Hendershot Investments Inc. has decreased its holdings in United Parcel Service, Inc. (NYSE: UPS) by 11.0% during the second quarter of 2023. The firm sold 6,748 shares, bringing its total to 54,507 shares. This divestment reflects a valuation of approximately $5,502,000 based on the company’s recent filing with the Securities and Exchange Commission (SEC).
Several institutional investors have also adjusted their positions in United Parcel Service recently. The Vanguard Group Inc. increased its holdings by 1.2% during the same period. Vanguard now owns 66,905,138 shares, valued at about $6.75 billion, after acquiring an additional 768,912 shares.
Charles Schwab Investment Management Inc. raised its stake in UPS by 3.0%, bringing its total to 25,792,139 shares worth approximately $2.6 billion. Meanwhile, Geode Capital Management LLC increased its position by 4.8%, now holding 16,623,834 shares valued at around $1.68 billion.
In addition, Norges Bank established a new position in United Parcel Service during the second quarter, with an investment of about $851.84 million. Northern Trust Corp. also marginally increased its stake, now owning 7,415,523 shares worth approximately $815.63 million.
Institutional investors collectively own 60.26% of United Parcel Service’s stock, indicating strong confidence in the company’s future prospects.
Stock Performance and Dividends
On the market, UPS shares opened at $94.88. The stock has experienced fluctuations, with a 52-week low of $82.00 and a 52-week high of $136.99. The company’s market capitalization stands at about $80.50 billion, with a price-to-earnings (PE) ratio of 14.66 and a dividend yield of 6.9%.
UPS recently declared a quarterly dividend of $1.64, which was paid on December 4, 2023. Investors who were on record as of November 17, 2023, received this dividend. The annualized dividend now totals $6.56, resulting in a dividend payout ratio of 101.39%.
Analyst Ratings and Market Outlook
Recent analyst reports have varied opinions on United Parcel Service’s stock. JPMorgan Chase & Co. raised its target price for UPS from $85.00 to $97.00, maintaining a “neutral” rating. Conversely, Bank of America lowered its price target from $83.00 to $81.00, assigning an “underperform” rating.
In another update, Deutsche Bank Aktiengesellschaft adjusted its price objective for UPS down to $88.00, retaining a “hold” rating, while Citigroup increased its target from $112.00 to $120.00, recommending a “buy” rating.
Overall, the consensus among analysts indicates a mixed outlook, with one analyst rating UPS a “Strong Buy,” nine a “Buy,” sixteen a “Hold,” and four a “Sell.” According to MarketBeat, the average price target for the stock is $110.00.
United Parcel Service, Inc. is a global leader in package delivery and logistics, offering a range of services that include transportation, distribution, and customs brokerage. It operates through two primary segments: U.S. Domestic Package and International Package, catering to diverse client needs across the globe.
