United Parcel Service Stock Alpha and Beta Analysis

UPS Stock  USD 147.33  3.54  2.46%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as United Parcel Service. It also helps investors analyze the systematic and unsystematic risks associated with investing in United Parcel over a specified time horizon. Remember, high United Parcel's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to United Parcel's market risk premium analysis include:
Beta
1.27
Alpha
(0.23)
Risk
1.96
Sharpe Ratio
(0.04)
Expected Return
(0.07)
Please note that although United Parcel alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., NYSE Composite index.) So in this particular case, United Parcel did 0.23  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of United Parcel Service stock's relative risk over its benchmark. United Parcel Service has a beta of 1.27  . As the market goes up, the company is expected to outperform it. However, if the market returns are negative, United Parcel will likely underperform. Enterprise Value Multiple is likely to gain to 13.33 in 2024, whereas Price Book Value Ratio is likely to drop 7.42 in 2024.

United Parcel Quarterly Cash And Equivalents

4.31 Billion

Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
  
Check out United Parcel Backtesting, United Parcel Valuation, United Parcel Correlation, United Parcel Hype Analysis, United Parcel Volatility, United Parcel History and analyze United Parcel Performance.

United Parcel Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. United Parcel market risk premium is the additional return an investor will receive from holding United Parcel long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in United Parcel. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate United Parcel's performance over market.
α-0.23   β1.27

United Parcel expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of United Parcel's Buy-and-hold return. Our buy-and-hold chart shows how United Parcel performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

United Parcel Market Price Analysis

Market price analysis indicators help investors to evaluate how United Parcel stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading United Parcel shares will generate the highest return on investment. By understating and applying United Parcel stock market price indicators, traders can identify United Parcel position entry and exit signals to maximize returns.

United Parcel Return and Market Media

The median price of United Parcel for the period between Fri, Dec 29, 2023 and Thu, Mar 28, 2024 is 153.61 with a coefficient of variation of 3.63. The daily time series for the period is distributed with a sample standard deviation of 5.5, arithmetic mean of 151.58, and mean deviation of 4.77. The Stock received a lot of media exposure during the period.
 Price Growth (%)  
       Timeline  
1
Meeder Advisory Services Inc. Lowers Holdings in United Parcel Service, Inc.
02/26/2024
2
United Parcel Service Stock Moves -0.63 percent What You Should Know
03/05/2024
 
United Parcel dividend paid on 8th of March 2024
03/08/2024
3
Baldor Specialty Foods Names Satyan Parameswaran as Chief Digital Innovation Officer
03/13/2024
4
Caller from spoofed phone number leaves strange message Hunting Valley Police Blotter
03/14/2024
5
United Parcel Service Stock Moves -0.34 percent What You Should Know
03/15/2024
6
7 Little-Known Growth Stocks With Multibagger Upside
03/19/2024
7
Unpacking the Latest Options Trading Trends in United Parcel Service
03/20/2024
8
United Parcel Service Laps the Stock Market Heres Why
03/21/2024
9
Acquisition by Brian Newman of 12051 shares of United Parcel at 154.76 subject to Rule 16b-3
03/22/2024
10
Disposition of 591 shares by Kathleen Gutmann of United Parcel subject to Rule 16b-3
03/25/2024
11
UPS recovers some ground after analysts say sell-off was overdone
03/27/2024

About United Parcel Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including United or other stocks. Alpha measures the amount that position in United Parcel Service has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
 2021 2022 2023 2024 (projected)
Price Earnings Ratio14.613.1120.1619.15
Short Term Coverage Ratios5.544.762.522.4

United Parcel Upcoming Company Events

As portrayed in its financial statements, the presentation of United Parcel's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, United Parcel's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of United Parcel's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of United Parcel. Please utilize our Beneish M Score to check the likelihood of United Parcel's management manipulating its earnings.
30th of January 2024
Upcoming Quarterly Report
View
23rd of April 2024
Next Financial Report
View
31st of December 2023
Next Fiscal Quarter End
View
30th of January 2024
Next Fiscal Year End
View
30th of September 2023
Last Quarter Report
View
31st of December 2022
Last Financial Announcement
View

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When determining whether United Parcel Service is a strong investment it is important to analyze United Parcel's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact United Parcel's future performance. For an informed investment choice regarding United Stock, refer to the following important reports:

Complementary Tools for United Stock analysis

When running United Parcel's price analysis, check to measure United Parcel's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy United Parcel is operating at the current time. Most of United Parcel's value examination focuses on studying past and present price action to predict the probability of United Parcel's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move United Parcel's price. Additionally, you may evaluate how the addition of United Parcel to your portfolios can decrease your overall portfolio volatility.
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United Parcel technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of United Parcel technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of United Parcel trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...