United Parcel's most recent trend suggests a bullish bias. One trading opportunity on United Parcel is a Bull Put Spread using a strike $118.00 short put and a strike $113.00 long put offers a potential 56.25% return on risk over the next 29 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $118.00 by expiration. The full premium credit of $1.80 would be kept by the premium seller. The risk of $3.20 would be incurred if the stock dropped below the $113.00 long put strike price.
The 5-day moving average is moving up which suggests that the short-term momentum for United Parcel is bullish and the probability of a rise in share price is higher if the stock starts trending.
The 20-day moving average is moving up which suggests that the medium-term momentum for United Parcel is bullish.
The RSI indicator is at 75.79 level which suggests that the stock is neither overbought nor oversold at this time.
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LATEST NEWS for United Parcel
The 'Messy Middle': How Trucking Will Get To An Electric Future
Mon, 20 Jul 2020 15:51:12 +0000
OEMs, logistics companies tout varied technology solutions on the way to a zero-emissions future.The metaphors flowed freely during a recent panel discussion as trucking experts argued for a multifaceted approach to low-carbon fuel adoption."We call the next couple of decades ‘the messy middle,'" said Mike Roeth, executive director for the North American Council for Freight Efficiency (NACFE.) While an electric truck future is achievable by around 2040, Roeth said, the interim period will feature an array of sustainable technologies ranging from diesel hybrids to renewable natural gas.Laurie Counsel, global environmental relations director for Cummins, the engine manufacturer, said trucking as an industry is often considered "a one-trick pony." "But now there are so many exciting things happening," Counsel said. "We just need to match the right technology with the duty cycle."An Incremental ApproachCounsel and Roeth were among the speakers who shared their experiences and insights during a webinar, Real-life Lessons for Trucking's Clean Future, focused on how trucking and logistics companies are incrementally adopting clean fuel technologies that reduce tailpipe pollutants and greenhouse gas emissions.Patrick Browne, United Parcel Service, Inc. (NYSE: UPS) director of global sustainability, said the pandemic has put even greater pressure on transportation and logistics companies, and as a result the logistics giant is seeing a surge in volume. Yet UPS is doubling down on its effort to meet its greenhouse gas emissions goals: slashing emissions from global ground operations 12% by 2025 from a 2015 baseline.To help meet this goal, UPS is relying on two levers in the vehicle division. By 2025, 40% of all fuel sources will come from alternatives to gas or diesel, with the proportion today clocking in at 24%. Noting that electric alternatives are "not there" for medium-duty vehicles, Browne said UPS has invested over $1 billion in compressed natural gas (CNG) vehicles and fueling infrastructure over the past decade, with more and more of the fuel coming from renewable natural gas, also known as biomethane. Produced from the breakdown of organic material in landfills, wastewater and farms, biomethane is considered a carbon-neutral fuel and in some cases even carbon negative — meaning it takes more carbon out of the environment than it produces.In 2019, 25% of UPS natural gas deployment was renewable, and the company is on track to reach 50% penetration by next year, according to Browne.The second strategy is to invest in available electric and hydrogen vehicles as the fleet turns over. To that end, UPS recently ordered 10,000 electric vans from Arrival, a U.K. manufacturer."We're preparing for a polyfuel, polytechnology future," Browne said. "You can have short-term [emissions] reductions while planning for a net zero future."Science-Based Emissions Reduction StrategiesCounsel touched on several consumer and product strategies that fall under Cummins' new sustainability plan, Planet 2050, an effort to meet or exceed the greenhouse gas emissions goals in the United Nations Paris agreement on climate change. One tactic is a continuation of a current goal to partner with customers after the sale of the product, ensuring the Cummins engine has the greatest fuel economy. The engine maker is also using "sector decarbonization data" for both transportation and power generation to derive a "science-based target" of reducing absolute lifetime greenhouse gas emissions from its newly sold products by 25%, Counsel said."It's a little scary," she admitted, "because we are not in total control of that scenario. It all comes down to customer preference, market acceptance, speed of regulation and advocacy. "But we wanted to do our part and the math told us what our part was, as we all move forward to a path that leads to zero emissions."Policy LeversClean truck headlines in the past week have focused on a landmark rule California approved on June 25 that will require manufacturers to sell an increasing number of electric trucks starting in 2024. But there are other regulations that can help nudge the market to cleaner fuels, the panel said.Browne pointed to California's low carbon fuel standard, which incentivizes users to use clean fuels. The regulation will allow UPS to double its use of renewable natural gas in the state next year, he saidTax policy is another driver, he said. Because natural gas isn't as dense as diesel, UPS has to buy 1.7 gallons of CNG for every one gallon of diesel."Because we were using more we were paying more taxes," Browne explained. "We worked with a lot of states to offset taxes so different types of fuels were taxed differently."Regulations and incentives should target short-, medium- and long-term solutions, according to Roeth, with infrastructure and funding for fleets to buy the trucks taking priority."We need to be able to jog, walk and crawl. In some cases we're crawling," he said. "In other cases we are farther along."Related Stories:Electric, natural gas trucking sectors duel over who deserves funding — nowCalifornia approves world's first electric truck sales mandateCalifornia to fleets: Buy those electric trucksClick here for more FreightWaves articles by Linda Baker.See more from Benzinga * The Daily Dash: Freight Volumes, Capacity And Earnings Remain Strong * Marten, Heartland Stock Prices Get Boost After Strong Quarters * Solving The Recurring Problem Of Mobile Workforce Optimization(C) 2020 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Business Leaders Mourn the Death of Congressman and Civil Rights Leader John Lewis
Mon, 20 Jul 2020 02:11:00 +0000
Delta Air Lines, Home Depot, UPS and other organizations remembered Congressman Lewis, who died Friday, as a champion of civil rights and the ‘Conscience of the Congress.’
