UPS

HugelyIndecisive

No one gives a shit about US Crude Oil. It’s the Sweet Iranian Crude that everyone wants. Natural Gas only got big for a hot second because gasoline prices under Obama went through the roof. UPS swapped all their trucks to Natural Gas back then, now they went back. Today no one cares about natural gas again. The president doesn’t stabilize the economy. The Market itself stabilizes the economy through supply and demand and time that heals the wounds. That’s why it’s a free market system. Learn how the markets work. This is a WSB sub.

Proof-Technician8754

I think that UPS, VSCO and CMG have a great opportunity to announce a pivot into AI and datacenters, which should lead to at least a 30% stock price gain in each.

guhhhh_MU

UPS guy at work just talked about shorting Micron, bottom is in

Dragongeek

Rocket lab is not going all in on launch. Launch is necessary for their business, yes, but they want to be a vertical satellite integrator and this is also where they earn money iirc.  The business model is a customer has a camera or a thing they want to do in space, and RL handles the rest. They've acquired/developed a lot of the tech to do so, from laser links to electric propulsion, so they slap together your satellite (or constellation) and shoot it up. Launch and neutron is an enabler the way trucks enable UPS to ship things. Also, I think you're underestimating the launch angle.  **If SpaceX truly believes what they wrote in their prospectus, it does not make any financial sense for SpaceX to ever launch a customer payload.** Why? Because of the enormous opportunity cost. If they are truly convinced that there is a trillions-and-trillions market for space data centers, they will fill every launch with their own payload because it doesn't make sense to sell a launch for 80 million when you can launch your own stuff and earn a billion off it.  In that world, provided RL makes neutron work, then launch suddenly is a big market just for them that they don't share with that many people, and even if it doesn't, they still have a lot of space hardware capabilities that very few others can offer.

one-won-juan

80B market cap 200M last reported revenue for comparison UPS has 85B MC and reported 21B revenue Is current revenue really the figure you want to sell RKLB on?

FuckleUp

UPS just dropped off a palette of enriched uranium

Few-Chemist-3463

I spent 10 seconds looking at his account comments, people are just weird. "I work at a FedEx ramp (airport facility), and have worked at one next to a UPS ramp."

dddd11122233

Aside from the old poop in a box thing…and the shame I had when I handed said box to the UPS store kid.

TickTockTaudit

UPS calls

Capable-Commission-3

Yes. People effectively do this every day through margin. However it’s difficult to pull off. Best way to do it is through the option wheel. But only if you’re borrowing enough that it won’t destroy you if markets crash. Say you bought 2000 shares of UPS. The dividend pays 6.7% which covers your interest in case stocks go down. Then you sell covered calls on it. If you were aggressive and sold at-the-money weeklies, you could net $1,500-$2000 a week, which you use to pay down your principal while you take the assignment profit to increase the size of your next position. Repeat this process until the loan is paid back. If recession hits and stocks crash down while you’re in them, you may not be able to sell OTM calls for enough to cover your monthly principal. If the company slashes or reduces its dividend, it may not cover your interest. If you get hurt, can’t work, or lose your job, you’re screwed. It’s a tool that some people use effectively. It’s also ruined lives. I definitely wouldn’t be comfortable with the pressure of needing to make $5,400 a month. I have $2,500 (5% of port) in margin right now and that’s stressful enough. You don’t need a quarter million to get started. If you have access to cheap credit, $10-$20k is enough to get you started. Keep compounding consistently and you’ll get to $250k without much fear of becoming homeless.

virtualbitz2048

I mean sure it's a goofy requirement, but there's workarounds, most notably a better design. Look, I stopped selling Ubiquiti a while back in favor of Meraki, Fortinet, and HP. It had nothing to do with features and everything to do with the fact that my customers got the ick when I presented Ubiquiti. I couldn't even get down to the requirements, as soon as you mention that name they turn their noses up. I think they're making progress up market. Their pro line of switches have a proper CLI that I would consider for the core. The value of these guys is now in the ecosystem for a turnkey branch office solution. They're going after Meraki's customer base and have a much wider portfolio than Meraki. Ubiquiti now has a wide enough portfolio to where you can buy literally ever single component you need to turn up branch without buying a single SKU from another vendor. Access control, surveillance, fucking patch panels and cables, UPS, PDUs, everything. I think they even sell a rack now.

