NYSE
UPS
Last Price
US $109.54
KEY FIGURES
MKT CAP
$91.9B
EPS
TTM
$6.18
PEG
TTM
N/M
P/E
TTM
17.46x
P/S
TTM
1.04x
YIELD
6.07%
GROWTH
Revenue Y/Y
0.98%
(FY vs FY)
EBITDA Y/Y
Cash Flow (DCF)
Fair Value
Market $109.54
-71.31%
Default assumptions
EBITDA Multiple
Fair Value
Market $109.54
-36.46%
Default assumptions
Valuation
Financial
Performance
Financial stability - Cash flow debt coverage.
United Parcel Service, Inc. cash flow to debt ratio of 26.17% indicates that the company generates enough cash to cover its debts. This level indicates strong financial health.
Financial risk - Healthy cash flow growth.
United Parcel Service, Inc.'s free cash flow has decreased -23.31% from $6.21G last year to $4.76G, signaling decreasing performance
Financial risk - Healthy debt to equity ratio.
United Parcel Service, Inc.'s debt to equity ratio is 1.82, which means that the company's assets are unhealthy financed, signaling financial risk. READ MORE: A ratio over 0.60 means the company finances its assets with debt, signaling financial risk. If ratio is negative, the company spent its own equity and risks bankruptcy
Financial risk - Healthy debt to equity ratio development.
United Parcel Service, Inc.'s debt has increased relative to shareholder equity from 1.53 last year to 1.82 today, signaling weakened financials
Financial stability - Net debt/EBITDA.
United Parcel Service, Inc. has a net debt to EBITDA ratio of 2.21x, which is below the 3.00x threshold, indicating healthy leverage and financial stability
Financial stability - ICR.
United Parcel Service, Inc.'s interest coverage ratio of 7.06 indicates that earnings with good margin can cover interest payments on company debt
Financial risk - Profit margin growth.
United Parcel Service, Inc.'s profit margin has decreased (-6.57%) in the last year from 6.36% to 5.94%, signaling decreasing performance
Financial stability - Short term assets vs short term liabilities.
United Parcel Service, Inc.'s short-term assets of $19.05G exceed its short-term liabilities of $15.62G
Increasing performance - ROA.
United Parcel Service, Inc.'s return on assets of 7.31% is higher than the 5.00% threshold, indicating efficient asset utilization
Increasing performance - Absolute return on equity.
United Parcel Service, Inc.'s return on equity of 33.03%, is higher than 15.00%, indicating good performance
Increasing performance - Earnings quality.
United Parcel Service, Inc.'s operating cash flow exceeds its net income, indicating high-quality earnings backed by actual cash generation
Increasing performance - Earnings stability.
United Parcel Service, Inc. had positive net income in 5.00 out of 5 years, indicating stable and consistent earnings
Increasing performance - Free cash flow.
United Parcel Service, Inc. has positive free cash flow, indicating the company generates cash after capital expenditures
Increasing performance - FCF yield.
United Parcel Service, Inc. has a free cash flow yield of 5.19%, which is above the 2.00% threshold, indicating strong cash generation relative to market value
Decreasing performance - Healthy earnings growth.
United Parcel Service, Inc.'s yearly earnings has decreased -3.63% since last year from $5.78G to $5.57G, signaling decreasing performance
Decreasing performance - Healthy revenue growth.
United Parcel Service, Inc.'s yearly revenue has decreased -2.52% since last year from $90.89G to $88.60G, signaling decreasing performance
Increasing performance - ROIC.
ROIC 9.90% (Source: FMP key-metrics). In the 5–10% partial-credit band. Score: 1 of 2. This band sits within the typical US weighted-average cost of capital range. Methodology choice can change the conclusion: under FMP's invested-capital definition the company is at or near its cost of capital; under narrower operating-capital definitions the same company may score higher. Invested capital here includes equity, non-current liabilities, and short-term debt. Cash is not subtracted. See methodology.
Decreasing performance - 3-year revenue CAGR.
United Parcel Service, Inc.'s 3-year revenue CAGR of -3.94% is negative, indicating declining revenue over the past 3 years
Increasing performance - Revenue consistency.
United Parcel Service, Inc. had revenue growth in 3.00 out of 5 years, indicating consistent revenue performance
Increasing performance - ROE consistency.
United Parcel Service, Inc. had positive ROE in 5.00 out of 5 years, indicating consistent and reliable returns on equity
Overvalued - DCF valuation.
United Parcel Service, Inc. is overvalued relative to its fair value price of 31.43 based on Discounted Cash Flow model
Undervalued - Earnings yield.
United Parcel Service, Inc. has an earnings yield of 5.71%, which is above the 4.00% threshold, indicating the stock offers reasonable value relative to its earnings
Overvalued - EBITDA valuation.
United Parcel Service, Inc. is overvalued relative to its fair value price of 69.60 based on EBITDA multiple model
Undervalued - EV/EBITDA.
United Parcel Service, Inc. has an EV/EBITDA ratio of 9.85x, which is below the 20.00x threshold, indicating reasonable valuation relative to its operating earnings
Overvalued - PEG ratio value.
United Parcel Service, Inc. has negative trailing-twelve-month earnings; this ratio is not meaningful and the check fails
Overvalued - P/B ratio.
United Parcel Service, Inc. has a price-to-book ratio of 5.83x, which exceeds the 5.00x threshold, indicating the stock may be overvalued relative to its book value
Undervalued - P/S ratio.
United Parcel Service, Inc. has a price-to-sales ratio of 1.04x, which is below the 8.00x threshold, indicating reasonable valuation relative to its revenue
Profit margin
Current Ratio
Capital Returns
33.03%
Return on equity
ROIC: 9.90%
Valuation History
17.5X
Price to Earnings
EV/EBITDA: 9.8X
Cash flow
Profit margin
17.94%
(FY vs FY)
Cash flow Y/Y
-1.14%
(FY vs FY)
Base valuations use default assumptions. Customize in the Valuator.