Is UPS the Best Dividend Stock?
UPS' (NYSE: UPS) current forward dividend yield of around 4.4% is highly attractive for income-seeking investors, but is the payout sustainable? The company's earnings have disappointed recently, and the dividend cover looks pretty thin in 2024. Is UPS a stock for dividend hunters to buy? Here's what you need to know before buying the stock.
The company's trailing-12-month dividend cost it about $5.4 billion, and as you can see below, following a disappointing 2023, its free cash flow (FCF) per share didn't cover its dividend last year. Clearly, that's not a sustainable situation, and investors should buy UPS stock more for where the company is going than where it just came from.
Source Fool.com
United Parcel Service Inc. Stock
€127.58
-0.200%
We see a rather positive sentiment for United Parcel Service Inc. with 14 Buy predictions and 1 Sell predictions.
With a target price of 161 € there is a positive potential of 26.2% for United Parcel Service Inc. compared to the current price of 127.58 €.
