UPS (NYSE: UPS) stock edged higher on Monday, trading at around $98.72 with a slight gain of 0.48%. The move follows last week’s mixed performance, where stocks rebounded 1.42% on June 6 after a previous decline. Investors are cautiously optimistic as the delivery giant pushes through major restructuring efforts.
UPS recently announced it will cut 20,000 jobs and shut down 73 facilities by June 2025. The move is part of a $3.5 billion cost-saving plan driven by slowing demand and reduced business from Amazon. Despite the challenges, the company posted strong Q1 2025 results, with $2.3 billion in free cash flow and better-than-expected earnings.
stockholders were rewarded with a $1.64 per stock dividend, yielding nearly 6.7%. Institutional investors like Vest Financial and ARS Wealth Advisors have also increased their stakes in UPS, signaling longer-term confidence. While UPS withheld full-year guidance due to economic uncertainty, its forward P/E of 14.5 suggests the stock remains reasonably valued.