United Parcel Service Is Trading At A Discount And The Yield Is 4%

Discussion in 'The Latest UPS Headlines' started by cheryl, Jun 6, 2019.

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  1. cheryl

    cheryl I started this. Staff Member

    United Parcel Service Is Trading At A Discount And The Yield Is 4% - Seeking Alpha

    Summary
    • United Parcel Service is trading at a discount to its 10-year historical multiple and the broader market's valuation.
    • Poor recent results, tariffs and trade wars and the emergence off new competition are affecting the stock price.
    • The current dividend yield is ~4% and the payout ratio is only ~53% indicating that the dividend is covered.
    • The dividend has grown for 20 straight years and the company should eventually become a Dividend Aristocrat.
    • UPS has growth initiatives and is investing to improve efficiencies.