Skip to main content

Market Overview

Tuesday's Market Minute: UPS Earnings Breakdown

Share:
Tuesday's Market Minute: UPS Earnings Breakdown

UPS (NYSE: UPS) beat on first-quarter earnings before the bell this morning with earnings per share of $2.77 and revenue of $22.91 billion. The company is not providing 2021 guidance. Right now, Americans are depending on package deliveries more than ever as e-commerce spikes during the pandemic and ordering online becomes more integrated into daily life. UPS benefits from the heightened demand and must expand to meet it.

But what happens to UPS as giant companies like Amazon or Target (NYSE: TGT) begin to bring more delivery in-house? Amazon (NASDAQ: AMZN) subcontracts fleets of branded vans to deliver its packages, bypassing UPS. Target announced recently that it would expand the use of Shipt from same-day grocery delivery to more packages – the first step towards its own logistics chain. And, as more Americans are vaccinated and the end of lockdowns is in sight, will people return to old habits and UPS see less demand? The company may have to weather another sea change soon.

Image Sourced from Pixabay

 

Related Articles (AMZN + TGT)

View Comments and Join the Discussion!

Posted-In: TDAmeritrade upsEarnings News Commodities Global Markets General Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com