Investors Purchase Large Volume of Call Options on United Parcel Service (NYSE:UPS)

United Parcel Service, Inc. (NYSE:UPS) saw some unusual options trading activity on Friday. Investors bought 74,917 call options on the stock. This represents an increase of approximately 200% compared to the typical volume of 24,960 call options.

Institutional Trading of United Parcel Service

Large investors have recently bought and sold shares of the company. Vanguard Group Inc. grew its stake in shares of 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 worth $6,794,160,000 after acquiring an additional 1,218,432 shares during the period. State Street Corp increased its stake in shares of United Parcel Service by 3.3% in the fourth quarter. State Street Corp now owns 32,092,627 shares of the transportation company’s stock worth $3,183,268,000 after purchasing an additional 1,029,377 shares in the last quarter. Charles Schwab Investment Management Inc. raised its position in shares of United Parcel Service by 3.3% in the fourth 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 purchasing an additional 856,125 shares during the period. Geode Capital Management LLC raised its position in shares of United Parcel Service by 1.4% in the fourth quarter. Geode Capital Management LLC now owns 17,154,091 shares of the transportation company’s stock valued at $1,703,291,000 after purchasing an additional 240,253 shares during the period. Finally, Victory Capital Management Inc. lifted its stake in shares of 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 buying an additional 5,826,824 shares in the last quarter. 60.26% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several research analysts recently weighed in on the stock. Susquehanna boosted their price target on shares of United Parcel Service from $118.00 to $120.00 and gave the stock a “neutral” rating in a report on Wednesday, July 29th. Stephens dropped their target price on shares of United Parcel Service from $135.00 to $130.00 and set an “overweight” rating on the stock in a research report on Wednesday, July 29th. Weiss Ratings downgraded United Parcel Service from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Monday, August 3rd. BMO Capital Markets upped their target price on United Parcel Service from $110.00 to $115.00 and gave the company a “market perform” rating in a report on Wednesday, July 29th. Finally, Citigroup increased their price target on United Parcel Service from $127.00 to $132.00 and gave the company a “buy” rating in a research report on Thursday, July 9th. One research analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, ten have issued a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat.com, United Parcel Service presently has a consensus rating of “Hold” and a consensus target price of $117.41.

United Parcel Service Stock Performance

UPS traded down $1.01 during trading on Friday, hitting $104.53. 4,226,562 shares of the company traded hands, compared to its average volume of 5,805,008. United Parcel Service has a one year low of $82.00 and a one year high of $122.41. The stock’s fifty day moving average is $108.88 and its 200 day moving average is $106.51. The company has a quick ratio of 1.18, a current ratio of 1.18 and a debt-to-equity ratio of 1.58. The firm has a market cap of $88.85 billion, a P/E ratio of 19.43, a price-to-earnings-growth ratio of 1.91 and a beta of 1.06.

United Parcel Service (NYSE:UPS) last announced its quarterly earnings data on Tuesday, July 28th. The transportation company reported $1.76 EPS for the quarter, topping the consensus estimate of $1.65 by $0.11. The business had revenue of $22.83 billion for the quarter, compared to analyst estimates of $21.86 billion. United Parcel Service had a net margin of 5.08% and a return on equity of 37.50%. The company’s revenue for the quarter was up 7.6% on a year-over-year basis. During the same quarter in the previous year, the firm posted $1.55 earnings per share. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. As a group, equities analysts predict that United Parcel Service will post 7.22 EPS for the current fiscal year.

United Parcel Service Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Thursday, September 3rd. Investors of record on Monday, August 17th will be issued a $1.64 dividend. This represents a $6.56 dividend on an annualized basis and a dividend yield of 6.3%. The ex-dividend date of this dividend is Monday, August 17th. United Parcel Service’s payout ratio is 121.93%.

United Parcel Service Company Profile

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.