United Parcel Service (UPS)
Industrials · $81.2B market cap · SEC CIK 0001090727
fundamentals score out of 100
Next reports on Oct 27, 2026, before the open, with analysts expecting $1.65 in earnings per share.
The case for UPS
- Earns 29% back on shareholder equity.
- Pays a 4.3% dividend while you wait.
- Reasonably priced at 17.8× earnings.
- Gross margin of 82% absorbs cost shocks.
- Price/sales of 0.9× is lower than 88% of Industrials companies.
The case against
- Earnings per share down 20.1%.
- Revenue was flat on the year (-0.4%).
- Dividend takes 118% of earnings, leaving little cushion.
- Net margin of 5% is thinner than 88% of Industrials companies.
What the score is made of
Each factor is half a curve over reported figures and half a rank among the other Industrials companies (momentum is judged against fixed thresholds only), and the five are blended by weight. It describes the last filing and the current price. It is not a forecast.
| Valuewhat you pay for the earnings, sales, assets and cash | 75 |
|---|---|
| Growthhow fast revenue and earnings are moving, this year and over five | 17 |
| Profitabilityhow much of the revenue becomes profit, and how much of that is cash | 48 |
| Momentumhow the price has behaved lately | 43 |
| Stabilityhow violently it moves, what it owes and what it pays you | 70 |
- Each factor except momentum is half fixed thresholds, half rank among the 79 Industrials companies.
Key numbers
| Price / earnings | 17.8× |
|---|---|
| Price / book | 6.06× |
| Price / sales | 0.9× |
| Revenue growth (YoY) | -0.4% |
| EPS growth (YoY) | -20.1% |
| Gross margin | 82% |
| Operating margin | 7% |
| Net margin | 5% |
| Return on equity | 29% |
| Debt / equity | 1.63× |
| Current ratio | 1.18 |
| Dividend yield | 4.26% |
| Beta | 0.98 |
| 52-week range | $82.00 – $122.41 |
| Position in that range | 34% of the way up |
| 3-month return | -9.6% |
| 1-year return | +12.7% |
Five years of financials, as filed
Pulled from United Parcel Service's XBRL filings on SEC EDGAR. Italic rows are derived from the rows above.
| FY2025 | FY2024 | FY2023 | FY2022 | FY2021 | |
|---|---|---|---|---|---|
| Revenue | $88.7B | $91.1B | $91.0B | $100B | $97.3B |
| Operating income | $7.9B | $8.5B | $9.1B | $13.1B | $12.8B |
| Net income | $5.6B | $5.8B | $6.7B | $11.5B | $12.9B |
| Operating cash flow | $8.4B | $10.1B | $10.2B | $14.1B | $15.0B |
| Capital expenditure | $3.7B | $3.9B | $5.2B | $4.8B | $4.2B |
| Total assets | $73.1B | $70.1B | $70.9B | $71.1B | $69.4B |
| Shareholder equity | $16.2B | $16.7B | $17.3B | $19.8B | $14.3B |
| Cash | $5.9B | $6.1B | $3.2B | $5.6B | $10.3B |
| Long-term debt | $23.6B | $21.0B | $22.0B | $17.3B | $19.8B |
| Free cash flow | $4.8B | $6.2B | $5.1B | $9.3B | $10.8B |
| Operating margin | 8.9% | 9.3% | 10.0% | 13.0% | 13.2% |
| Net margin | 6.3% | 6.3% | 7.4% | 11.5% | 13.2% |
| Diluted shares | 850M | 856M | 860M | 875M | 878M |
Share count is down 3.2% over 4 years. Buybacks have been shrinking the pie.
What United Parcel Service says it does
Overview UPS, founded in 1907, is a global package delivery and logistics provider. We offer a broad range of industry-leading products and services through our extensive global presence, serving over 200 countries and territories. Our services include transportation and delivery through our integrated air and ground network, distribution, contract logistics, ocean freight, airfreight, customs brokerage and insurance. In 2025, we delivered an average of 20.8 million packages per day, totaling 5.2 billion packages during the year. Total revenue in 2025 was $88.7 billion. Strategy We are continuing to execute our Customer First, People Led, Innovation Driven strategy, which focuses on growing in the parts of our market that value our end-to-end solutions, including healthcare, business-to-business ("B2B"), small- and medium-sized businesses ("SMBs"), and international. Customer First is about reducing friction in the customer experience…
Risk factors UPS lists in its 10-K
- Customer First, People Led, Innovation Driven
- Smart Package Smart Facilities initiative
- Products and Services; Reporting Segments
- Where You Can Find More Information
- Changes or continued uncertainty in general economic conditions, in the U.S. and internationally, may adversely affect us
- Our industry continues to rapidly evolve. We expect to continue to face significant competition, which could materially adversely affect us
- Failure to attract or retain qualified employees could materially adversely affect us
- Strikes, work stoppages or slowdowns by our employees could materially adversely affect us
- A significant cybersecurity incident, increased data protection regulations, or other information technology related risks, could materially adversely affect us
- Failure to maintain our brand image and corporate reputation could materially adversely affect us
- The effects of global climate change could materially adversely affect us
- Severe weather or other natural or man-made disasters could materially adversely affect us
- Economic, political, or social developments and other risks associated with international operations could materially adversely affect us
- Inability to effectively integrate acquired businesses and realize the anticipated benefits of any acquisitions, joint ventures or strategic alliances could materially adversely affect us