5 Growth Stocks To Buy That Are Too Cheap To Ignore

4. United Parcel Service, Inc. (NYSE:UPS)

Number of Hedge Fund Holders: 38

United Parcel Service, Inc. (NYSE:UPS) is a package delivery and logistics services provider that is headquartered in Atlanta, Georgia, the United States. The company delivers parcels, letters, and packages, and it also offers truckload services and supply chain solutions.

United Parcel Service, Inc. (NYSE:UPS) is the strong performer in the logistics sector this year, as its shares have significantly outperformed its rival FedEx and have mostly tracked the S&P 500 index. The firm’s third quarter saw it grow its revenue by 4%, operating profit by 6%, and earnings per share by a strong 10%. This came at a time when United Parcel Service, Inc. (NYSE:UPS)’s volumes declined by 1.5% annually.

United Parcel Service, Inc. (NYSE:UPS) pays a $1.52 dividend for a 3.62% yield. Insider Monkey’s Q2 2022 survey of 895 hedge funds outlined that 38 had invested in the firm.

United Parcel Service, Inc. (NYSE:UPS)’s largest investor is Phill Gross and Robert Atchinson’s Adage Capital Management which owns 764,900 shares that are worth $139 million.

Mayar Capital mentioned the company in its Q2 2022 investor letter. Here is what the fund said:

“UPS has been a beneficiary of the pandemic-related shift to e-commerce. Revenues increased 15% in the year, with strong leverage in the business boosting operating profit by al- most 67%. Management is focusing on a ‘Better not Bigger’ strategy for the business and divested the UPS Freight business early in the year. Mean- while, the company is expected to increase distributions to shareholders in 2022, from both dividends and share buybacks.”