United Parcel Service, Inc. Class B (UPS)

United Parcel Service and Hormel Foods, both down over 55% since early 2022, are showing signs of turnaround. UPS achieved $3.5 billion in savings through automation and network restructuring, with revenue per package growing 7.1%. Hormel reported five consecutive quarters of organic sales growth and expects adjusted earnings to rise 4-10% in fiscal 2026. Both stocks offer attractive dividend yields (UPS 6.9%, Hormel 5%) and could be buying opportunities before their recoveries gain wider attention.

The Motley Fool•Reuben Gregg Brewer

Apr 1

The article recommends three dividend stocks for long-term investors seeking stable income and growth: Enterprise Products Partners (EPD), a midstream energy company with 27 years of consecutive distribution increases and a 5.6% yield; Evergy (EVRG), a utility stock benefiting from AI data center expansion in Kansas and Missouri with an 8%+ annual EPS growth forecast and 3.4% dividend yield; and United Parcel Service (UPS), a logistics leader with a 6.8% dividend yield positioned for profitability improvements as it restructures its business and reduces Amazon dependence.

The Motley Fool•Keith Speights

Mar 30

Markets rallied sharply on Monday following President Trump's announcement of a five-day halt to U.S. military strikes on Iranian energy infrastructure and claims of productive peace talks, despite Iran's swift denial of any negotiations. The S&P 500 gained 1.64%, with stocks hardest hit by the Middle East conflict—particularly cruise operators, airlines, and homebuilders—experiencing the strongest rebounds. Gold miners and construction-related ETFs also performed well amid the relief rally.

Benzinga•Piero Cingari

Mar 23

Rising oil prices due to Middle East geopolitical conflict are rippling through the economy beyond the energy sector. Travel companies like Carnival and JetBlue face higher fuel costs, shipping companies UPS and FedEx are implementing fuel surcharges, and consumer staples makers like Procter & Gamble and Conagra will see increased ingredient and packaging costs. Companies are expected to pass these rising costs to consumers through price increases and shrinkflation.

The Motley Fool•Reuben Gregg Brewer

Mar 22

The U.S. Postal Service has broken off contract negotiations with Amazon over profitability concerns, following UPS's 2025 decision to cut Amazon shipments by 50%. Amazon may be forced to either expand its own delivery network or pay higher rates to competitors. While this could theoretically benefit UPS and FedEx, both companies are reluctant to increase exposure to Amazon due to historically low profit margins from that business relationship.

The Motley Fool•Reuben Gregg Brewer

Mar 21

Three weeks into the Iran war, markets are repositioning for a prolonged conflict lasting months rather than days. A 32-percentage-point divergence has emerged between stocks benefiting from a closed Strait of Hormuz (energy, defense, drones) which are up 17.55% on average, and those needing it open (airlines, cruise lines, logistics) which are down 15.35% on average. Prediction markets assign only a 26% probability of normal traffic returning by April 30, suggesting at least six more weeks of disruption.

Benzinga•Piero Cingari

Mar 17

The article recommends two dividend stocks: United Parcel Service (UPS), which is undergoing a turnaround with expectations for improvement in the second half of 2026, offering a 6.7% yield; and Enterprise Products Partners (EPD), a fee-based energy infrastructure company with a 5.8% yield and 27 consecutive years of distribution increases, providing stable income regardless of oil price fluctuations.

The Motley Fool•Reuben Gregg Brewer

Mar 17

United Parcel Service offers an attractive 6.5% dividend yield and shows early signs of turnaround success with improving revenue per piece in its U.S. business. However, the company faces challenges including a dividend payout ratio exceeding 100%, ongoing cost-cutting efforts, and declining top-line revenue as it sheds unprofitable customers. The article suggests aggressive dividend investors may find value at current prices around $100, while conservative investors should wait for clearer turnaround progress given economic uncertainty and the cyclical nature of the industrial sector.

The Motley Fool•Reuben Gregg Brewer

Mar 16

UPS faces mixed challenges in 2026 due to Middle East conflict. While fuel surcharges may offset direct fuel cost increases, the company faces significant risks from higher purchased transportation costs, trade disruptions, and reduced delivery volumes as small and medium-sized business customers adjust to tariffs and inflation.

The Motley Fool•Lee Samaha

Mar 14

FedEx's market cap has surpassed UPS's for the first time, both around $83 billion. However, UPS's market cap has declined 40% over five years while FedEx's increased 15%. UPS is undergoing a major turnaround to become smaller and more profitable, expecting 2026 to be an inflection point. FedEx appears relatively expensive by historical valuation metrics, while UPS looks cheap. The choice between them depends on investor type: value investors may prefer UPS, while growth-oriented investors may favor FedEx.

The Motley Fool•Reuben Gregg Brewer

Mar 14