Equity Brief · Industrials2026-10-27
UPS·Industrials

Last results 27 Oct 2026

United Parcel Service, Inc.

I · AI Analysis

The brief

UPS delivers packages and documents through air and ground networks domestically and internationally. They also provide freight forwarding, contract logistics, customs brokerage, and specialized healthcare logistics services. The company serves both business and consumer customers with day- and time-definite delivery options.

United Parcel Service is a global package delivery and logistics company operating in over 220 countries, founded in 1907 and employing 460,000 people [Yahoo Finance]. The company just beat quarterly profit expectations and raised its full-year outlook, driven by a shift toward higher-margin packages and ongoing efficiency improvements [Reuters]. UPS operates through U.S. Domestic Package and International Package segments, offering time-definite delivery, freight forwarding, customs brokerage, and healthcare logistics [Yahoo Finance].

UPS is financially healthy with improving profitability, though operating margins contracted sharply in the latest quarter.

The brief AI analysisConfidence 8/10

Sentinellis health

Financially healthy

7.6/10

7.5+ strong · 4.5–7.5 moderate · under 4.5 weak

Profitability

14% of score10.0/10
Net margin+5.1%Gross margin+22.4%

Returns on capital

14% of score10.0/10
ROIC+13.1%Return on equity+30.3%

Growth & momentum

19% of score5.0/10
Revenue growth+7.6%Operating margin trend-4.5pp YoY· need not down > 3pp YoY

Balance sheet

29% of score5.0/10
Current ratio1.2x· need > 1.2xNet debt / EBITDA2.3xInterest coverage6.5xDebt / equity1.90· need < 1.5

Cash generation

14% of score10.0/10
Free cash flow$5.5BCash vs reported profit$8.9B vs $4.6B

Value creation

10% of score10.0/10
ROIC vs cost of capital+5.9pp

Sentinellis calculation from the published statements — not a score reported by any data source. Each category is scored on the checks that had data; missing inputs are excluded rather than counted as failures.

Market capitalisation

$85.4B

Revenue (TTM)

$89.9B

Explainers

How we read these numbers

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II · Recent news

What moved

6 stories · ranked by relevance

  • Company2026-10-27

    UPS raises annual forecasts as higher-margin parcels drive quarterly profit beat - Reuters

    Reuters

  • Company2026-10-27

    UPS Raises Outlook as Revenue Climbs - WSJ

    Wall Street Journal

  • Company2026-10-27

    UPS Raises Sales Outlook in Sign of Strength for Holiday Season - Bloomberg.com

    Bloomberg

  • Company2026-10-27

    UPS tops estimates as efficiency drive gains momentum - Yahoo Finance

    Yahoo Finance

  • Company2026-10-27

    United Parcel Service’s (NYSE:UPS) Q3 2026: beats on revenue, full-year outlook slightly exceeds expectations - Yahoo Finance

    Yahoo Finance

  • Company2026-10-27

    UPS beats quarterly expectations, raises full-year guidance again - CNBC

    CNBC

Premium · Free with any account

Operating margin compressed by 4.5 percentage points in the latest quarter (from 8.6% to 4.1% year-over-year), indicating significant pressure on profitability despite revenue growth [Sentinellis calculation].

1 of 4 risks in this report

Risks

4

Opportunities

5

Red flags

1

Leadership

10

9 more findings in the full report — free with any account.

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Produced 27 Oct 2026, 11:37 UTC

Figures come from company filings and market data. The Sentinellis health score and the wording attached to it are our interpretation of those figures, not numbers the company reported.

Not investment advice and not a recommendation to buy or sell. Sentinellis holds no positions in the companies it covers, takes no payment from issuers, and has no broker referral arrangements.

How every figure and score is calculated