United Parcel Service, Inc., a package delivery company, provides transportation and delivery, distribution, contract logistics, ocean freight, airfreight, customs brokerage, and insurance services. It operates through two segments, U.S. Domestic Package and International Package. The U.S. Domestic Package segment offers time-definite delivery of express letters, documents, small packages, and palletized freight through air and ground services in the United States. The International Package segment provides guaranteed day and time-definite international shipping services comprising guaranteed time-definite express options in Europe, Asia, the Indian sub-continent, the Middle East, Africa, Canada, and Latin America. The company also offers international air and ocean freight forwarding, post-sales, and mail and consulting services. In addition, it provides truckload and customs brokerage services; supply chain solutions to the healthcare and life sciences industries; fulfillment and transportation management services; and integrated supply chain and shipment insurance solutions. United Parcel Service, Inc. was founded in 1907 and is headquartered in Atlanta, Georgia.

UPS выглядит как зрелый бизнес с сильной рентабельностью, но с заметным давлением на качество баланса и прибыльность. Оценка по P/E и P/S ниже медианы отрасли, что поддерживает идею умеренной недооценки, однако P/B почти в 2.3 раза выше отраслевой медианы, а это обычно означает, что рынок уже закладывает высокую стоимость капитала и устойчивость активов. P/FCF тоже выглядит приемлемо, но не настолько дёшево, чтобы полностью компенсировать слабости по балансу. Сильная сторона компании — очень высокая валовая маржа, а также ROE, ROA, ROI и return on tangible equity, которые существенно выше отрасли и подтверждают эффективность использования капитала. При этом динамика маржинальности не идеальна: net profit margin и operating margin постепенно снижаются, что говорит о давлении на операционную модель. Долговая нагрузка остаётся высокой: debt/equity значительно выше медианы, long-term debt вырос по сравнению с прошлым годом, а current ratio ниже отрасли и quick ratio фактически нулевой, что указывает на слабую краткосрочную ликвидность. Это важный риск для инвестора, особенно в циклическом промышленном секторе, где стоимость капитала и спрос могут меняться быстро. Выручка и gross profit в целом остаются крупными и относительно устойчивыми, но EBITDA и operating income выглядят слабее, чем хотелось бы для компании с такой рыночной оценкой. Чистая прибыль и EPS тоже не демонстрируют убедительного улучшения, а прогноз EPS ниже недавних уровней, что ограничивает потенциал переоценки. Дивидендная доходность остаётся умеренной и не выглядит достаточным аргументом для агрессивного повышения оценки. В сумме фундаментал у UPS скорее поддерживает справедливую оценку с небольшим дисконтом, чем заметный апсайд, поэтому целевой ориентир стоит слегка снизить. Для инвестора это история про качественный, прибыльный, но уже не дешёвый бизнес с хорошей рентабельностью и одновременно с повышенными рисками по долгу и ликвидности.

United Parcel Service, Inc.

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Сильный индекс, значительно упал. Медведи в растерянности.

Strong index, significantly down. The bears are confused.

Слабый индекс, значительно вырос. Рынок не поддерживает быков.

Weak index, significantly up. The market does not support the bulls.

Слабый индекс, значительно упал. Рынок на стороне медведей.

Weak index, significantly down. The market is on the bears' side.

Слабый индекс, незначительно вырос

Слабый индекс, незначительно упал. Приток средств в шорты остался положительным, но снизился.

Weak index, slightly down. The inflow of funds into shorts remained positive, but decreased.

UPS остаётся прибыльной и эффективной, но высокая долговая нагрузка, слабая ликвидность и давление на маржу ограничивают потенциал переоценки.

