After FedEx's Warning, What Can Investors Expect From UPS?
FedEx's (NYSE: FDX) earnings shocked the market in late September, and there's a real fear that UPS (NYSE: UPS) will follow suit when it reports results on Oct. 26. A lot is going on, so here's a brief summation of what investors need to look out for when UPS shares its third-quarter earnings.
I'll cut to the chase. The key number to focus on is the U.S. domestic package segment profit margin. But it's not just about one number, of course; it's about the factors that go together to produce the metric and what investors can expect in the future.
A breakout of adjusted operating profit by segment is in the table below. Not only is the U.S. domestic package segment the key profit generator at the company, but it's also forecast to produce the bulk of the company's profit increase in the coming years.
Source Fool.com
