Allworth Financial LP has increased its ownership in United Parcel Service, Inc. (NYSE:UPS) by 3.6% during the first quarter of 2023, according to a report from HoldingsChannel. The investment firm now holds 148,935 shares of the company’s stock, valued at approximately $16,381,000 following the acquisition of an additional 5,170 shares.
Several other institutional investors have also adjusted their positions in UPS. For instance, Altus Wealth Group LLC raised its stake by 4.6% in the fourth quarter, acquiring 2,022 shares valued at $255,000. Similarly, Colonial Trust Co SC increased its holdings by 1.4%, now owning 7,227 shares worth $911,000.
Institutional Investment Trends
Further changes in holdings include Juncture Wealth Strategies LLC, which grew its stake by 2.5% in the first quarter, resulting in ownership of 4,124 shares valued at $454,000. TCV Trust & Wealth Management Inc. also increased its position by 1.4%, now holding 7,544 shares worth $830,000. Meanwhile, Cohen & Steers Inc. expanded its stake by 5.3%, acquiring 2,054 shares valued at $259,000.
Currently, institutional investors and hedge funds own approximately 60.26% of UPS stock. This reflects a growing confidence in the company among major financial players.
Analysts’ Ratings and Price Targets
Research firms have recently updated their price targets for UPS shares. Stifel Nicolaus lowered its target from $145.00 to $124.00, maintaining a “buy” rating. Conversely, Bank of America raised its target from $111.00 to $115.00, also issuing a “buy” rating.
Barclays adjusted its price target downwards from $100.00 to $90.00, labeling it as “underweight.” In contrast, Wolfe Research revised its estimate from $133.00 to $113.00, rating the stock as “outperform.” Finally, Citigroup increased its target from $122.00 to $127.00, reiterating a “buy” rating.
Overall, analysts have provided mixed ratings with two recommending a sell, fifteen advising a hold, eleven suggesting a buy, and one issuing a strong buy recommendation. The consensus rating remains a “Hold” with a target price of $119.13, according to data from MarketBeat.com.
United Parcel Service’s Financial Performance
On April 29, 2023, UPS released its quarterly earnings, reporting earnings per share (EPS) of $1.49, surpassing analysts’ estimates of $1.38 by $0.11. The company’s revenue for the quarter reached $21.50 billion, exceeding the consensus estimate of $21.25 billion.
Despite a 0.9% year-over-year decline, the company maintained a net margin of 6.44% and a return on equity of 40.15%. Analysts project an EPS of $7.95 for the current fiscal year.
UPS also announced a quarterly dividend of $1.64 per share, paid on June 5, 2023, to investors who were recorded as of May 19, 2023. This dividend represents an annualized payout of $6.56, yielding 6.38%. The company’s payout ratio stands at 95.63%.
As of the latest trading session, UPS stock opened at $102.87, with a market capitalization of $87.11 billion. The stock has a price-to-earnings ratio of 15.00 and a PEG ratio of 1.96, indicating a steady interest in the company despite current market fluctuations.
