BofA Trims UPS Target as Analyst Flags Weaker Q1 Outlook

United Parcel Service, Inc. (NYSE:UPS) is included among the 14 Stocks on the Verge of Becoming Dividend Aristocrats.

BofA Trims UPS Target as Analyst Flags Weaker Q1 Outlook

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On March 6, BofA lowered its price recommendation on United Parcel Service, Inc. (NYSE:UPS) to $112 from $118 and maintained a Neutral rating on the shares. The adjustment followed comments from UPS CFO Brian Dykes at an industry conference. Dykes reiterated the company’s outlook for 2026. Management still expects revenue to increase slightly, while earnings per share are projected to remain roughly flat for the year.

At the same time, the firm said the comments pointed to more pressure on first-quarter results than previously expected. The analyst also noted that the earnings profile for the year now appears more back-end loaded. After the event, Bank of America lowered its Q1 EPS estimate by 16% to $1.01 from $1.20. The firm raised its Q2 EPS estimate by 9% to $1.71 from $1.57. It also made a small adjustment to its full-year outlook, reducing its FY26 EPS forecast by about 1% to $7.05 from $7.10.

United Parcel Service, Inc. (NYSE:UPS) provides integrated logistics and transportation services to customers in more than 200 countries and territories. Its U.S. Domestic Package segment offers a range of domestic air and ground transportation services across the United States.

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