Lanky_Chard3288

Made 8k this month on spy, microsoft, nvidia, asts, archr calls. donated to broadcomm and asts puts. exited my weeklies today and am now: MSFT 450c 6/18 BETA 20c 10/16 ACHR 7c 7/17 UPS 120c 1/15 Bought Quantum,RGTIW,QUBT,QBTS,IONQ shares and up over 30%. should have bought more instead of asts puts

3boobsarenice

see UPS....

IntrepidToday0

Semiconductors don’t care about gas. Just don’t invest in UPS, FedEx, or airlines, and you should be fine

Legitimate_Cut_6254

I think that is the appeal however. The valuation is very reasonable. Target was valued similarly late last year and has recovered 30-40% since. Same with UPS. There are a lot of retail stocks that get the death sentance and undervalued. I'm not hoping for a 400$ price tag but 160-180 would put it at a more reasonable 13-15 p/e

Lanky_Chard3288

Slept through the opening bell and missed my chance to sell my MSFT calls and left 300% on the table. So, MSFT 5/29 $425c MSFT 5/22 $422.5c ASTS 5/29 $88c ARCHR 7/17 $7c UPS 1/15 $90c

Lanky_Chard3288

I sold my google/msft/asts at the top and rebought at the bottom before i went in for some surgery ASTS 5/29 88C ASTS 8/21 100C UPS JAN 15 2027 90 CALL ARCHR 7/17 7CALL MSFT 5/29 425 CALL GOOGLE 7/17 405 CALL 1 rocketlab share

Upstairs-Let-1065

BETA - Very low volume IPO $34 per share last year at market cap of $8 billion, raised $1 billion. Has since dropped to around $16 per share. Leading electric aviation. Very strong CEO and founder, Harvard engineer and test pilot. Strategy and execution on point. Partnerships with General Dynamics, General Electric, UPS and significant investment from Amazon recently revealed. Targeting cargo transport before passenger.

----0___0----

I’m not talking about dividend %, but the actual payout. UPS for instance, only a public company since ‘99, has never reduced their dividend, despite huge drawdowns to stock price. Not saying it’s good or bad, but it is what it is, consistent if not growing https://www.macrotrends.net/stocks/charts/UPS/ups/dividend-yield-history

InclinationCompass

Here’s a post I submitted on another sub: Meta’s AI-driven ranking system boosted time spent by about 7% on facebook and 6% on instagram, which means more ad views and higher revenue. Its AI ad tools (Advantage+) are improving conversion rates by around 5% and their Q2 revenue was up 22% YoY because of that. Google’s seeing the same thing with advertisers using its AI-driven (Performance Max) campaigns get about 6% more conversions and its revenue grew 14% YoY with AI being a big reason. Amazon cited examples where task completion rates improved by \~57% using AI assistants. Outside of tech, UPS’s AI route optimization saves about 100 million miles driven, 10 million gallons of fuel (around $300–400M a year). Walmart’s using AI and computer vision at Sam’s Club to speed up checkout by 23%, which cuts labor costs and improves throughput. They’re even licensing some of that tech now. And in healthcare, AI reduced radiologists’ workloads by about 33–44% in mammogram screening, while maintaining or improving detection rates. And AI scribe tools cut after-hours work by 30% and time spent in notes per appointment from \~10.3 min to \~8.2 min (20% reduction) for physicians.