UPS To Release Second-Quarter Results On Thursday, July 30, 2020
Thu, 16 Jul 2020 20:15:10 +0000
ATLANTA, July 16, 2020 — UPS (NYSE:UPS) will announce its 2020 second-quarter results on Thursday, July 30, 2020, at approximately 6:00 a.m. Eastern Time. At 8:30 a.m. ET,.
Take Your Profits in FedEx Stock and Don’t Look Back
Thu, 16 Jul 2020 18:50:44 +0000
With many brick-and-mortar stores closed in recent months thanks to the novel coronavirus, shipping companies like FedEx (NYSE:FDX) are seeing increased traffic and profits. FDX stock is up 20% in the last month.Source: Antonio Gravante / Shutterstock.com But I'm not looking for this ride to last. In fact, FedEx is living on borrowed time. Investors would be wise to take their profits now, before Amazon (NASDAQ:AMZN) reinstates its Amazon Shipping program and flexes its muscle once again.It's only a matter of time before the bubble of FDX stock pops.InvestorPlace – Stock Market News, Stock Advice & Trading Tips FedEx's Earnings at a GlanceTwo weeks ago, FedEx reported fiscal fourth-quarter 2020 earnings that sent the stock up 9%. Its revenue came in at $17.4 billion, which beat analysts' average estimate of $16.49 billion.Its earnings per share, excluding certain items, were $2.53, which was more than $1 per share better than analysts' mean estimate of $1.52. * 10 Work-From-Home Stocks That Are Beating the Pandemic The company said FedEx Ground's business grew 25% year-over-year. While the unit's business-to-business deliveries fell sharply because of the shutdowns, its business-to-consumer deliveries were more than enough to make up the difference.FedEx reported that it had made tweaks to improve its profit margins and offset higher costs in Q4.UBS analysts noted that FedEx's Q4 results had cleared "a low bar," as expectations for its earnings were modest. According to the firm, the company demonstrated that "the spread in profitability between their B2C and B2B business is likely not as wide as perceived."FedEx scored an earnings beat, but expectations were so low that the win isn't that impressive. FDX Stock Is on Borrowed TimeThe shadow that falls over FDX stock comes from Amazon, the e-commerce giant that seemingly has its hands in everything.Amazon is by far the biggest e-commerce player in the nation, with $280.5 billion of revenue last year. And it has its own delivery platform, bypassing FedEx and UPS (NYSE:UPS).Despite its incredible size and reach, even Amazon found itself overwhelmed in the early days of the Covid-19 outbreak. The giant's e-commerce sales exploded because consumers couldn't go to brick-and-mortar stores.Amazon hired 175,000 new workers to keep up with the demand, and it was forced to suspend its Amazon Shipping program. The pilot program let merchants who did their own warehousing also ship directly to customers, but it covered only a few major markets,Covid-19 cases are overwhelming many southern states and California now, but there is increasing pressure for states to reopen their doors as soon as possible to get the economy moving again.And happily, we may be closer to a vaccine than previously thought. Moderna (NASDAQ:MDRA) announced that its Covid-19 vaccine, which it's developing in partnership with the National Institutes of Health, performed well in a Phase 1 trial. The company is now moving on to Phase 3 tests.Remember, there's no love lost between Amazon and FedEx. The companies severed their air and ground relationships last year, and things have been tense between them ever since.Amazon barred companies enrolled in its "Seller Fulfilled Prime" program from using FedEx Ground and Home Delivery services. FedEx, meanwhile, purportedly told its employees not to order anything on Amazon's platform, even for personal use.Amazon won't even think twice about cutting into FedEx's business in the future.Amazon is too strong of a company to leave money on the table. You can bet that it will restart its Amazon Shipping program as quickly as possible, and that it will expand across the country as soon as Jeff Bezos & Co. determine that the investment is worth the return.That's going to take a bite out of FedEx. The Bottom Line on FDX StockDon't be fooled by FedEx's recent surge. The numbers are artificially inflated by Wall Street's overblown enthusiasm over its Q4 earnings and Amazon's temporary suspension of Amazon Shipping.Remember, the U.S. economy hummed along nicely for all of 2019. And in that same period, FDX stock fell more than 6%.That is more indicative of FedEx's growth prospects once Covid-19 vaccines are launched and Amazon restarts its pilot shipping program.If you've been holding FDX stock, then it's time to take your profits and move on to better opportunities. Shorting the shares could also be worthwhile.Patrick Sanders is a freelance writer and editor in Maryland, and from 2015 to 2019 was head of the investment advice section at U.S. News & World Report. Follow him on Twitter at @1patricksanders. As of this writing, he did not have a position in any of the aforementioned securities. More From InvestorPlace * Why Everyone Is Investing in 5G All WRONG * America's 1 Stock Picker Reveals His Next 1,000% Winner * Revolutionary Tech Behind 5G Rollout Is Being Pioneered By This 1 Company * Radical New Battery Could Dismantle Oil Markets The post Take Your Profits in FedEx Stock and Don't Look Back appeared first on InvestorPlace.
Is FedEx Stock a Buy?
Thu, 16 Jul 2020 11:31:00 +0000
The recent rise in FedEx's (NYSE: FDX) stock price has caught the eye of investors, and at the time of writing, the stock is up 6% on the year. FedEx's stock has produced a commendable performance given the significant impact of the COVID-19 pandemic on the economy. Two key questions surround the investment case for transportation stocks right now.
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