UPS Faces Target Cut from JPMorgan Amid Mixed Freight Outlook

United Parcel Service, Inc. (NYSE:UPS) is included among the 15 Blue Chip Stocks with Highest Dividends.

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On April 7, JPMorgan lowered its price recommendation on United Parcel Service, Inc. (NYSE:UPS) to $106 from $107. It maintained a Neutral rating on the shares. The firm adjusted targets across the transportation and logistics group as part of its Q1 preview. It noted that surface transportation rates are unlikely to revisit last year’s lows. JPMorgan also said it sees “more stocks to own than avoid” heading into earnings. At the same time, it believes it is too early to expect positive earnings revisions without clearer signs of sustained freight demand.

On the same day, Citigroup also lowered its price target on UPS, bringing it to $118 from $120, while maintaining a Buy rating. The firm said many stocks in its North America transportation coverage “appear expensive” unless there are meaningful upward revisions to estimates. It added that such revisions “in many cases feel premature given macro uncertainty,” as it updated its outlook ahead of Q1.

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

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