youNited Parcel Service (UPS) closed at $194.39 in the last trading session, marking a -1.43% move from the previous day. This change trailed the S&P 500’s 0.97% loss on the day. Meanwhile, the Dow Jones lost 0.42% and the Nasdaq, a high-tech index, lost 0.49%.
Going into today, shares of the package delivery service had lost 3.05% in the past month. In that same time, the Transportation sector lost 2.95%, while the S&P 500 gained 4.71%.
Investors will expect strength from United Parcel Service as it approaches its next earnings release, expected on April 26, 2022. In that report, analysts expect United Parcel Service to post earnings of $2.87 per share. This would mark a year-on-year growth of 3.61%. Our most recent consensus estimate calls for quarterly revenue of $23.79 billion, up 3.85% from the same period a year ago.
Looking at the full year, our Zacks Consensus Estimates suggest that analysts expect earnings of $12.79 per share and revenue of $102.2 billion. These totals would mark changes of +5.44% and +5.05%, respectively, from last year.
Investors should also note any recent changes in analyst estimates for United Parcel Service. These reviews help show the changing nature of short-term trading trends. As such, the positive revisions to estimates reflect analysts’ optimism about the company’s business and profitability.
Our research shows that these changes in estimates are directly related to short-term stock prices. Investors can take advantage of this by using the Zacks range. This model accounts for these estimate changes and provides a simple and actionable rating system.
The Zacks ranking system goes from #1 (Strong Buy) to #5 (Strong Sell). Has a remarkable externally audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past 30 days, our consensus EPS projection has moved 0.12% lower . United Parcel Service currently sports a Zacks rank of #3 (Wait).
Investors should also note United Parcel Service’s current valuation metrics, including its forward P/E ratio of 15.42. This valuation marks a premium compared to its industry average forward P/E of 15.24.
Also, we should mention that UPS has a PEG ratio of 1.28. This popular metric is similar to the widely known P/E ratio, except that the PEG ratio also takes into account the company’s expected earnings growth rate. Transportation – Air Freight & Freight had an average PEG ratio of 1.28 at yesterday’s closing price.
The Transportation – Air Freight and Freight industry is part of the Transportation sector. This group has a Zacks Industry Ranking of 82, putting it in the top 33% of 250+ industries.
The Zacks Industry Rating measures the strength of our industry groups by measuring the average Zacks rating of individual stocks within the groups. Our research shows that the top 50% ranked industries outperform the bottom half by a factor of 2 to 1.
Be sure to track all of these stock movement metrics and more at Zacks.com.
Zacks Names “The Best Single Pick To Duplicate”
Out of thousands of stocks, 5 Zacks experts have each chosen their favorite to soar 100% or more in the coming months. Of those 5, the director of research, Sheraz Mian, chooses one that has the most explosive advantage of all.
It’s a little-known chemical company that’s up 65% from last year, but it’s still very cheap. With relentless demand, skyrocketing earnings estimates for 2022, and $1.5 billion for share buybacks, retail investors could jump in at any time.
This company could rival or outperform other recent Zacks stocks to double down, such as Boston Beer Company, which is up +143.0% in just over 9 months, and NVIDIA, which is up +175.9% in a year .
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.