United Parcel Service reported first quarter earnings that surpassed expectations.
The delivery company’s adjusted net income came in at $5.47 a share, vs. an adjusted loss of -$2.87 a share in the year-ago quarter. Analysts polled by FactSet had expected earnings of $1.72 a share.
Revenue surged +27% from the year-ago period to $22.9 billion, also beating analysts’ expectation of $20.49 billion.
The company’s revenue in its U.S. domestic unit rose 22.3%, led by growth from small- and medium-sized businesses.
UPS has been benefitting from increased online deliveries as consumers staying at home during the pandemic order various items on digital platforms. It is also delivering COVID-19 vaccines.
“During the quarter, we continued to execute our strategy under the better not bigger framework, which enabled us to win the best opportunities in the market and drove record financial results,” CEO Carol Tome said in a statement.
Citing “continued economic uncertainty”, the company did not provide any projection for 2021 revenue or diluted earnings per share.
UPS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options. In of 37 cases where UPS's price broke its lower Bollinger Band, its price rose further in the following month. The odds of a continued upward trend are .
The Momentum Indicator moved above the 0 level on April 26, 2024. You may want to consider a long position or call options on UPS as a result. In of 93 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for UPS just turned positive on April 24, 2024. Looking at past instances where UPS's MACD turned positive, the stock continued to rise in of 51 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where UPS advanced for three days, in of 322 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 62 cases where UPS's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
UPS moved below its 50-day moving average on April 12, 2024 date and that indicates a change from an upward trend to a downward trend.
The 10-day moving average for UPS crossed bearishly below the 50-day moving average on April 15, 2024. This indicates that the trend has shifted lower and could be considered a sell signal. In of 18 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where UPS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for UPS entered a downward trend on April 26, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (7.278) is normal, around the industry mean (19.997). P/E Ratio (18.926) is within average values for comparable stocks, (23.454). Projected Growth (PEG Ratio) (1.752) is also within normal values, averaging (10.503). Dividend Yield (0.044) settles around the average of (0.037) among similar stocks. P/S Ratio (1.396) is also within normal values, averaging (1.265).
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 78, placing this stock slightly better than average.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. UPS’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a provider of global package delivery and supply chain management solutions
Industry AirFreightCouriers