Why NYSE:UPS is a Top Pick for Dividend Investors.

Our stock screener has spotted UNITED PARCEL SERVICE-CL B (NYSE:UPS) as a good dividend stock with solid fundamentals. NYSE:UPS shows decent health and profitability. At the same time it gives a good and sustainable dividend. We'll dive into each aspect below.

Evaluating Dividend: NYSE:UPS

ChartMill assigns a Dividend Rating to each stock, ranging from 0 to 10. This rating is calculated by analyzing various dividend elements, such as yield, historical performance, dividend growth, and sustainability. NYSE:UPS has been awarded a 8 for its dividend quality:

• With a Yearly Dividend Yield of 4.12%, UPS is a good candidate for dividend investing.
• Compared to an average industry Dividend Yield of 2.22, UPS pays a better dividend. On top of this UPS pays more dividend than 100.00% of the companies listed in the same industry.
• Compared to an average S&P500 Dividend Yield of 2.43, UPS pays a better dividend.
• The dividend of UPS is nicely growing with an annual growth rate of 13.02%!
• UPS has been paying a dividend for at least 10 years, so it has a reliable track record.
• UPS has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.

Exploring NYSE:UPS's Health

ChartMill assigns a proprietary Health Rating to each stock. The score is computed by evaluating various liquidity and solvency ratios and ranges from 0 to 10. NYSE:UPS was assigned a score of 5 for health:

• UPS has an Altman-Z score of 3.83. This indicates that UPS is financially healthy and has little risk of bankruptcy at the moment.
• The Debt to FCF ratio of UPS is 3.80, which is a good value as it means it would take UPS, 3.80 years of fcf income to pay off all of its debts.

Exploring NYSE:UPS's Profitability

ChartMill's Profitability Rating offers a unique perspective on stock analysis, providing scores from 0 to 10. These ratings consider a wide range of profitability metrics and margins, both in comparison to industry peers and on their own merits. For NYSE:UPS, the assigned 9 is a significant indicator of profitability:

• UPS has a better Return On Assets (12.17%) than 93.75% of its industry peers.
• With an excellent Return On Equity value of 44.64%, UPS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
• Looking at the Return On Invested Capital, with a value of 14.08%, UPS belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
• Measured over the past 3 years, the Average Return On Invested Capital for UPS is significantly above the industry average of 9.83%.
• UPS's Profit Margin of 9.19% is amongst the best of the industry. UPS outperforms 93.75% of its industry peers.
• In the last couple of years the Profit Margin of UPS has grown nicely.
• With an excellent Operating Margin value of 10.59%, UPS belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
• UPS's Operating Margin has improved in the last couple of years.
• UPS has a Gross Margin of 79.16%. This is amongst the best in the industry. UPS outperforms 100.00% of its industry peers.

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Check the latest full fundamental report of UPS for a complete fundamental analysis.

Disclaimer

Important Note: The content of this article is not intended as trading advice. It is essential to perform your own analysis and exercise caution when making trading decisions. The article presents observations created by automated analysis but does not guarantee any trading or investment outcomes. Always trade responsibly and make independent judgments.