UPS: Shares Trading Below $100 Is A Matter Of When, Not If - Seeking Alpha
Summary
Summary
- The company's shares continue to languish between $100 and $105 as it faces near-term adversities that it must overcome to drive long-term revenue/earnings growth.
- The company is focusing on generating growth by expanding its capabilities to fully leverage its network through multiple global modernization projects.
- The company is also rolling out U.S. Saturday ground operations, upgrading its dangerous goods shipping capabilities, improving its service, and shortening European delivery times.
- To defray increasing infrastructure costs to handle e-commerce package deliveries, the company is asking retailers to pay for costs when package shipments are below forecasts.
- Near-term pressures will give new investors a better entry point to buy shares of this global package delivery leader as it adapts and transforms to drive long-term growth.