UPS IPO Valued at $60.2B, Stock Now Trades at $100
Written by Emily J. Thompson, Senior Investment Analyst
Source: Fool
- IPO Achievement: UPS went public in 1999 at $50 per share, achieving a valuation of $60.2 billion, marking it as the largest U.S. IPO of the 20th century and highlighting its significant market presence.
- Stock Fluctuation: Despite reaching a record high of $192.88 in 2022, UPS's stock has now fallen to around $100, resulting in early investors seeing their returns shrink to approximately $20,000, reflecting the competitive pressures the company faces.
- Performance Review: In 2021, UPS's total revenue hit $97.29 billion, with average daily package volume increasing from 21.88 million in 2019 to 25.25 million, showcasing strong growth during the pandemic, but subsequent market slowdowns have impacted profitability.
- Future Outlook: Analysts expect UPS's revenue and EPS to decline by 3% and 4% respectively in 2025, indicating that while there is long-term growth potential, short-term strategic adjustments may adversely affect financial performance.
UPS
$99.64+Infinity%1D
Analyst Views on UPS
Wall Street analysts forecast UPS stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for UPS is 103.40 USD with a low forecast of 75.00 USD and a high forecast of 122.00 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.
20 Analyst Rating
9 Buy
8 Hold
3 Sell
Moderate Buy
Current: 99.680
Low
75.00
Averages
103.40
High
122.00
Current: 99.680
Low
75.00
Averages
103.40
High
122.00
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.
