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
€86.72
-0.020%
Currently there is a rather positive sentiment for United Parcel Service Inc. with 39 Buy predictions and 5 Sell predictions.
As a result the target price of 102 € shows a slightly positive potential of 17.62% compared to the current price of 86.72 € for United Parcel Service Inc..
