Citigroup Has Lowered Expectations for United Parcel Service (NYSE:UPS) Stock Price

United Parcel Service (NYSE:UPS) had its target price dropped by Citigroup from $132.00 to $122.00 in a report released on Wednesday, Benzinga reports. The brokerage currently has a “buy” rating on the transportation company’s stock. Citigroup’s target price suggests a potential upside of 32.04% from the company’s previous close.

A number of other research analysts have also commented on the stock. Stephens cut their price objective on shares of United Parcel Service from $135.00 to $130.00 and set an “overweight” rating for the company in a research report on Wednesday, July 29th. Wall Street Zen lowered United Parcel Service from a “buy” rating to a “hold” rating in a research note on Saturday, September 19th. JPMorgan Chase & Co. cut their price target on United Parcel Service from $118.00 to $115.00 and set a “neutral” rating for the company in a report on Wednesday, July 29th. The Goldman Sachs Group raised their price objective on United Parcel Service from $128.00 to $132.00 and gave the stock a “buy” rating in a research report on Wednesday, July 29th. Finally, Raymond James Financial boosted their price objective on United Parcel Service from $127.00 to $131.00 and gave the company a “strong-buy” rating in a research report on Wednesday, July 29th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, eleven have assigned a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, United Parcel Service presently has a consensus rating of “Hold” and an average target price of $115.87.

United Parcel Service Stock Performance

Shares of UPS traded down $0.71 during mid-day trading on Wednesday, hitting $92.40. The company’s stock had a trading volume of 3,477,099 shares, compared to its average volume of 5,654,642. The stock’s 50-day moving average is $101.05 and its two-hundred day moving average is $103.69. The firm has a market capitalization of $78.61 billion, a PE ratio of 17.16, a price-to-earnings-growth ratio of 1.71 and a beta of 1.07. The company has a debt-to-equity ratio of 1.58, a quick ratio of 1.18 and a current ratio of 1.18. United Parcel Service has a one year low of $82.00 and a one year high of $122.41.

United Parcel Service (NYSE:UPS) last announced its earnings results on Tuesday, July 28th. The transportation company reported $1.76 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.65 by $0.11. The business had revenue of $22.83 billion for the quarter, compared to analyst estimates of $21.86 billion. United Parcel Service had a net margin of 5.08% and a return on equity of 37.50%. United Parcel Service’s revenue was up 7.6% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $1.55 earnings per share. United Parcel Service has set its FY 2026 guidance at 7.220-7.220 EPS. As a group, sell-side analysts anticipate that United Parcel Service will post 7.21 EPS for the current year.

Hedge Funds Weigh In On United Parcel Service

A number of institutional investors and hedge funds have recently added to or reduced their stakes in UPS. LFG Wealth Partners LLC acquired a new stake in United Parcel Service in the 4th quarter valued at about $1,207,000. Sigma Planning Corp raised its stake in United Parcel Service by 37.1% in the first quarter. Sigma Planning Corp now owns 36,722 shares of the transportation company’s stock valued at $3,613,000 after buying an additional 9,941 shares during the period. Candriam S.C.A. raised its stake in United Parcel Service by 29.6% in the first quarter. Candriam S.C.A. now owns 91,015 shares of the transportation company’s stock valued at $8,954,000 after buying an additional 20,791 shares during the period. First Trust Advisors LP lifted its position in shares of United Parcel Service by 37.4% in the first quarter. First Trust Advisors LP now owns 3,631,133 shares of the transportation company’s stock valued at $357,231,000 after buying an additional 988,442 shares during the last quarter. Finally, Letko Brosseau & Associates Inc. boosted its stake in shares of United Parcel Service by 5.3% during the 4th quarter. Letko Brosseau & Associates Inc. now owns 358,175 shares of the transportation company’s stock worth $35,527,000 after acquiring an additional 18,100 shares during the period. 60.26% of the stock is currently owned by institutional investors and hedge funds.

United Parcel Service News Roundup

Here are the key news stories impacting United Parcel Service this week:

• Positive Sentiment: Truist Financial maintained a “buy” rating while lowering its price target to $115 from $130, implying substantial potential upside from recent levels. Truist lowers UPS price target while maintaining buy rating
• Positive Sentiment: Citigroup also retained a “buy” rating and reduced its target to $122 from $132 ahead of UPS’s October 27 third-quarter earnings report. The continued buy ratings suggest analysts see valuation support despite near-term caution. Citigroup adjusts UPS price target
• Positive Sentiment: UPS is expanding holiday shipping options, including more precise RFID-powered tracking, enhanced package protection and Secure Commerce tools covering insurance, shipment protection and risk monitoring. These offerings may improve customer retention and increase the value of UPS’s logistics network. UPS expands seasonal workforce and shipping services
• Neutral Sentiment: UPS plans to hire approximately 100,000 seasonal workers for the 2026 peak season. The hiring supports holiday service capacity, although it is below the 110,000 seasonal hires in 2025 and 125,000 in 2024, reflecting ongoing workforce reductions and facility closures. UPS seasonal hiring plans
• Negative Sentiment: Analysts and commentators continue to flag UPS’s roughly 7% dividend yield as a potential warning sign, citing questions about the cash-flow coverage of the payout. Dividend sustainability concerns could weigh on income-focused investors. Concerns about UPS dividend sustainability
• Negative Sentiment: The lower price targets from Truist and Citi indicate reduced expectations, even though both firms remain bullish. Coverage also highlights pressure from weaker recent share performance and broader concerns about UPS’s growth and risk profile ahead of earnings. Risks facing UPS stock

United Parcel Service Company Profile

United Parcel Service, Inc (NYSE: UPS) is a global logistics and package delivery company that provides transportation and supply chain management services to businesses and consumers. Its operations include the pickup, transportation and delivery of packages, documents and freight through ground, air and international networks.

UPS also offers logistics and supply chain solutions, including warehousing, distribution, customs brokerage, contract logistics, returns management and specialized services for healthcare and other industries.