Is United Parcel Service Stock a Buy Now?
United Parcel Service (NYSE: UPS) is in the middle of a major corporate overhaul. That has required management to make hard choices, face down some difficult issues, and muddle through problems that were out of its control. Yet Wall Street still appears worried about the logistics giant's future, given that its stock price has fallen by about half over roughly the past three years.
The list of issues that have investors worried about UPS is long, and it covers a lot of ground. There are legitimate reasons why Wall Street is downbeat on UPS' shares.
For example, in 2023, the company signed a new contract with its 340,000 unionized workers. That led to a big increase in UPS' employee costs, which is not good for profitability. Since then, the company has been attempting to boost profitability by streamlining its operations and making greater use of technology. However, closing sorting facilities generally leads to write-offs, which also hurt profits. And big capital investments in technology cost money up front, too.
Source Fool.com
United Parcel Service Inc. Stock
Our community is currently high on United Parcel Service Inc. with 45 Buy predictions and 6 Sell predictions.
With a target price of 105 € there is a positive potential of 22.43% for United Parcel Service Inc. compared to the current price of 85.76 €.
