Is UPS the Best Dividend Stock for You?
(NYSE: UPS) currently sports a dividend yield of slightly more than 4%, and it has good long-term growth stocks, but is it the kind of dividend stock investors should be buying? The answer is yes and no, depending on your tolerance for near-term risk. Here's what you need to know before buying the stock.
Don't buy UPS if you can't stomach the potential for near-term risk. Package delivery companies are cyclical, meaning their delivery volumes and earnings depend on economic activity. In addition, customers often shift to lower-cost delivery options in periods of lower economic growth.
As shown below, UPS's lower-cost ground service volumes and revenue declined significantly less than the higher-cost deferred and next-day air services. That led to revenue in the U.S. domestic package segment to decline by 6.3% in the first nine months compared to the same period last year.
Source Fool.com
United Parcel Service Inc. Aktie
Durchaus positiv bewertet unsere Community derzeit United Parcel Service Inc. mit 19 Buy-Einschätzungen und 1 Sell-Einschätzungen.
Die Community erwartet für United Parcel Service Inc. ein Kursziel von 157 €, was eine deutliche Steigerung von über 20% gegenüber dem aktuellen Kurs von 114.84 € bedeuten könnte.
