UNITED PARCEL SERVICE-CL B (1UPS.MI) Stock Fundamental Analysis
BIT:1UPS - Euronext Milan - US9113121068 - Common Stock - Currency: EUR
We assign a fundamental rating of 6 out of 10 to 1UPS. 1UPS was compared to 16 industry peers in the Air Freight & Logistics industry. 1UPS has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. 1UPS has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year 1UPS was profitable.
In the past year 1UPS had a positive cash flow from operations.
Each year in the past 5 years 1UPS has been profitable.
1UPS had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
1UPS has a better Return On Assets (8.55%) than 87.50% of its industry peers.
Looking at the Return On Equity, with a value of 37.39%, 1UPS belongs to the top of the industry, outperforming 93.75% of the companies in the same industry.
1UPS has a better Return On Invested Capital (12.73%) than 81.25% of its industry peers.
1UPS had an Average Return On Invested Capital over the past 3 years of 15.05%. This is significantly above the industry average of 8.55%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.55% | ||
| ROE | 37.39% | ||
| ROIC | 12.73% |
ROA(3y)11.32%
ROA(5y)10.94%
ROE(3y)43.9%
ROE(5y)85.31%
ROIC(3y)15.05%
ROIC(5y)15.77%
1.3 Margins
With an excellent Profit Margin value of 6.44%, 1UPS belongs to the best of the industry, outperforming 87.50% of the companies in the same industry.
In the last couple of years the Profit Margin of 1UPS has remained more or less at the same level.
Looking at the Operating Margin, with a value of 9.48%, 1UPS belongs to the top of the industry, outperforming 87.50% of the companies in the same industry.
1UPS's Operating Margin has declined in the last couple of years.
1UPS has a Gross Margin of 80.82%. This is amongst the best in the industry. 1UPS outperforms 93.75% of its industry peers.
1UPS's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 9.48% | ||
| PM (TTM) | 6.44% | ||
| GM | 80.82% |
OM growth 3Y-10.47%
OM growth 5Y-2.2%
PM growth 3Y-21.75%
PM growth 5Y1.16%
GM growth 3Y1.64%
GM growth 5Y0.43%
2. Health
2.1 Basic Checks
1UPS has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
Compared to 1 year ago, 1UPS has about the same amount of shares outstanding.
1UPS has less shares outstanding than it did 5 years ago.
The debt/assets ratio for 1UPS has been reduced compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.13 indicates that 1UPS is not in any danger for bankruptcy at the moment.
1UPS has a better Altman-Z score (3.13) than 81.25% of its industry peers.
The Debt to FCF ratio of 1UPS is 3.98, which is a good value as it means it would take 1UPS, 3.98 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 1UPS (3.98) is better than 75.00% of its industry peers.
1UPS has a Debt/Equity ratio of 1.25. This is a high value indicating a heavy dependency on external financing.
Looking at the Debt to Equity ratio, with a value of 1.25, 1UPS is in line with its industry, outperforming 56.25% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 3.98 | ||
| Altman-Z | 3.13 |
ROIC/WACC1.66
WACC7.66%
2.3 Liquidity
A Current Ratio of 1.09 indicates that 1UPS should not have too much problems paying its short term obligations.
1UPS has a Current ratio of 1.09. This is in the better half of the industry: 1UPS outperforms 68.75% of its industry peers.
1UPS has a Quick Ratio of 1.09. This is a normal value and indicates that 1UPS is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Quick ratio value of 1.09, 1UPS is doing good in the industry, outperforming 75.00% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 |
3. Growth
3.1 Past
1UPS shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -2.75%.
1UPS shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 0.53% yearly.
1UPS shows a small growth in Revenue. In the last year, the Revenue has grown by 1.30%.
1UPS shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 4.21% yearly.
EPS 1Y (TTM)-2.75%
EPS 3Y-13.95%
EPS 5Y0.53%
EPS Q2Q%4.2%
Revenue 1Y (TTM)1.3%
Revenue growth 3Y-2.18%
Revenue growth 5Y4.21%
Sales Q2Q%-0.74%
3.2 Future
Based on estimates for the next years, 1UPS will show a small growth in Earnings Per Share. The EPS will grow by 7.23% on average per year.
The Revenue is expected to grow by 2.46% on average over the next years.
EPS Next Y-8.13%
EPS Next 2Y2.08%
EPS Next 3Y4.69%
EPS Next 5Y7.23%
Revenue Next Year-4.24%
Revenue Next 2Y-1.74%
Revenue Next 3Y0.18%
Revenue Next 5Y2.46%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 12.78 indicates a correct valuation of 1UPS.
Based on the Price/Earnings ratio, 1UPS is valued a bit cheaper than 62.50% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.35, 1UPS is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 12.37, the valuation of 1UPS can be described as correct.
Based on the Price/Forward Earnings ratio, 1UPS is valued a bit cheaper than 62.50% of the companies in the same industry.
1UPS's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.19.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.78 | ||
| Fwd PE | 12.37 |
4.2 Price Multiples
1UPS's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1UPS is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 15.7 | ||
| EV/EBITDA | 8.2 |
4.3 Compensation for Growth
The excellent profitability rating of 1UPS may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)24.32
EPS Next 2Y2.08%
EPS Next 3Y4.69%
5. Dividend
5.1 Amount
1UPS has a Yearly Dividend Yield of 6.61%, which is a nice return.
1UPS's Dividend Yield is rather good when compared to the industry average which is at 3.85. 1UPS pays more dividend than 93.75% of the companies in the same industry.