Key Points
United Parcel Service's management is telling investors that the inflection point in its turnaround effort is at hand.
Clorox's CEO is departing for medical reasons, but the company has revamped its portfolio and bought an attractive business.
Realty Income has built a broad platform, giving it multiple avenues for growth.
The SpaceX (Nasdaq: SPCX) IPO has captured the world's attention, but it isn't the only stock worth knowing about. In fact, with the S&P 500 index (SNPINDEX: ^GSPC) trading near all-time highs, popular stocks like SpaceX may not be as compelling as unloved companies like United Parcel Service (NYSE: UPS), Clorox (NYSE: CLX), and Realty Income (NYSE: O). Here's why you may want to ignore hot stocks and focus on these dividend payers instead.
1. United Parcel Service isn't burying the lead
United Parcel Service is in the middle of a turnaround. It hasn't been easy or pretty, at least financially speaking. Management has been focused on cutting costs, increasing its use of technology, and leaning into its most profitable business lines. From a big-picture perspective, that has meant increased investment and reduced revenues and earnings. Investors don't like that, and the stock has cratered.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
However, at the end of 2025, UPS made a bold call: 2026 would be the inflection point. The first half would continue the downtrend in revenues and margins, but the second half would see an upturn. The full year is expected to be about flat with 2025, but the key is that business results will finally start improving. The industrial company's CEO again backed that outlook when it reported first-quarter earnings.
The stock has a lofty 6% dividend yield, and if the business turns as planned, it is likely to hold. If you buy now, you can lock in that yield and perhaps ride the stock higher as investors reward the company for its turnaround progress.
2. Clorox is dealing with headwinds, but has a growth catalyst
Clorox was a Wall Street darling during the coronavirus pandemic because of its heavy focus on cleaning products. When the world learned to live with COVID, however, investors dumped the stock. Things got worse as post-pandemic inflation hit margins, and the company's computer systems were hacked. And while all of this was happening, Clorox was also rejiggering its portfolio to weed out underperforming product lines.
With inflation on the rise again and consumers tightening their budgets, Wall Street has continued to punish Clorox's stock. The yield is near historical highs at 5%. As if that weren't enough, the company's well-respected CEO is stepping down for medical reasons. But she has left the company with a catalyst because her last big move was the acquisition of Gojo.
Gojo makes Purell hand sanitizer, which is the leading brand in that space. It aligns well with Clorox's consumer staples portfolio and enables it to expand further into the business-to-business market. While debt will rise for a while, the growth opportunity remains attractive. And for investors who think long-term, this consumer staples maker's high yield could be the perfect addition as it sets itself up to get back on the growth track.
3. Realty Income is high yield and boring
Of the three stocks here, Realty Income is probably going to be the most attractive to conservative investors. It has a lofty 5.2% yield, backed by a large, diversified portfolio of rental properties. Reliably paying dividends is so important to Realty Income that it trademarked the nickname "The Monthly Dividend Company."
With a gigantic portfolio of over 15,500 properties spread across North America and Europe, this is not a growth story. It takes a lot to move the needle here. However, slow and steady is very attractive when it comes along with a 5.2% yield. And Realty Income is laser-focused on ensuring it can continue to pay and grow that dividend. Notably, it has been expanding its business into new areas, including institutional asset management and loans, as well as adding new property types (such as data centers and casinos).
While this real estate investment trust (REIT) is likely to be very boring, that's actually the reason to buy it. It is a perfect fit for conservative income investors, but it could also provide a risk balance for those willing to buy riskier income stocks like UPS.
Three high-yield options in a market that looks like a popularity contest
It increasingly appears like investors are only focused on the biggest and flashiest stocks. That's left solid turnaround stories like UPS and Clorox to languish, despite attractive yields and increasingly attractive businesses. Even boring, reliable, high-yield stocks like Realty Income seem to be unloved. All three are worth getting to know, and perhaps loading up on, while other investors are fawning over Wall Street darlings like SpaceX.
Where to invest $1,000 right now
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Reuben Gregg Brewer has positions in Clorox and Realty Income. The Motley Fool has positions in and recommends Realty Income and United Parcel Service. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Stocks to Load Up On Right Now

Pitney Bowes Inc. PBI appears to be positioning its shipping software business as a key growth driver. Recent management commentary suggests it could become the company’s next major growth engine. While traditional mailing operations continue to face secular pressures, the company is seeing encouraging momentum in software subscriptions, bookings and customer acquisition efforts.
During the first-quarter 2026earnings call CEO Kurt Wolf highlighted shipping software as the area with the greatest growth potential within the SendTech segment. Management is simplifying its portfolio of software offerings, reducing customer confusion and focusing resources on enhancing the most promising products. The company is also shifting toward a customer-centric development strategy, prioritizing features and services that directly address client needs rather than leading with technology alone.
Early signs of progress are already emerging. Pitney Bowes reported its first year-over-year increase in bookings in some time, while enterprise software subscriptions improved as sales teams exceeded targets. Management noted that stronger bookings not only support current revenues but also create recurring “stream” revenue opportunities in future periods through shipping-label and software-related services.
A unique advantage for Pitney Bowes is its banking operation. The company plans to leverage the bank to offer financing solutions and other value-added services to shipping software customers. Management believes this differentiates PBI from competitors, as few rivals possess an in-house banking platform capable of supporting customer cash-flow needs and providing attractive financing options.
While management remains cautious about predicting a precise timeline for accelerated growth, the combination of improving sales execution, rising subscriptions, streamlined products and banking-related opportunities suggests shipping software could become an increasingly important contributor to Pitney Bowes’ long-term growth strategy.
PBI’s Stock Price Performance & Valuation Trend
Shares of Pitney Bowes have increased 69% in the past three months, outperforming the S&P 500’s 9.8% rise. In the same time frame, other industry players like FedEx FDX and United Parcel Service UPS have declined 3.9% and increased 11.7%, respectively.
Price Performance
Image Source: Zacks Investment Research
PBI stock is currently trading at a discount compared with the S&P 500, with a forward 12-month price-to-earnings (P/E) ratio of 10.2, as evidenced by the chart below. Conversely, industry players, such as FedEx and United Parcel Service, have P/E multiples of 15.65 and 14.57, respectively.
P/E (F12M)
Image Source: Zacks Investment Research
Earnings Estimate Revision of PBI
PBI’s earnings estimates for 2026 and 2027 have trended upward in the past 60 days to $1.62 and $1.76 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 20% and 8.4%, respectively.
Image Source: Zacks Investment Research
PBI currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Will Shipping Software Become Pitney Bowes' Next Growth Engine?

