UPS Reports Strong Q4 Earnings and Positive 2026 Outlook
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 5d ago
0mins
Should l Buy UPS?
Source: Newsfilter
UPS shares surged 4% after the company reported strong fourth-quarter earnings and a positive outlook for 2026, reaching a 20-day high.
The company achieved FY 2025 revenue of $88.7 billion, exceeding market expectations of $87.95 billion, and reported Q4 revenue of $24.5 billion, surpassing Wall Street's estimate of $24 billion. Adjusted earnings per share were $2.38, significantly above analysts' expectations of $2.1, reflecting improved operational efficiency. UPS also forecasts 2026 revenue of approximately $89.7 billion, indicating continued growth and margin expansion.
This strong performance has boosted investor confidence, positioning UPS favorably as it transitions away from its partnership with Amazon and focuses on enhancing profitability and operational efficiency.
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Analyst Views on UPS
Wall Street analysts forecast UPS stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for UPS is 107.06 USD with a low forecast of 80.00 USD and a high forecast of 126.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
19 Analyst Rating
9 Buy
9 Hold
1 Sell
Moderate Buy
Current: 116.550
Low
80.00
Averages
107.06
High
126.00
Current: 116.550
Low
80.00
Averages
107.06
High
126.00
About UPS
United Parcel Service, Inc. provides a range of integrated logistics solutions for customers in more than 200 countries and territories. Its U.S. Domestic Package segment offers a range of United States domestic air and ground package transportation services. Its air portfolio offers time-definite, same-day, next-day, two-day and three-day delivery alternatives as well as air cargo services. Its ground network enables customers to ship using its day-definite ground service. UPS SurePost provides residential ground service for customers with non-urgent, lightweight residential shipments. Its International Package segment consists of small package operations in Europe, Indian sub-continent, Middle East and Africa, Canada and Latin America and Asia. It offers a selection of guaranteed day- and time-definite international shipping services. Its supply chain solutions consist of forwarding, logistics, customized third-party logistics and specialized cold chain transportation solutions.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Market Reaction Monitoring: Warsh's resignation could impact shareholder confidence in UPS, although there are currently no indications that this move will directly affect the company's operations.
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