Wall_of_Wolfstreet69

what do you mean UPS? you can just edit your post you don't have to comment

fairlyaveragetrader

There already is a pullback. It's just not on the indexes because they are being propped up by a very narrow sector of the market Go look at anything from Whirlpool to UPS to Goodyear tire to Chipotle. All businesses we use. 52 week lows, multi-year lows. There's a large list of companies here. So the question is, what will rotate next and what will actually bring main Street back to being prosperous again even if it's only slightly. This entire run has been All tech, all one percenters. The rest of society has suffered and the rest of society stocks have suffered. All of the times in history that you have had an extremely concentrated market it has never ended well. The nifty 50, 1999, so on and so forth. Tops are virtually impossible to time. So, if you want to put money to work, think about where we will be in two or three years and position there. Don't chase the crowds, don't chase news. Don't chase what happened yesterday, think about what happens tomorrow

Final7C

As a note, it was 39.23m in Q1 of 2025. Wendy's CEO left last year to go be CEO of Hershey's, to be fair he'd only been at the job for a year or so. His CFO stayed on as interim CEO. His job as CFO was only a year or so as well. The former CEO worked at PepsiCo (over 30 years). Then Wendy's (for a year and a half or so) now working at Hershey's. He announced it in July, and by August 18th, 2025 he was out. So most of his knowledge base was in Packaged snacks, not in hot food. Which lead to some baffling decisions. The current Interim CEO was senior management at UPS. That means that Q3 was going to be dogshit, and Q4 was going to be all on the "new guy" who didn't really have any experience. So the "New guy" is looking at things through the lens of a CFO, and has most of his experience in the Logistics game. NOT in hot food. But he's not the permanent guy, at least not right now. In the report they claim it's worldwide sales are down 5.5% mainly because the US sales are down (which is pretty standard in the US fast food market this year), All costs are up. Most of their revenue has been from increased Franchise Fees, Ad revenue, and the direct company run location sales. They do claim that they just signed a 1,000 franchise deal for China. Which would be an interesting market for them to expand into heavily, and can mean real profits if they can manage to do well there. Overall, their net income is shit, because fast food runs on two main factors. A highly elastic product (Convenient food) and low operating margins (You don't have to pay your workers well, the overhead costs are cheap, and the materials are cheap). The difference between food prices (and fast food prices) in Q1 of 2025 and Q1 of 2026 is not a shocker to anyone. Between all of the factors they'll probably continually lower sales this year vs last year. The amount of "excess" money out in the economy is gone. People are heavily utilizing credit cards to cover their costs. Fast food is consistently pricing itself out.

Proper_Ad1058

I’d get dividend stocks such as …Novo Nordisk…UPS…Verizon…all pay a decent dividend.

burner456987123

Avoid any speculative “Reddit stocks” like space, flying cars, or ev companies. I’d stick with AMZN: best mag 7 IMO for stable growth- read about everything their business entails from brick & mortal retail (Whole Foods), to logistics (their entry into this caused FedEx and UPS stock to dip hard), to satellites to compete with STARLINK (amazons internet will be faster), they make their own chips now, they have AWS (backbone of the web), they’re involved in streaming video + music, audible, and of course the online retail. I’d do $5k Amazon and $2500 in VTI. Or if you want higher risk (you said you don’t) throw it into DRAM or EWY (Korea ETF that includes 2 huge memory companies).

Sufficient_Fuel5269

✍️ STOCK VICI Properties Inc. (VICI) ———-—- 6.2% Healthpeak Properties Inc. (DOC) — 6.2% Pfizer Inc. (PFE) —————————— 6.5% United Parcel Service Inc. (UPS) —- 6.6% Best Buy Co. Inc. (BBY) ——————- 6.6% Kraft Heinz Co. (KHC) ———————- 6.8% General Mills Inc. (GIS) ——————— 6.8% Campbell's Co. (СРВ) ———————- 7.3% Conagra Brands Inc. (CAG) ————- 9.8%

Big-Masterpiece-9581

Good advice. In this case we know for sure the plan of every company is to lay off most workers and replace them with AI, robots, and self driving cars. We don’t know a few things though. Will UPS succeed at this and or succeed in pumping their share price high by fooling us they’re succeeding? When will the AI bubble pop? Related, when are we entering a recession? I think UPS is a real long shot.

the_Q_spice

Same people who are arguing that Amazon is miraculously going to take over logistics giants like XPO, UPS, and FDX… Ignoring that AMZN’s logistics announcement is literally just them restating a service they’ve offered for *years*, and shippers hate because they have the worst service and shipping rates in the entire industry.