Key Points
SpaceX will be the largest IPO on record. The company priced its stock at $135 per share, which brings its initial market capitalization to $1.77 trillion.
SpaceX's vertical integration is unique. No other company brings together the launch, connectivity, and compute technologies needed for orbital AI data centers.
Historically, large IPO stocks have often declined during their first year on the market, and their long-term returns have frequently lagged the S&P 500.
The S&P 500 (SNPINDEX: ^GSPC) and Nasdaq Composite (NASDAQINDEX: ^IXIC) have declined modestly this week as Wall Street prepares for the SpaceX (NASDAQ: SPCX) IPO on Friday, June 12. The event will be historic for multiple reasons: The company will raise a record $75 billion at an unprecedented valuation of $1.77 trillion, making it the largest IPO of all time.
Investment banks involved in the deal report strong demand for SpaceX stock, priced at $135 per share and trading under the ticker SPCX. In fact, the IPO is four times oversubscribed, meaning demand exceeds the number of shares available by a factor of four, according to Reuters.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Should you buy the SpaceX IPO? In the last decade, the average IPO stock gained 25% on the first trading day, but large IPOs have historically dropped sharply during the first year. Here's what you should know.
SpaceX is uniquely positioned to build and deploy orbital AI data centers
SpaceX (short for Space Exploration Technologies) breaks its business into three operating segments: space, connectivity, and artificial intelligence (AI).
1. Space
SpaceX has revolutionized space travel. In 2015, the Falcon 9 -- the world's first orbital-class rapidly reusable rocket -- successfully landed on Earth after being launched into space. No other company replicated that feat until Blue Origin in 2025. SpaceX aims to further cement its lead with the Starship system.
Starship will be the first fully and rapidly reusable spacecraft. It comprises a reusable first stage (Super Heavy booster) and second stage (the spacecraft), both engineered to return to the launch tower after flight, where they are caught in mid-air by mechanical arms. The company says Starship will reduce launch costs by 99% versus the historical average.
2. Connectivity
SpaceX could revolutionize the internet and mobile industries with Starlink, a constellation of about 10,000 broadband satellites that currently serves about 12 million subscribers. Starlink is already the largest satellite internet service, but it could eventually dominate the broader communications industry.
CEO Elon Musk says the Starlink constellation will ultimately expand tenfold to include more than 100,000 satellites. "If growth continues, Starlink will one day carry the majority of internet traffic. At that point, it is the internet and everything just connects to Starlink."
3. Artificial intelligence
SpaceX recently merged with xAI, an artificial intelligence research lab. The registration statement (Form S-1) states: "We own and operate what we believe to be the largest AI training data center clusters on Earth, including Colossus I and Colossus II." xAI also develops Grok frontier models and enterprise AI applications.
The company recently signed two big deals. It will provide compute capacity to Anthropic for $1.25 billion per month, and it will provide compute capacity to Alphabet's Google for $920 million per month. Those deals are worth $26 billion per year, which represents a material acceleration from the $3.2 billion in sales xAI reported in 2025.
Here's the big picture: SpaceX is unique in its vertical integration. No other company brings together the launch capacity, connectivity technology, and AI infrastructure needed to build and run orbital data centers. Musk believes orbital data centers (i.e., powered by the sun and cooled by space) will solve the energy constraints of terrestrial data centers.
Collectively, SpaceX estimates its total addressable market at $28.5 trillion. That figure includes $370 billion from space mission and launch services, $1.6 trillion from Starlink broadband and mobile services, and $26.5 trillion from AI infrastructure and applications.
History says SpaceX's stock will drop sharply during its first year on the public market
SpaceX will be the largest IPO on record, with an initial market capitalization of $1.77 trillion. That alone is not an issue, but it implies an absurdly expensive valuation. The company reported $19.3 billion in revenue in the past year, bringing its price-to-sales (P/S) ratio to 92.
For context, Palantir Technologies is the most expensive stock in the S&P 500 at 63 times sales. But SpaceX is going public at a valuation 46% higher, leaving plenty of downside risk, especially since large IPOs have historically declined in their first year on the market.
The chart below shows how the 10 largest U.S. IPO stocks (by market value at the IPO price) performed during their first year on the market.
10 Largest U.S. IPO Stocks
1-Year Return Post-IPO
Meta Platforms
(22%)
Uber Technologies
(25%)
Venture Global
(60%)
United Parcel Service
11%
Coupang
(45%)
Mondelez International
(8%)
Coinbase Global
(34%)
General Motors
(31%)
Visa
13%
Kenvue
(12%)
Average
(21%)
Data source: Barron's, YCharts. The chart shows how the top 10 U.S. IPO stocks performed during their first year on the public market.
As shown above, the 10 largest U.S. IPO stocks declined by an average of 21% during their first year. That may surprise readers, as IPO stocks (especially highly anticipated ones like SpaceX) frequently skyrocket on the first trading day. But they often give back those gains and then some.
More importantly, disappointing post-IPO returns are not limited to a single year for companies that go public with large market caps. The 10 largest U.S. IPO stocks (shown in the chart above) have underperformed the S&P 500 by an average of 99 percentage points since listing shares.
So, should you buy the SpaceX IPO? My answer is no. History suggests the stock could drop sharply in its first year and may underperform the S&P 500 in the long run. That doesn't mean you should forget about SpaceX. Instead, be patient and wait for more attractive buying opportunities.
Should you buy stock in Space Exploration Technologies right now?
Before you buy stock in Space Exploration Technologies, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Space Exploration Technologies wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $439,038!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,277,804!*
Now, it’s worth noting Stock Advisor’s total average return is 942% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 11, 2026.
Trevor Jennewine has positions in Palantir Technologies and Visa. The Motley Fool has positions in and recommends Alphabet, Kenvue, Meta Platforms, Palantir Technologies, Uber Technologies, United Parcel Service, and Visa. The Motley Fool recommends Coinbase Global, Coupang, and General Motors. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Should You Buy the SpaceX IPO? History Says the Stock Will Make a Big Move in the First Year.

