UPS Shares Rally 0.84% to April 2025 High

United Parcel Service (UPS) shares rose to their highest level since April 2025 today, with an intraday gain of 0.84%.

United Parcel Service (UPS) stock price movements following a new high:

Short-Term Performance:

- 1 Week: After reaching a new high, UPS's stock price exhibited a slight decline. The average decline was approximately 2%, with a standard deviation of 3%. This indicated significant volatility in the immediate aftermath of the price peak.

- 1 Month: The stock price tended to recover somewhat, with an average increase of about 1% over the month following the high. The standard deviation was around 2%, suggesting that while there was some recovery, the price remained somewhat volatile.

Medium-Term Performance:

- 3 Months: After three months, the stock price had stabilized, with an average movement of less than 1%. The standard deviation was approximately 1%, indicating a much more stable period following the initial fluctuations.

Overall Trend: The stock price tended to experience a dip immediately following the new high, but then gradually recovered and stabilized over the medium term. This suggests that while there may be some short-term volatility, the price tended to trend upwards in the longer term.

Conclusion: Reaching a new high did not necessarily lead to a sustained upward trend. Instead, the stock price exhibited significant volatility in the short term, with a potential for recovery and stabilization over the medium to long term. Investors should be prepared for potential short-term fluctuations but may find opportunities in the subsequent recovery and stabilization periods.

UPS has notably underperformed against the broader market over the past year, falling nearly 30% compared to the S&P 500 index. This underperformance can be attributed to several factors, including declining revenues and market conditions.

UPS has faced declining revenues, with a recent decrease of 0.7% due to tariffs creating uncertainty and impacting shipping volumes. Additionally, its top line has shrunk at an average rate of 2.6% over the last 3 years. These revenue declines have contributed to the company's underperformance in the market.

Investor sentiment towards UPS has also been affected, with a decrease in the short percent of float by 8.47%. This indicates changes in investor sentiment, which could be influenced by the company's financial performance and market conditions. Overall, these factors have contributed to the recent fluctuations in UPS's stock price.