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Why NYSE:UPS provides a good dividend, while having solid fundamentals.

By Mill Chart

Last update: Mar 4, 2024

Our stock screening tool has identified UNITED PARCEL SERVICE-CL B (NYSE:UPS) as a strong dividend contender with robust fundamentals. NYSE:UPS exhibits commendable financial health and profitability, all while offering a sustainable dividend. Let's delve into each aspect below.

What does the Dividend looks like for NYSE:UPS

ChartMill provides a Dividend Rating for every stock, ranging from 0 to 10. This rating assesses various dividend aspects, including yield, growth, and sustainability. NYSE:UPS earns a 8 out of 10:

  • UPS has a Yearly Dividend Yield of 4.40%, which is a nice return.
  • Compared to an average industry Dividend Yield of 2.36, 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 2.44, UPS pays a better dividend.
  • On average, the dividend of UPS grows each year by 12.35%, which is quite nice.
  • UPS has paid a dividend for at least 10 years, which is 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.

Deciphering NYSE:UPS's Health Rating

A critical element of ChartMill's stock evaluation is the Health Rating, which spans from 0 to 10. This rating considers multiple health factors, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:UPS has received a 5 out of 10:

  • An Altman-Z score of 3.57 indicates that UPS is not in any danger for bankruptcy at the moment.
  • UPS has a Altman-Z score of 3.57. This is in the better half of the industry: UPS outperforms 64.71% of its industry peers.

Assessing Profitability for NYSE:UPS

ChartMill utilizes a Profitability Rating to assess stocks, scoring them on a scale of 0 to 10. This rating takes into account a variety of profitability ratios and margins, both in absolute terms and in comparison to industry peers. NYSE:UPS has earned a 9 out of 10:

  • UPS's Return On Assets of 9.47% is amongst the best of the industry. UPS outperforms 88.24% of its industry peers.
  • With an excellent Return On Equity value of 38.76%, UPS belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
  • UPS has a better Return On Invested Capital (13.42%) than 94.12% of its industry peers.
  • The Average Return On Invested Capital over the past 3 years for UPS is significantly above the industry average of 8.40%.
  • UPS has a Profit Margin of 7.37%. This is amongst the best in the industry. UPS outperforms 88.24% of its industry peers.
  • UPS's Profit Margin has improved in the last couple of years.
  • The Operating Margin of UPS (10.05%) is better than 82.35% of its industry peers.
  • UPS's Gross Margin of 79.74% is amongst the best of the industry. UPS outperforms 100.00% of its industry peers.

Our Best Dividend screener lists more Best Dividend stocks and is updated daily.

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.

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