Stock Traders Buy High Volume of Call Options on United Parcel Service (NYSE:UPS)

United Parcel Service, Inc. (NYSE:UPS) was the target of some unusual options trading activity on Friday. Stock investors purchased 32,492 call options on the company. This represents an increase of approximately 55% compared to the average volume of 21,030 call options.

United Parcel Service Stock Performance

NYSE UPS traded down $0.61 on Friday, hitting $97.22. 2,703,745 shares of the company’s stock traded hands, compared to its average volume of 5,619,285. The company has a current ratio of 1.18, a quick ratio of 1.18 and a debt-to-equity ratio of 1.58. United Parcel Service has a 1-year low of $85.24 and a 1-year high of $122.41. The firm’s 50-day moving average price is $99.52 and its two-hundred day moving average price is $103.59. The firm has a market capitalization of $82.72 billion, a PE ratio of 18.07, a P/E/G ratio of 1.76 and a beta of 1.07.

United Parcel Service (NYSE:UPS) last released its quarterly earnings data on Tuesday, July 28th. The transportation company reported $1.76 EPS for the quarter, beating the consensus estimate of $1.65 by $0.11. The business had revenue of $22.83 billion for the quarter, compared to the consensus estimate of $21.86 billion. United Parcel Service had a net margin of 5.08% and a return on equity of 37.50%. The business’s revenue for the quarter was up 7.6% on a year-over-year basis. During the same period in the prior year, the firm earned $1.55 EPS. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. As a group, analysts expect that United Parcel Service will post 7.19 EPS for the current year.

United Parcel Service Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, September 3rd. Shareholders of record on Monday, August 17th were issued a $1.64 dividend. This represents a $6.56 annualized dividend and a yield of 6.7%. The ex-dividend date of this dividend was Monday, August 17th. United Parcel Service’s dividend payout ratio is presently 121.93%.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on UPS shares. BNP Paribas Exane dropped their price objective on shares of United Parcel Service from $90.00 to $85.00 and set an “underperform” rating on the stock in a report on Wednesday, September 30th. JPMorgan Chase & Co. cut their target price on United Parcel Service from $118.00 to $115.00 and set a “neutral” rating on the stock in a research report on Wednesday, July 29th. Weiss Ratings upgraded United Parcel Service from a “sell (d+)” rating to a “hold (c-)” rating in a research note on Monday, August 17th. Sanford C. Bernstein reaffirmed a “buy” rating on shares of United Parcel Service in a research report on Monday, August 24th. Finally, Wall Street Zen cut United Parcel Service from a “buy” rating to a “hold” rating in a research report on Saturday, September 19th. One analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, eleven have assigned a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus price target of $115.87.

United Parcel Service News Summary

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

• Positive Sentiment: UPS is included among transportation companies considered likely to beat earnings estimates this season. The potential catalyst is an earnings surprise, although the article does not provide a specific forecast for UPS. 4 Transportation Stocks Likely to Deliver an Earnings Beat This Season
• Positive Sentiment: UPS opened an $80 million logistics hub at Clark in the Philippines and plans to hire about 600 workers. The facility is intended to strengthen international trade links, improve regional connectivity and potentially lower transportation costs over time. UPS opens $80-million Clark hub, hires 600 workers
• Positive Sentiment: A bullish analysis argues that network optimization, including artificial intelligence, and a shift toward higher-margin healthcare shipments could support double-digit adjusted EPS growth, expanding margins and more than $91 billion in annual revenue. It also views the dividend as supported by free cash flow. UPS: Fuel Prices Don’t Change The Business

Institutional Investors Weigh In On United Parcel Service

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Markowski Investments purchased a new position in shares of United Parcel Service during the 2nd quarter valued at about $30,000. Allied Private Wealth LLC acquired a new stake in United Parcel Service during the second quarter worth about $34,000. Legacy Wealth Managment LLC ID raised its position in United Parcel Service by 48.6% during the first quarter. Legacy Wealth Managment LLC ID now owns 309 shares of the transportation company’s stock valued at $30,000 after acquiring an additional 101 shares in the last quarter. Community Financial Services Group LLC lifted its holdings in United Parcel Service by 170.1% in the second quarter. Community Financial Services Group LLC now owns 370 shares of the transportation company’s stock valued at $41,000 after acquiring an additional 233 shares during the period. Finally, Grove Bank & Trust lifted its holdings in United Parcel Service by 49.8% in the second quarter. Grove Bank & Trust now owns 379 shares of the transportation company’s stock valued at $41,000 after acquiring an additional 126 shares during the period. 60.26% of the stock is owned by institutional investors and hedge funds.

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.