UPS & FedEx: Buy One, Skip the Other - Barron's Shares of FedEx (FDX) are falling on Monday, while United Parcel Service (UPS) is rising, as UBS's Thomas Wadewitz argues that investors should now buy the latter instead of the former. Wadewitz upgraded UPS to Buy from Neutral and raised his price target by $4, to $125, while he downgraded FedEx to Neutral from Buy and lowered his price target to $256 from $283. So what's behind the call? For UPS, he writes that a combination of cost and productivity improvements, along with a supportive sales backdrop, could boost margins in its domestic package business, and fuel stronger operating income growth next year. "UPS has multiple cost-side drivers including its Transformation initiative and network investments while we believe that the new Teamsters agreement may also facilitate growth," he writes.