How Well Can UPS And FedEx Deliver? - Seeking Alpha
Both companies should beat the returns of the average S&P 500 (SPY) company. UPS should provide a total annual yield of 14.22%, when combining dividends and earnings growth. FedEx should provide a higher total annual yield of 16.24%. FedEx’s two percent total yield advantage is 14% higher than UPS’s total yield. Since, FedEx is currently undervalued and it has a higher potential for future earnings, I think that FDX will prove to be a better investment over the long-term than UPS.
Both companies should beat the returns of the average S&P 500 (SPY) company. UPS should provide a total annual yield of 14.22%, when combining dividends and earnings growth. FedEx should provide a higher total annual yield of 16.24%. FedEx’s two percent total yield advantage is 14% higher than UPS’s total yield. Since, FedEx is currently undervalued and it has a higher potential for future earnings, I think that FDX will prove to be a better investment over the long-term than UPS.
