UPS Trading Volume Plummets 37.81% Slipping to 236th Most Traded Stock

On May 28, 2025, United Parcel Service (UPS) experienced a significant decline in trading volume, with a turnover of $369 million, marking a 37.81% decrease from the previous day. This substantial drop in trading volume positioned UPS as the 236th most traded stock of the day. Additionally, UPS's stock price decreased by 0.83%.

On May 27, 2025, United Parcel Service (UPS) saw a significant surge in trading volume, with a turnover of $593 million. This substantial rise in trading volume positioned UPS as the 169th most traded stock of the day. The company's estimated fair value is $163 based on a 2 Stage Free Cash Flow to Equity model. The current share price of $95.37 suggests that United Parcel Service is potentially 41% undervalued. This valuation is 41% higher than the analyst price target of $116. The Discounted Cash Flow (DCF) model is used to estimate the intrinsic value of United Parcel Service by forecasting future cash flows and discounting them to their present value. This model considers two different periods of growth rates for the company's cash flows, with the first stage typically experiencing higher growth and the second stage experiencing lower growth.

United Parcel Service is currently facing a challenging period as it navigates internal restructuring, changing customer dynamics, and global economic uncertainties. Despite these headwinds, the company's stock was trading at deep value levels, offering investors a potential generational buying opportunity. The company's high dividend payout ratio of over 95% as of May 22, 2025, indicates a strong commitment to returning value to shareholders. However, the stock holds sell signals from both short and long-term Moving Averages, suggesting a more negative forecast for the stock. Additionally, the company recently sold its Ware2Go division to Stord, a move that could impact its future financial performance.