fairlyaveragetrader

Because you're in the middle of a gamma squeeze If you look at underlying components of the market, they are, this is everything from Whirlpool to UPS to industrial companies. They aren't trading well What is trading well is a very narrow section of tech, mostly semiconductors and all of the support system around AI. You have all this call buying going on which is forcing the people who are shorting the calls to hedge by buying the shares. Think of GME 2021 just in a different context

Maximum-Ad9763

Sell, with Amazon supply chain services competition UPS and FedEx are sure to suffer

PuzzledLeader8941

Fuck UPS. $70 import fees on an $100 package

Charming_Raccoon4361

Amzn just gona destroy UPS , HIMs and so on

playstationjeans

Datacenters are going to create an intelligent robotic labor force. Not the humanoid shape that's going around on TV, but the ones that look like the machines we're already running, like forklifts, cars, pallet jackets, semi trucks, freight container shipping yard cranes, truck unloading and loading robotics. Amazon is the leading example with no signs of slowing down. UPS and Costco have already begun implementing more robotics company's. (Pickle 🥒) And Fox robotics. These company's aren't spending the most amount of money in human history so you can have help getting a burrito from a Doordash driver.

Blizzle99

Wait until gas gets cheaper/iran conflict starts to wind down and UPS goes up because of it .

Pazzaaaaaa

We’re in an AI bull market and some people really decide to invest their money in Nike, UPS and John Deere LOL

CurrentRecord1

UPS sales and earnings per share have been dropping for the last 5 years?

Zarathustra_d

By that logic, you should be investing in UPS now. Regardless of already owing some.

the_Q_spice

Still putting money into UPS and FDX. Sure Amazon Logistics announced they are a competitor… But Amazon \*Logistics\* doesn’t even crack 33% of UPS or FDX revenue, their trucking fleet is less than half the size, and their air fleet is half of UPS’s… and less than 1/7th of FDX’s. Amazon logistics posts about $31B in revenue annually, whereas both UPS and FDX average around $100B. People forget that FDX in particular is the largest LTL shipper in the world, largest cargo airline in the world (by revenue, fleet size, and freight ton miles), and 5th largest airline in overall fleet size. Unlike FDX or UPS, AMZN doesn’t have any sortation hubs, because they don’t need to for warehouses fulfillment. To get one of those, you basically need to buy out 1/2 to 2/3rds of at least 2 major airports, preferably in the middle of the country. Problem being; FDX and UPS already bought out the best options (MEM, SDF, IND, STL, and ORD), there’s no more \*physical\* room for any more cargo airlines unless AMZN commits to spending hundreds of billions to subsidize major airport expansions.

aardvark92

Or it could underperform the market for the next 10 years. Selling it now and buying an index fund is likely to get them a better return than holding and waiting for UPS to recover.

spanielgurl11

Right so we have never actually gotten any dividends from this stock because UPS wanted you to set it to just reinvest in UPS.

Old_Analyst_1918

It wasnt higher dividends it was a higher bonus pay out. You would get your annual bonus and then a seperate bonus based on your UPS holdings, up to one months salary. I dont remember the numbers exactly but when I was there I was making about 60k and needed something like 200k worth of the stock to get the full month salary bonus.

Wise-Start-9166

Generally, an individual stock needs to be extraordinary in order to hold more than 3-5% of a personal portfolio. Extraordinary would be something like Apple 10 years ago, or Nvidia today. Employee compensation is one way a lot of folks run up a larger position in a company that doesn't deserve it. UPS is fine to hold at 3% for your long term compounding. But most of the capital should be in an index.

creemeeseason

The whole sector was knocked down by Amazon announcing their logistics push. ULH got a double whammy because they are still unprofitable, their earnings came out a few days ago. I think UPS and FedEx probably get hit harder by Amazon. I sold my ULH on earnings since their recovery isn't playing out and I'm probably going to roll into long dated calls on a bigger name, once volatility dies down.

