Why United Parcel Service Stock Slumped by 5% on Tuesday
The logistics sector is not currently in favor with investors, to put it mildly, and United Parcel Service (NYSE: UPS) stock was bearing the brunt of this on Tuesday.The lingering disappointment of a peer's quarterly earnings report, fears about the damaging effects of aggressive tariffs, and a pundit's price target cut sent UPS's shares down on the second trading day of the week; they closed the session more than 5% lower in price. The S&P 500 index fared better, relatively speaking, by essentially flatlining across the day.The immediate catalyst was that price target reduction. This was made by analyst Ken Hoexter from influential lender Bank of America's Securities unit.Continue reading
The logistics sector is not currently in favor with investors, to put it mildly, and United Parcel Service (NYSE: UPS) stock was bearing the brunt of this on Tuesday.
The lingering disappointment of a peer's quarterly earnings report, fears about the damaging effects of aggressive tariffs, and a pundit's price target cut sent UPS's shares down on the second trading day of the week; they closed the session more than 5% lower in price. The S&P 500 index fared better, relatively speaking, by essentially flatlining across the day.
The immediate catalyst was that price target reduction. This was made by analyst Ken Hoexter from influential lender Bank of America's Securities unit.
