#5 - United Parcel Service (NYSE:UPS)
United Parcel Service Inc. (NYSE: UPS) is a pick for growth and value. The company that makes up a duopoly with FedEx Corporation (NYSE: FDX) undertook major cost-cutting initiatives in 2023 as e-commerce normalizes.
But normalizing doesn't mean no growth. Those initiatives are beginning to show up in the company's margins. That efficiency will set the company up for growing earnings, which are still lagging on a year-over-year (YOY) basis but are expected to grow 16.6% in the next 12 months. This will be particularly true if the Federal Reserve cuts interest rates even once in 2024.
That will help boost the UPS stock price, but that's only one side of the equation. The company also pays an attractive dividend. The yield of 4.49% is slightly lower than the 2-year Treasury note, but it's still one of the best high-yield stocks investors can own.
About United Parcel Service
United Parcel Service, Inc, a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States.
Read More - Current Price
- $125.68
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 14 Buy Ratings, 7 Hold Ratings, 2 Sell Ratings.
- Consensus Price Target
- $151.29 (20.4% Upside)
