Is United Parcel Service Stock a Buy Despite Tariff Worries?
At its current share price, United Parcel Service's (NYSE: UPS) dividend offers investors a huge 6.4% yield. That payout is backed by 16 straight annual dividend increases, so given that the S&P 500 (SNPINDEX: ^GSPC) index is only offering a measly 1.3% yield, income-seeking investors should be doing a deep dive on UPS today. But is the logistics giant's stock worth buying as international trade faces the threat of tariff-driven upheavals?Business situations, and emotions, change quickly on Wall Street. Beginning in 2020, the coronavirus pandemic led investors to drive UPS stock sharply higher. The thesis seemed to be that COVID would keep people stuck in their homes forever and, thus, they would have to buy more things over the internet. That, in turn, would result in massive growth for package delivery companies like UPS.UPS data by YCharts.Continue reading
At its current share price, United Parcel Service's (NYSE: UPS) dividend offers investors a huge 6.4% yield. That payout is backed by 16 straight annual dividend increases, so given that the S&P 500 (SNPINDEX: ^GSPC) index is only offering a measly 1.3% yield, income-seeking investors should be doing a deep dive on UPS today. But is the logistics giant's stock worth buying as international trade faces the threat of tariff-driven upheavals?
Business situations, and emotions, change quickly on Wall Street. Beginning in 2020, the coronavirus pandemic led investors to drive UPS stock sharply higher. The thesis seemed to be that COVID would keep people stuck in their homes forever and, thus, they would have to buy more things over the internet. That, in turn, would result in massive growth for package delivery companies like UPS.
