Argus has recently raised United Parcel Service, Inc. (UPS) stock to Buy rating, as announced on November 5, 2024, according to Finviz. Earlier, on October 21, 2024, Barclays had reduced the stock from a Equal Weight to Underweight, setting a price target of $120. Citigroup also initiated Buy rating with a price target of $162. Additionally, TD Cowen resumed Hold rating on August 22, 2024. Wells Fargo analysts, in their report published on June 7, 2024, also initiated Overweight rating and set a price target of $156 for United Parcel Service, Inc.’s stock. Analyst ratings are significant because they provide insights into stock performance expectations, influencing investor decisions and market sentiment.
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United Parcel Service, Inc. (UPS) Stock Trading Recap
On Monday, United Parcel Service, Inc. (UPS) stock saw a decline, ending the day at $131.61 which represents a decrease of $-0.83 or -0.63% from the prior close of $132.44. The stock opened at $132.66 and touched a low of $131.24 during the day, reaching a high of $133.73. The volume of shares traded was 4.64 million exceeding the average volume of 3.91 million.
UPS Stock Performance and Moving Averages
In recent trading, United Parcel Service, Inc. (UPS) stock price has shown some volatility, fluctuating -1.05% over the last five trades and -2.22% over the past 30 trades. This represents a notable shift from earlier in the year. Over the last six months, the stock has risen by -12.61%, and it has gained 4.05% in the previous three months. Currently, UPS is trading at -1.83%, -0.38%, and -5.50% relative to its 20-Day, 50-Day, and 200-Day Simple Moving Averages, respectively.
As of the latest trading close, UPS, a Industrials sector stock, is trading -19.66% below its 52-week high but remains 6.90% above its 52-week low. The Average True Range (ATR) (14 days) of 2.6 highlights the stock’s average volatility, providing insight into how much the price typically fluctuates. This measure is crucial for understanding potential price swings and assessing overall market risk.
United Parcel Service, Inc.’s Profitability and Valuation Ratios
United Parcel Service, Inc.’s profitability metrics reveal strong financial health. The company currently boasts an operating margin of 9.25% and a profit margin of 6.26%, with a gross margin of -12.61%. The profit margin, also known as the revenue ratio or gross profit ratio, measures how efficiently a company converts sales into net income; higher margins indicate greater profitability.
In terms of valuation, United Parcel Service, Inc.’s market capitalization stands at $113.17 billion. Market cap represents the total value of all outstanding shares and is a key indicator of a company’s market value. The stock’s price-to-earnings (P/E) ratio is 19.9, assessing the company’s valuation relative to its earnings. The forward P/E ratio, which uses projected earnings for the next financial year, is 15.02. Additionally, the Price-to-Sales Ratio is 1.25, reflecting the market’s valuation of the company’s sales, while the Price-to-Book Ratio is 6.66, comparing the market value to the company’s book value.
Understanding Insider Trading
Investors often prefer to invest in shares held by company insiders, as management is typically more aligned with the company’s success and shareholder interests. Currently, insiders own just 14.29% of United Parcel Service, Inc. (UPS)’s shares, while financial institutions hold 62.11%.
