Jesup & Lamont Upgrades United Parcel Service (UPS) to Buy; Valuation Call
More News related to UPS
- UPS Sets 2010 Rates
- Holiday Tradition at The UPS Store Built around Packing and Shipping
- FedEx (FDX) Does What Brown Can't - Barron's
- UPS Revs its Engines for the Holidays
- Notable Analyst Rating Changes 11/13: GT, QCOM, JNPR, ATK, CRM Upgraded; SUN, V, AAP, PWRD Downgraded
Jesup & Lamont upgrades United Parcel Service (NYSE: UPS) from Hold to Buy.
Jesup analyst says, "In the short term, we do not believe there is an immediate catalyst for these shares to move higher, but we also believe there is limited downside risk. The shares will move higher as the US economy shows signs of recovery, which we believe is by the 2009 fourth quarter or 2010 first quarter...We believe the current earnings outlook represents trough earnings, and that longer term, UPS can grow at least in line with GDP, and more likely faster as it takes market share from weaker competitors around the globe."
"For 2010, we are using a preliminary estimate of $2.86 per share implying these shares can sell at least at $57 per share, at 20x forward earnings. UPS has an annual dividend of $1.80 per share that is currently yielding 3.8%, so the total return at current prices is 25%"
United Parcel Service, Inc. (UPS) is a package delivery company. The Company delivers packages each business day for 1.8 million shipping customers to 6.1 million consignees in over 200 countries and territories. [SM]
Related Categories
UpgradesStocks Mentioned
+0.35Related Entities
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
