Will UPS' Move to Reduce Amazon Deliveries Backfire?
Last year, United Parcel Service (NYSE: UPS) announced that it would be slashing the business it does with Amazon by more than 50%. The reduction is set to be complete by the latter half of this year, and the result will be a smaller and leaner operation for UPS.
The company has made the controversial move in order to improve its margins, so that its financial results will be stronger. But at the same time, it's taking away a big growth opportunity for its business. Could this move end up backfiring for UPS and its investors?
Image source: Getty Images.
Source Fool.com
United Parcel Service Inc. Stock
€83.23
0.820%
Currently there is a rather positive sentiment for United Parcel Service Inc. with 41 Buy predictions and 6 Sell predictions.
As a result the target price of 102 € shows a positive potential of 22.55% compared to the current price of 83.23 € for United Parcel Service Inc..
