Category: UPS News

A UPS driver has been charged with stealing $187,000 worth of high-end retail packages from his route and dropping them off at his South Side home, according to Chicago police.

Pedro Caudillo, 26, stole packages of Louis Vuitton merchandise over a two-week period in April, according to a police report.

Video surveillance allegedly shows him taking the packages from the South Loop UPS warehouse. Caudillo would then drop off the packages at his home in the Back of the Yards neighborhood, according to the police report.

The police department’s Organized Retail Crime Task Force began surveilling Caudillo on Wednesday and saw him steal three packages worth $35,000 before his route, police said. Officers then allegedly saw him drop them off at his home.

United Parcel Service, Inc. (NYSE:UPS) released first-quarter financial results on Tuesday. The results were a lot better than the market was expecting, but the share price fell after the earnings call. During the call, company executives said they expected US package volumes to decline during the current quarter before improving in the next quarter.

Key takeaways from this analysis:

• UPS has demonstrated that it has pricing power.
• The dividend is well covered by cash flows.
• Valuation reflects lower than average growth forecasts.

Some UPS drivers said they’re worried about their safety while delivering packages.

Almost 2,000 of them have signed a petition calling for more safety measures to be put in place.

“We’ve had people shot at, trucks shot up, people kidnapped,” said Evette Avery who has worked for UPS for 16 years.

Evette Avery had her own had a terrifying experience several months ago while delivering packages.

Yahoo Finance Live’s Julie Hyman and Brian Sozzi discuss first quarter earnings for UPS.

Video Transcript

JULIE HYMAN: Let’s go quickly to our next company, which is also battling higher levels of inflation, but it’s raising costs. It’s raising prices, I should say, and that’s United Parcel Service, UPS, raising prices. And that seems to be helping the company. Efficiency gains as well helping to offset some of those higher costs. Actually, the shares were higher earlier, weren’t they? Was I imagining that, Sozzi?

BRIAN SOZZI: They were a little higher. And I’m surprised that they’re still not, Julie. Overall, a good quarter from a UPS, despite these inflationary pressures they’re seeing. Certainly a better quarter than what we saw from 3M, and of course, GE. But margins throughout their business actually expanded in the supply chain segment. That is a good thing.

Even international business margins didn’t fall that much. But importantly, margins in the US domestic segment, that is the key driver of UPS’s financials. And of course, over time, its stock price, those margins were off. The company largely reaffirming its outlook. All good things to see.

“The agility of our network and the continued execution of our strategy, putting us on our way to achieving our 2022 consolidated financial targets,” said CEO Carol Tomé.

The stock was pressured in early trading, however, after the parcel delivery group said domestic volumes would continue to decline over the first half of the year, amid surging fuel and transport costs, before improving into six months ending in December.

UPS said earnings for the three months ending in March were pegged at $3.03 per share, up 9.4% from the same period last year and firmly ahead of the Street consensus forecast of $2.88 per share. Group revenues, the company said, rose 6.55% to $24.4 billion, again topping estimates of a $23.8 billion tally.