UPS Q4 Revenue $24.5 B, EPS $2.38 Top Estimates; Price Target Rises to $113
Evercore ISI raised United Parcel Service’s price target from $94 to $113 ahead of earnings as Q4 revenue of $24.5 billion and $2.38 EPS topped $24 billion and $2.20 estimates. Shares are up 15% year-to-date as management plans to boost profitability by trimming low-cost Amazon deliveries and maintaining the dividend.
1. Evercore ISI Raises Price Target
Evercore ISI raised United Parcel Service’s price target from $94 to $113 and maintained an In Line rating, citing stronger export growth to China offsetting a US revenue deceleration.
2. Q4 Earnings Beat Estimates
United Parcel Service delivered fourth-quarter revenue of $24.5 billion, exceeding $24 billion estimates, and posted $2.38 in EPS, topping $2.20 forecasts.
3. Profitability and Dividend Strategy
Management plans to boost profitability by trimming low-cost Amazon deliveries and preserved the quarterly dividend, a move highlighted by Jim Cramer as evidence of the firm’s consistency.
4. Share Performance
Shares have risen 15% year-to-date and 2.85% over the past year, reflecting positive investor response to the earnings beat and price target increase.