Why the dividend investor may take a look at NYSE:UPS.

Our stock screener has singled out UNITED PARCEL SERVICE-CL B (NYSE:UPS) as a promising choice for dividend investors. NYSE:UPS not only scores well in profitability, solvency, and liquidity but also offers a decent dividend. We'll explore this further.

What does the Dividend looks like for NYSE:UPS

ChartMill assigns a Dividend Rating to every stock. This score ranges from 0 to 10 and evaluates the different dividend aspects, including the yield, the growth and sustainability. NYSE:UPS scores a 7 out of 10:

• With a Yearly Dividend Yield of 5.11%, UPS is a good candidate for dividend investing.
• UPS's Dividend Yield is rather good when compared to the industry average which is at 2.81. UPS pays more dividend than 94.74% of the companies in the same industry.
• UPS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.20.
• 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 their dividend for at least 10 years, which is a reliable track record.

Health Analysis for NYSE:UPS

Every stock is evaluated by ChartMill, receiving a Health Rating on a scale of 0 to 10. This assessment considers different health aspects, including liquidity and solvency, both in absolute terms and relative to industry peers. NYSE:UPS has achieved a 5 out of 10:

• UPS has an Altman-Z score of 3.43. This indicates that UPS is financially healthy and has little risk of bankruptcy at the moment.
• UPS has a better Altman-Z score (3.43) than 63.16% of its industry peers.
• With a decent Debt to FCF ratio value of 5.03, UPS is doing good in the industry, outperforming 73.68% of the companies in the same industry.

Exploring NYSE:UPS's Profitability

Discover ChartMill's exclusive Profitability Rating, a proprietary metric that assesses stocks on a scale of 0 to 10. It takes into consideration various profitability ratios and margins, both in absolute terms and relative to industry peers. Notably, NYSE:UPS has achieved a 9:

• UPS's Return On Assets of 8.30% is amongst the best of the industry. UPS outperforms 84.21% of its industry peers.
• Looking at the Return On Equity, with a value of 33.61%, UPS belongs to the top of the industry, outperforming 94.74% of the companies in the same industry.
• With an excellent Return On Invested Capital value of 11.84%, UPS belongs to the best of the industry, outperforming 84.21% of the companies in the same industry.
• UPS had an Average Return On Invested Capital over the past 3 years of 17.31%. This is significantly above the industry average of 10.81%.
• The 3 year average ROIC (17.31%) for UPS is well above the current ROIC(11.84%). The reason for the recent decline needs to be investigated.
• UPS has a better Profit Margin (6.25%) than 84.21% of its industry peers.
• In the last couple of years the Profit Margin of UPS has grown nicely.
• UPS has a Operating Margin of 8.90%. This is amongst the best in the industry. UPS outperforms 89.47% of its industry peers.
• UPS's Gross Margin of 79.88% is amongst the best of the industry. UPS outperforms 100.00% of its industry peers.

More Best Dividend stocks can be found in our Best Dividend screener.

Our latest full fundamental report of UPS contains the most current fundamental analsysis.

Disclaimer

This is not investing advice! The article highlights some of the observations at the time of writing, but you should always make your own analysis and invest based on your own insights.