UNITED PARCEL SERVICE-CL B (NYSE:UPS) is a hidden gem unveiled by our stock screening tool, featuring a promising dividend outlook alongside solid fundamentals. NYSE:UPS demonstrates decent financial health and profitability while ensuring a sustainable dividend. Let's break it down further.
What does the Dividend looks like for NYSE:UPS
An integral part of ChartMill's stock analysis is the Dividend Rating, which spans from 0 to 10. This rating evaluates diverse dividend factors, including yield, historical data, growth, and sustainability. NYSE:UPS has received a 7 out of 10:
- With a Yearly Dividend Yield of 4.69%, UPS is a good candidate for dividend investing.
- Compared to an average industry Dividend Yield of 3.17, UPS pays a better dividend. On top of this UPS pays more dividend than 94.12% of the companies listed in the same industry.
- UPS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.37.
- The dividend of UPS is nicely growing with an annual growth rate of 12.35%!
- 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.
Evaluating Health: NYSE:UPS
ChartMill employs a unique Health Rating system for all stocks. This rating, ranging from 0 to 10, is determined by analyzing various liquidity and solvency ratios. For NYSE:UPS, the assigned 5 for health provides valuable insights:
- An Altman-Z score of 3.59 indicates that UPS is not in any danger for bankruptcy at the moment.
- With a decent Altman-Z score value of 3.59, UPS is doing good in the industry, outperforming 64.71% of the companies in the same industry.
- UPS has a debt to FCF ratio of 3.57. This is a good value and a sign of high solvency as UPS would need 3.57 years to pay back of all of its debts.
- UPS has a better Debt to FCF ratio (3.57) than 70.59% of its industry peers.
Profitability Insights: NYSE:UPS
ChartMill employs its own Profitability Rating system for stock evaluation. This score, ranging from 0 to 10, is derived from an analysis of diverse profitability metrics and margins. In the case of NYSE:UPS, the assigned 9 is noteworthy for profitability:
- The Return On Assets of UPS (8.76%) is better than 88.24% of its industry peers.
- The Return On Equity of UPS (35.05%) is better than 100.00% of its industry peers.
- The Return On Invested Capital of UPS (12.11%) is better than 88.24% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for UPS is significantly above the industry average of 7.49%.
- The last Return On Invested Capital (12.11%) for UPS is well below the 3 year average (17.34%), which needs to be investigated, but indicates that UPS had better years and this may not be a problem.
- UPS has a better Profit Margin (6.60%) than 82.35% 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 9.15%, UPS belongs to the best of the industry, outperforming 82.35% of the companies in the same industry.
- UPS's Gross Margin of 80.03% is amongst the best of 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
This article should in no way be interpreted as advice. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.