares of United Parcel Service by 2.5% in the 4th quarter. Van ECK Associates Corp now owns 3,743,860 shares of the transportation company’s stock valued at $371,354,000 after buying an additional 89,856 shares during the last quarter. 60.26% of the stock is currently owned by hedge funds and other institutional investors.

United Parcel Service News Summary

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

• Positive Sentiment: UPS is expanding RFID package tracking, adding PIN-based “Protected Delivery” for high-value shipments, improving returns through Happy Returns, and broadening same-day and bulky-item delivery through Roadie. These services could strengthen package visibility, security, customer retention, and revenue per shipment during the holiday season. How UPS’s Holiday RFID and Secure Delivery Push Will Impact United Parcel Service Investors
• Positive Sentiment: Some investors view UPS as undervalued after a roughly 37.7% five-year decline. The company’s cash-generation potential, established delivery network, and dividend appeal could provide upside if cost reductions and a better product mix stabilize results. UPS Stock Could Be 42% Undervalued
• Neutral Sentiment: UPS plans to hire approximately 100,000 seasonal workers for the 2026 holiday rush, while reports describe the hiring plan as a reduction for a second consecutive year. The lower staffing requirement may reflect efficiency gains, but it could also signal more cautious expectations for holiday shipping demand. UPS to Cut Holiday Hiring
• Negative Sentiment: Citigroup issued a pessimistic forecast for UPS, adding pressure to investor expectations. Citigroup Issues Pessimistic Forecast for UPS
• Negative Sentiment: Truist Financial reduced its UPS price target, reinforcing concerns about earnings growth, shipping volumes, and the company’s ability to offset labor and operating costs. Truist Cuts UPS Price Target

United Parcel Service Company Profile

United Parcel Service, Inc (NYSE: UPS) is a global logistics and package delivery company that provides transportation and supply chain management services to businesses and consumers. Its operations include the pickup, transportation and delivery of packages, documents and freight through ground, air and international networks.

UPS also offers logistics and supply chain solutions, including warehousing, distribution, customs brokerage, contract logistics, returns management and specialized services for healthcare and other industries.