UPS (United Parcel Service) Stock News

These dividend stocks have recession-resistant businesses and are generally quite stable.

When investors look for dividend stocks, one of the first metrics they consider is dividend yield. This measure measures how much a company pays out in annual dividends relative to its stock price.

There's a good case for buying UPS (UPS -1.61%) stock, and an even better one for buying the stock if it cuts its dividend. It's not just about ensuring that the dividend is adequately supported by cash flow generation in the short term; it's also essential to guarantee that management can fully capitalize on the growth opportunities created by its current actions.

UPS is oversold, trading near multi-year lows, with Wall Street overly focused on negatives and ignoring operational improvements and cost cuts. Management is aggressively restructuring, targeting $3.5B in cost savings, pivoting to higher-margin healthcare and SMB segments, and maintaining a nearly 7% dividend yield. Valuation is compelling: P/E around 14, EV/EBITDA under 9, and 25–35% upside t...

UPS offers a nearly 7% dividend yield, which I believe is safe due to strong free cash flow, despite recent underperformance. Cost-cutting initiatives and domestic margin strength could drive efficiency gains, making current low valuation levels attractive for investors. Valuation is compelling: Even a conservative 15x P/E suggests UPS is undervalued, with upside potential if earnings rebound f...

UPS is trading near Covid lows after a 34% YTD decline. Long-term headwinds include high costs and declining margins, but management is targeting $1B in savings through efficiency initiatives. Revenues are not growing but are stable. There is a risk from the trade war, but as long as the dividend is not cut, the risk/reward ratio is attractive.

A steep sell-off in the shares of United Parcel Service (UPS -1.51%) has pushed their yield up to 6.5% -- making it one of the 10 highest-yielding stocks in the S&P 500. But the high yield has come much to the dislike of long-term investors, who have seen UPS stock fall over 56% from its all-time high in February 2022.

The trend is your friend is a well-known Wall Street catchphrase that often has proven to be correct.