Frosty_Active_2646

I understand you sentiment, but this is a classic example of sunk cost fallacy. Just because you have money already invested in a losing stock doesn’t mean you should hold it because it’s “due” to bounce back. The most logical thing to do is put your money in the opportunity that you expect will reach your target return based on your risk tolerance. You are basically arguing that the best opportunity in this market is to put $20k into UPS… which may or may not be true

VegasWorldwide

lol a tax professional to tell her if she should sell $20k of $UPS? lmao what the hell is a tax pro going to tell her?

slayernfc

i don't thin it will get any better for UPS, or FedEx for that matter.

Fancy_Cartographer98

Good choice to sell. I am a rookie investor, but I am a rational person first. Look what happened to Spirit Airlines, they had a downward trend on their stock price for years before they went out of business, filing for bankruptsey twice! Amazon is monopolizing so much that UPS and Fedex are fighting for second place, but you can clearly see just by looking at the multiple year trend who is going to pull through.

Mother___Night

Ebay needs to merge with a shipper (e.g. UPS) and then it becomes instant competition for AMZ retail.

Middleagedmom52

Not just now UPS has sucked for ever and they announced they won’t be raising their div as it has been over funded. The stock was in the 80’s last summer so it’s doing better now then a year ago

zscan

Ok, so UPS and FedEx have about 85 billion market cap each, DHL about 50. Let's add it all up and round it up to say $300 billion that Amazon can grow short to midterm based on doing more logistics. Amazon is currently valued at about $3 trillion. To double it needs another 3 trillion. You see the problem?

Short_Week3262

How will these companies facilitate returns? Currently Amazon has you go to FedEx office, UPS store, Staples, Petco etc

Mouse1701

Let's see he owns 20k in UPS stock. You want to sell. So the first thing to note is once you sell you just gave your self a tax bill in 2027. Probably a bill like $3500 to $4000 in taxes. If you dont sell you continuously get dividend payments. Which is income. Four times a year. Then you only owe taxes on dividends. If you want more income from the stock just sell covered call options on the stock. You get paid a premium for doing so. The stocks can get called away if the strike price hits. The other choice is if you need the money just go to a bank take a loan out against the stock and you will not have to pay taxes on the loan. You still get to own the shares. Any how too many people get a large set of assets and dont know what to do with it because they never wanted it in the first place. They didn't make plans to use it. I encourage you to think long term this could be an opportunity for you to make more money and if you have children or relatives you could bless them with money they may need for college or pay their house off with. I also encourage you to be thankful for the money you have. If your not thankful and are careless with the money then it will be careless to you. Make plans tell that money what to do and where you want it to go.

InitiativeGlum2507

Told you UPS was going to take it in the butt.

dieselbp67

UPS is such a shit stock - after yesterdays Amazon announcement all the truckers and logistics names got crushed so it could be a good time to invest in some of them. Or you could buy the transports index or the overall spx. I would probably do $XPO.US, $CHRW.US, $R.US $FDX.US. Sorry about your husband! Hopefully yall get back on your feet

BrockDiggles

$UPS offers a sizable dividend so if you’re interested in steady quarterly income, then it’s not a bad idea to hold. However if you need the capital immediately, or if your goal is capital appreciation (growing the money) you should probably sell and allocate it elsewhere.

hellario

Not going to happen for a looooong time. For one, Amazon specializes in local deliveries, while UPS/Fedex are global. Amazon doesn't have planes crossing oceans or logistics for routes crisscrossing the nation. What they do have is a large network of local delivery drivers and a chain of warehouses that they're very effective with stocking. It's a very different business model. From anywhere to anywhere vs from a few places to a large amount of centralized locations and then last mile deliveries. There's overlap but very different use cases.

isherwood777

There is a potential for a turnaround in UPS’s stock in part, sadly, to the layoffs and trimming and refocusing of the company

phatelectribe

That’s a fallacy. They didn’t pay $20k for them. They. Got them for free, and those shares are selling the lowest they have done for 3 months because of a war that is going to end in the next month or so. When that happens, that $20k is going to be $25k to $30k if they even just climb back to where they were (and not even go higher). There’s no point selling temporarily depressed stocks due to an obvious temporary global condition unless you have. I carry over 40 positions at any one time. Timing is crucial from some of them. Not so much for some. UPS for me would be a hold until recovery then sell. I don’t love their long term business model but you have to be blind not to see they’re one of the stocks that are being depressed due ti fuel. Their entire business is logistics that requires different fuel types for every facet of their revenue stream.

