Whether you see them or not, industrials businesses play a crucial part in our daily activities. But this role also comes with a demand profile tethered to the ebbs and flows of the broader economy.
Thankfully, industrial end markets were stable over the past six months as the industry’s 7.2% gain has nearly mirrored the S&P 500.
Wall Street’s bearish price targets for the stocks in this article signal serious concerns.
Such forecasts are uncommon in an industry where maintaining cordial corporate relationships often trumps delivering the hard truth.
Shares of parcel delivery company UPS (NYSE:UPS)
fell 3% in the afternoon session after the major indices pulled back (Nasdaq -0.8%, S&P 500 -0.77%), largely due to escalating concerns surrounding the July 9th deadline for new US tariffs, now amplified by specific announcements.
UPS (NYSE:UPS) offers a strong 6.52% dividend yield, reliable growth, and solid profitability, making it a candidate for dividend investors. The stock is reasonably valued with manageable financial risks.
Over the past six months, United Parcel Service’s shares (currently trading at $100.82) have posted a disappointing 18.6% loss, well below the S&P 500’s 5.7% gain. This might have investors contemplating their next move.
United Parcel Service's recent market outperformance is backed by improving profitability and a solid dividend, signaling a potential turnaround for investors.
Despite reporting favorable results for its fiscal fourth quarter after-market hours on Wednesday, FedEx stock fell 3% in Wednesday’s trading session. The slide carried over to its primary competitor, with UPS shares dipping 1%.
FedEx Corporation (NYSE:FDX) shares are moving lower Wednesday after the company issued soft guidance for the first quarter. Multiple analysts also cut price targets following the company's fourth-quarter results.
