Here's Why UPS Stock Disappointed Investors Today
(NYSE: UPS) stock was down almost 3% by 3 p.m. ET today. The move comes as higher-than-anticipated inflation data pushed out expectations for an interest rate cut.
Interest rates staying relatively high for longer is bad news for a company like UPS that relies on trade to drive volume growth in its network. Indeed, UPS had a challenging 2023, with delivery volumes coming in less than expected due to sluggish growth caused by higher interest rates putting a brake on the economy.
Moreover, its profit margins come under pressure in a slow economy as consumers and businesses often switch to its less expensive delivery options to save money.
Source Fool.com
United Parcel Service Inc. Aktie
119,56 €
0,61 %
Die United Parcel Service Inc. Aktie sieht ein leichtes Übergewicht bei Buy-Einschätzungen.
Das Kursziel von 147 € für United Parcel Service Inc. bedeutet eine deutliche Steigerung von über 20% gegenüber dem aktuellen Kurs von 119.56 €.