Tripalicious

Get back at UPS by selling and buying FedEx stock

Previous-Engine2103

dont defend it, from an investing standpoint, UPS isnt top dog, and S&P is all about the best in breed growth stocks

mr_stupid_face

Nobody is talking about AMZN providing shipping for stores outside of their platform. UPS and FedEx shitting bricks

vocation888

If the UPS stock is not preferred, but common, you get dividends. Though most employees get preferred stock as part of any benefits package. If your husband only had preferred stock than wait a few months for oil prices to return to normal, stock should get a boost from that, then sell. If it's common stock, as others have said the divided is over 6% and enough to justify holding on a few more years to recover your stock cost basis.

JRshoe1997

While the dividend is very nice the main issue I have with it is that it doesn’t look affordable. As of 2025 their FCF was 4.7 billion meanwhile the dividend costs them 5.3 billion every year to pay. Dividend reinvestment is only really beneficial if the company cannot only keep paying it but also growing it. Looking at UPS they cannot even afford to pay it let alone be able to grow it. They really got to find a way to greatly increase their cash situation or reduce their capex which I don’t see how thats feasible especially in today’s climate with shipping costs and competition.

karlou1984

Never never neeeeever keep company shares. Sell that shiit as soon as you receive it. Put it another way, if your husband never worked for UPS, is there any world he would've invested this amount in $UPS?

phatelectribe

UPS price has been depressed for the last 3 months because of fuel prices, and Amazon are shooting themselves in the foot. Deliveries have gotten so bad that I can’t rely on them anymore and I’m shopping elsewhere now.

YogurtyWon

I can’t speak to any stock expertise, buuuuut, UPS IS reducing their overhead by buying out long term drivers and hiring new drivers at much more reasonable rates. Next quarter will likely show those training costs but by the holidays I imagine their profit margins will increase drastically. They obviously have a long term plan.

CamxThexMan3

UPS did not lay off your husband; he accepted a conditional offer to leave. It is literally impossible to layoff anyone at UPS w/ their union.

This-Grape-5149

When will UPS change the CEO? That’s the day to load in

eatingkiwirightnow

Not only that, they should be suspending or cutting dividends and using that to compete with Amazon. I think UPS is death by a thousand cuts.

fairlyaveragetrader

I'm just thinking out loud, I'm not sure this is really good. What you're doing is turning shipping into a cutthroat business. A race to the bottom. If Amazon is looking to take market share and then raise prices. That is a very long process and there is absolutely no moat around it. I can see the argument for UPS especially being so beaten down that if you are betting on tariffs going away, Democrat win in 2028, global trade picking back up. You have a trade, but you don't have an investment

MaybeTheDoctor

UPS was really valuable during the pandemic but are now back to the levels as before. Selling and putting the money into VOO or VOOV would make sense if you just want to save it for future house payment.

Impossible_Coyote_27

Switch it over to Amazon. They are going to put UPS and FedEx out of business

frank44v

I am not convinced. Some competition yes but I think the reaction is overblown. I could be wrong but I am holding UPS long and enjoying the dividend.

lawboop

First, sorry to hear your and husband’s experience with UPS. I was there when private and was able to put myself through college and loved that company. I made good money when it went public. Second, folks here are giving advice with zero knowledge of your position, age, basis in shares, and a number of other factors. You need to speak to a real human financial advisor not a subreddit. Dividend is paying 6.10%. The company beat earning predictions by .05 a share. Big money says $110-112 a share. 17 p/e All due respect to your husband, I too was laid off after a large shipper (Anchor Hocking) disappeared from our region. I was union and could’ve gone back to another hub but ohhh I was convinced that me and the brilliant folks on my line and my fellow drivers were sooo much smarter than management…well 30 years later place is still in business and my point is- please don’t base the decision on your husband’s thoughts on management. I see zero reason to dump and go to some play on everyone’s favorite etf. You’re earning 6.1% on that money. Thats $100 a month towards the house fund or towards other investments. But, again, this is a subreddit. This is not your local financial advisor who’d be happy to have a young couple come in and talk it out.

frank44v

so buy high, sell low? Got it. UPS will be back to $110-$120 in a few weeks. It is not going anywhere and pays a great dividend.

