With UPS, It's a Bet on the CEO, Not the Company

[cheryl]

With UPS, It's a Bet on the CEO, Not the Company - Real Money

Since taking over, Carole Tomé has put this delivery service on the route to success.

The adage, "Bet in on the jockey, not the horse," has rarely been more applicable than when investing in shares of UPS (UPS) . The stock had languished for over seven years until Carole Tomé, the former CFO of Home Depot (HD) , took over as CEO.

In less than two years, she's transformed UPS into a far more efficient, consistent, and profitable company. After reporting stellar earnings in early February, the stock has pulled back about 10% along with market weakness, enough to buy into this well-oiled machine.

UPS' business boomed during the pandemic, along with the surge in e-commerce sales. For many companies, the benefits of being in the right place at the right time, like Zoom (ZM) or Peloton (PTON) , evaporated as the effects of the pandemic diminished. For a time, Wall Street suspected UPS would have only a temporary tailwind as well. It's clear that under new leadership, with the focus on "better, not bigger," the improvements in UPS are lasting.

 

[Lineandinitial]

For a time, Wall Street suspected UPS would have only a temporary tailwind as well. It's clear that under new leadership, with the focus on "better, not bigger," the improvements in UPS are lasting.

What nonsense!

The freight transportation sector (that includes UPS, FDX, Union Pacific, CP, etc.) was never expected to subside. Internet shopping and government contracts have never been stronger!
Air Freighter conversions and sales are unbelievable to move goods to load into trucks.

Find me a transportation company that has not done well in 2021 and continuing....

"Better, not bigger"??? GMAFB! Anyone counting morale and retention??

 

[Ou812fu]

Not sure about the results without what just happened with the downs. But good job ups.

 

[NAHimGOOD]

You know why I'm here...

 

[One day at a time]

These profits and general increases were a result of what was put in place before the pandemic hit. The pandemic happened the same time carole came about. It was good luck. Anyone can stop spending on needed info structure like new buildings,package cars,and the like. These will show the investors nice short term profits. At what price?5 or 10 years from now. We just started using the dead 6 to be frank it’s a giant step backwards. It’s too wide,the keys too small,the large screen littered with icons and pictographs that look nice but reduce the needed information we need to do our job. The touch screen that doesn’t work. It seems like it was designed by a committee of people that never delivered. A year and a half of development and it still horrible,and we have to use it. It has slowed down the delivery process. When will this come back to hurt the bottom line? How about Orion?almost 6 years in to this and it’s still 1/2 done. The people that are supposed to Impliment it in to our routes every day. are not given the hours or training to make it work. It could be a great tool,not the way it is now. When will this come back to the bottom line? How a late air? Just about every day not enough facilities or planes allowed to fly. It’s costing millions ever day to shuttle late air to every driver. Who re run their route generating lots of over time and miles. When will this come back to the bottom line? it’s not about one person or one year profit. I for one am nervous about the future.

 

[Ou812fu]

For a time, Wall Street suspected UPS would have only a temporary tailwind as well. It's clear that under new leadership, with the focus on "better, not bigger," the improvements in UPS are lasting.

What nonsense!

The freight transportation sector (that includes UPS, FDX, Union Pacific, CP, etc.) was never expected to subside. Internet shopping and government contracts have never been stronger!
Air Freighter conversions and sales are unbelievable to move goods to load into trucks.

Find me a transportation company that has not done well in 2021 and continuing....

"Better, not bigger"??? GMAFB! Anyone counting morale and retention??

Better equates to you do a lot more for less not bigger equates to you do a lot more for less.

 

[From a Land Brown Under]

Frickin-a man, this articles headline just makes my stomach churn. Always cool to see UPS is just viewed as a commodity of Carol’s and not as a place where people make a living and are human beings. How about this bet.. I bet Carol Tome to finish the 30 day probation and see if she makes it as a package driver. Hell, send her in a loading trailer for a probation period of 90 days.

 

[Fuzzy Brown]

The company has been successful for over 100 years before granny showed up with her jive ass bad motivational speaker platitudes.
We won’t know for a while if her tenure was successful or not.
I’m sure the board approves of the windfall generated by screwing the customers on NDA commits but what happens when the customers realize they aren’t getting what they paid for?

 

[IVE GOTTA PACKAGE 4U]

The company has been successful for over 100 years before granny showed up with her jive ass bad motivational speaker platitudes.
We won’t know for a while if her tenure was successful or not.
I’m sure the board approves of the windfall generated by screwing the customers on NDA commits but what happens when the customers realize they aren’t getting what they paid for?

We can get away with the lack of service commits because FedEx is doing the same thing actually I think they are doing worse.

 

[Ou812fu]

We can get away with the lack of service commits because FedEx is doing the same thing actually I think they are doing worse.

But not justification for doing it..