1UPS's Dividend Yield is rather good when compared to the S&P500 average which is at 2.42.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.61% |
5.2 History
The dividend of 1UPS is nicely growing with an annual growth rate of 11.18%!
Dividend Growth(5Y)11.18%
Div Incr YearsN/A
Div Non Decr YearsN/A
5.3 Sustainability
1UPS pays out 92.20% of its income as dividend. This is not a sustainable payout ratio.
The dividend of 1UPS is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP92.2%
EPS Next 2Y2.08%
EPS Next 3Y4.69%
BIT:1UPS (6/13/2025, 7:00:00 PM)
86.81
+86.81 (+Infinity%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupTransportation
GICS IndustryAir Freight & Logistics
Earnings (Last)
Earnings (Next)
Inst Owners70.46%
Inst Owner ChangeN/A
Ins Owners0%
Ins Owner ChangeN/A
Market Cap73.51B
Analysts75
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 6.61% |
Yearly Dividend5.49
Dividend Growth(5Y)11.18%
DP92.2%
Div Incr YearsN/A
Div Non Decr YearsN/A
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.21%
Min EPS beat(2)6.85%
Max EPS beat(2)7.57%
EPS beat(4)3
Avg EPS beat(4)2.65%
Min EPS beat(4)-10.96%
Max EPS beat(4)7.57%
EPS beat(8)6
Avg EPS beat(8)2.87%
EPS beat(12)8
Avg EPS beat(12)2.39%
EPS beat(16)12
Avg EPS beat(16)3.8%
Revenue beat(2)1
Avg Revenue beat(2)-0.04%
Min Revenue beat(2)-1.45%
Max Revenue beat(2)1.36%
Revenue beat(4)1
Avg Revenue beat(4)-0.81%
Min Revenue beat(4)-2.62%
Max Revenue beat(4)1.36%
Revenue beat(8)1
Avg Revenue beat(8)-2.03%
Revenue beat(12)1
Avg Revenue beat(12)-2.02%
Revenue beat(16)4
Avg Revenue beat(16)-1.23%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.78 | ||
| Fwd PE | 12.37 | ||
| P/S | 0.93 | ||
| P/FCF | 15.7 | ||
| P/OCF | 9.25 | ||
| P/B | 5.39 | ||
| P/tB | 11 | ||
| EV/EBITDA | 8.2 |
EPS(TTM)6.79
EY7.82%
EPS(NY)7.02
Fwd EY8.08%
FCF(TTM)5.53
FCFY6.37%
OCF(TTM)9.39
OCFY10.81%
SpS93.53
BVpS16.11
TBVpS7.89
PEG (NY)N/A
PEG (5Y)24.32
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.55% | ||
| ROE | 37.39% | ||
| ROCE | 16.32% | ||
| ROIC | 12.73% | ||
| ROICexc | 14.08% | ||
| ROICexgc | 16.91% | ||
| OM | 9.48% | ||
| PM (TTM) | 6.44% | ||
| GM | 80.82% | ||
| FCFM | 5.91% |
ROA(3y)11.32%
ROA(5y)10.94%
ROE(3y)43.9%
ROE(5y)85.31%
ROIC(3y)15.05%
ROIC(5y)15.77%
ROICexc(3y)17.25%
ROICexc(5y)18.55%
ROICexgc(3y)20.55%
ROICexgc(5y)21.95%
ROCE(3y)19.3%
ROCE(5y)20.23%
ROICexcg growth 3Y-16.14%
ROICexcg growth 5Y-1.33%
ROICexc growth 3Y-16.33%
ROICexc growth 5Y-1.47%
OM growth 3Y-10.47%
OM growth 5Y-2.2%
PM growth 3Y-21.75%
PM growth 5Y1.16%
GM growth 3Y1.64%
GM growth 5Y0.43%
F-Score6
Asset Turnover1.33
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.25 | ||
| Debt/FCF | 3.98 | ||
| Debt/EBITDA | 1.59 | ||
| Cap/Depr | 103.51% | ||
| Cap/Sales | 4.12% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 74.52% | ||
| Profit Quality | 91.77% | ||
| Current Ratio | 1.09 | ||
| Quick Ratio | 1.09 | ||
| Altman-Z | 3.13 |
F-Score6
WACC7.66%
ROIC/WACC1.66
Cap/Depr(3y)137.05%
Cap/Depr(5y)150.75%
Cap/Sales(3y)4.91%
Cap/Sales(5y)5.08%
Profit Quality(3y)88.01%
Profit Quality(5y)144.74%
High Growth Momentum
Growth
EPS 1Y (TTM)-2.75%
EPS 3Y-13.95%
EPS 5Y0.53%
EPS Q2Q%4.2%
EPS Next Y-8.13%
EPS Next 2Y2.08%
EPS Next 3Y4.69%
EPS Next 5Y7.23%
Revenue 1Y (TTM)1.3%
Revenue growth 3Y-2.18%
Revenue growth 5Y4.21%
Sales Q2Q%-0.74%
Revenue Next Year-4.24%
Revenue Next 2Y-1.74%
Revenue Next 3Y0.18%
Revenue Next 5Y2.46%
EBIT growth 1Y4.35%
EBIT growth 3Y-12.41%
EBIT growth 5Y1.92%
EBIT Next Year38.11%
EBIT Next 3Y17.41%
EBIT Next 5Y12.03%
FCF growth 1Y-24.85%
FCF growth 3Y-16.86%
FCF growth 5Y22.43%
OCF growth 1Y-23.85%
OCF growth 3Y-12.3%
OCF growth 5Y3.22%