Local_Math_5512

Unions have killed multiple trucking companies over the past couple of years. There is a reason why UPS tried to buy out their Union. That attempt failed though. I'm not against Unions, but the unfortunate reality is that Trucking and logistics is a 'race to the bottom' industry. UPS has way to many non-union competitors (esp. Amazon) that can displace UPS by simply providing better pricing. I'd sell.

Bobcat-Stock

They said, “not a chance” about UPS being able to outperform the market.

phatelectribe

The issue with this advice is that it doesn’t account for the fact that UPS is getting hammered right now due to a highly unusual fuel shortage issue from a war that could end any moment. Personally, unless you really need the money right now, I would hold off until it bounces back. This is a historic low and it could well be trading a lot higher in 2 months from now.

betarhoalphadelta

UPS is pushing a 6.10% dividend yield right now. That's not terrible. People invest in stocks for different reasons. Some do it in the hope the price goes up. Some do it in the expectation that the company will pay a healthy dividend. And when you get really lucky--you get both.

WrongChoicePeter

10 year UPS management here, I left at the 10 year mark in 2020 and still own a good chunk of stock. Something things to keep in mind: ups currently pays $1.64 quarterly per share, these dividends should be reinvested; you will pay taxes on the sale and if your plan is just to reinvest it will take awhile to recoup that loss. UPS has taken a loss on delivering for Amazon, and ups has been shrinking the volume they accept from Amazon for several years before cutting them off. UPS just beat earnings, the dividend will likely rise, again. My advice, hold, I believe the stock price will go up and in the meantime I suggest reinvesting the dividends in VOO if you do not want more ups.

incognitorick

Seeing a lot of people telling you to sell now and put it in S&P, but you’d be missing out on free money. UPS is in the middle of a comeback imo and would have rallied significantly already if the whole Iran situation hadn’t transpired. You can see the charts actually keep climbing and then falling sharply on news of the conflict continuing, since UPS is heavily influenced by the rising fuel costs for air and ground transportation. However, recently UPS has invested heavily in automating its warehouses, reduced dependence on Amazon, and is trying to reduce influence of its union, which has scared investors for a long time. If you’ve held for this long, hold a little longer and find a decent exit price. It’s not a falling knife, UPS is a business that will still be successful in 5-10 years. No need to panic sell on the week it tanks 10%. It’ll probably be back to 120 soon especially if we get good news on Hormuz. I’ll check back in when it does.

laineyHeath

Amazon just announced enlarging their freight options for B2B. UPS and fdx took a beating. I'd wait for a recovery before selling. They have a great dividend. Sell in a few months.

lilpoststamp

I mean UPS isn't going to fail and is a relatively stable spot after cutting their Amazon business and they offer a 6.8% dividend so I don't think bonds are a better bet than a blue chip that's had a rough couple of years but is stabilizing

spanielgurl11

Fortunately, we would be ok if we lit this stock on fire today. I think we are gonna go the route of selling and investing in a diversified fund. I don’t have faith in UPS rebounding before we would like to buy a home.

Nuqqets

$UPS is a dividend trap stock get rid of it.

spanielgurl11

He was corporate but thankfully he found something else after some long months. Also, UPS has an insane noncompete. He couldn’t work for any company even tangentially related to shipping if he wanted to keep his severance. Not even Walmart.

foamboardsbeerme

If you lose money on an investment it can actually be deducted from your income (max of $3000 per year) as a capital loss, resulting in you paying less taxes for the year. I am hesitant to provide information directly related to your UPS stock as I am not sure if you purchased them directly or if they were provided as a form of compensation, this can change the way an equity is taxed.

Scannerguy3000

I was just looking at my UPS today. I don’t have $20k, but my options were closely with profit so I had to stop and think about next moves. I’ll tell you what I did, and would do in your situation. But, if you’re not familiar with these trades, I wouldn’t start something I’ve never done before. I’m not a licensed pro, and this is not financial advice etc. Sell OTM covered strangles. On my lots; I sold both 45DTE, calls above my cost (and adjusted cost basis, naturally), at a fairly low delta, maybe .20 or less. Don’t expect to get called. Same time, selling OTM puts, same date, at a price well below my CB and ACB. Also around .20 delta or further. Be aware, you have to have the cash to secure the potential assigned puts, and be willing to buy. Outcomes: Price stays in the middle, I collect 2 premiums, keep my shares, my adjusted cost basis on the whole lot keeps dropping. Price goes above the far out call strike, my shares sell at a price above what I paid. Price goes below my far out put strike, I acquire more shares, at a price that continues to lower my average cost. Important note: I usually will roll when they hit 50% premium capture or better, or around 21 days if they are at least positive premium capture. I don’t ever spend more money to get out of either leg. I’m ok getting assigned or called. I believe UPS will be fine long term. Oil wars and inflation hit all players. CEOs change, particularly when not performing. This strategy lets me keep my shares (probably), earn credit on both sides (at least one of the premiums will always be kept, usually both). And all the mechanics either continually chip away at my cost basis or sell for a profit. For comparison, I’ve had shares that I thought, “ugh these just turned into dogs”. I sold covered calls, or covered strangles on them until the adjusted cost basis was significantly lower. Like $10 a share lower, or down to single digit dollar cost basis, or even negative cost basis (rare, but it can happen). Then when/if the market likes them again and they do get called and sell off, I’ve been banking a substantial profit like a coiled spring. Usually when this happens I now have a big cash infusion, reduced equities, and if I’m on margin, my equity % goes up (or becomes 100%).

foamboardsbeerme

Not a dumb question. You will pay capital gains taxes on any appreciation that the UPS stock has had since you purchased it. There will be no taxes on buying VOO. When you sell VOO in the future, you would once again pay taxes on the appreciation. ie. if you bought $500 of VOO and sold it for $700, you will owe taxes on the $200 gain.

ShoemakerMicah

My first thought is that UPS &FedeX are about to get SERIOUS competition from Amazon Logistics which was rolled out today. Amazon is infinitely better positioned in the logistics world and this could be very disruptive from USPS on down.

Walternotwalter

UPS is a great stock and pays a very nice dividend. The part of the economy that matters to the stock market is using them A LOT. You give up that dividend getting rid of them and also create a taxable event.

ynu1yh24z219yq5

diversify, if you were there in corporate HQ and had any insight into UPS in terms advantages maybe keep it (and of course follow all applicable rules and regulations for such), but would you randomly put a large chunk of cash into it if you hadn't been working there? No... so why would you now?

oOtium

I don't say this lightly There is only one UPS. Just remember all of those endless working hours he did. That's not going away for the market any time soon. Usps nor fedex are taking up that mantle. amazon serves a different role entirely.

steady_compounder

If the goal is eventually a house, I’d frame this less as ‘is UPS cheap right now?’ and more as ‘do we want this much single-company risk?’ A concentrated ex-employer stock position is a different problem from a normal investing choice. If you already don’t trust the business outlook, simplifying and accepting the tax bill can still be the right move.

originalusername__

Yes and they only leave the rural difficult to get to shipments to ups and fedex. Amazon deciding to make their own UPS to quit paying the middleman was the ultimate business flex.

spanielgurl11

Reading is fundamental. Commenter: “unless you think UPS is going to outperform the market” Me: “not a chance.”

Jatapa0

The question really is do you believe that UPS can turn it around and beat the market if you don't believe they will then it is time to sell and pay the taxes on the sell and maybe buy some other stock and hold that.

Babyfat101

Hasn’t Amazon delivering taken a big bite from UPS?

ponziacs

I was a long time bagholder of UPS but sold at a big loss earlier this year. The biggest issue I see with the company is trying to compete with Amazon shipping as their DSP model can easily undercut more highly compensated UPS drivers.

spanielgurl11

Other than our 401ks, no. And RSUs from his new employer. I suggested we sell those as they vest, which I wish he would have done with UPS.