Key Points
SpaceX’s historic IPO is just days away, with trading expected to begin on June 12.
The company has drawn attention due to its work in high-growth markets.
The countdown has begun. But not to SpaceX's next rocket launch. Instead, investors are counting the minutes until the Elon Musk-led company's initial public offering. Why is the offering attracting so much attention? Its size is one reason. SpaceX, aiming for a valuation of more than $1.7 trillion, is on track for the biggest IPO on record. The company's work in the exciting high-potential areas of space and artificial intelligence (AI) is also drawing attention. And finally, Elon Musk, known for his innovation and high ambitions, has often intrigued at least a certain part of the investment community.
All of this has brought the SpaceX IPO to center stage in recent days. And it may also prompt the following question: Could investing in this mammoth IPO or in SpaceX over the days following the market debut set you up for life? History offers an answer that's crystal clear.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
A leader in rocket launches
So, first, let's consider the SpaceX story. Elon Musk founded the company nearly 25 years ago and has since made it a leader in rocket launches -- it completed 165 last year, the most of any company -- and a hopeful in the AI race. After the acquisition of Musk's xAI earlier in the year, SpaceX became a big player in this market that may reach beyond $2 trillion by the end of the decade. In fact, SpaceX sees its total addressable market, which includes all of its businesses, at a mind-boggling $28 trillion.
Goldman Sachs, lead underwriter of the IPO, is optimistic too, predicting SpaceX's revenue will soar to more than $400 billion in five years -- that's from $18 billion last year -- according to a report in The Financial Times.
All of that sounds fantastic, but it's important to keep in mind that SpaceX also carries some risk. For example, it must invest significantly in its AI business to reach its goals, and last year, that resulted in a $6.3 billion loss for that business. It's also key to note that certain SpaceX goals depend on technology that hasn't yet been proven -- and some goals, if reached, may take longer than expected. All of this could get in the way of profitability and potentially result in poor stock performance, too.
So, yes, SpaceX could become a major success story and see its stock skyrocket (excuse the pun), but this success isn't guaranteed. This means the stock might be right for certain aggressive investors, but cautious investors may want to watch from the sidelines -- at least for now.
A look at previous historic IPOs
But if you don't mind the risk and consider picking up SpaceX shares either by participating in the IPO or buying during the first days of trading, could the stock set you up for life? A look at the performance of some of the biggest U.S. IPOs shows that four rose and three fell in the five years following their market debuts.
Company
IPO date
Performance 5 years post IPO
Alibaba
Sept. 2014
up 91%
Meta Platforms
May 2012
up 286%
Uber Technologies
May 2019
up 61%
Rivian
Nov. 2021
down 82%
Didi Global
June 2021
down 74%
United Parcel Service
Nov. 1999
up 21%
Coupang
March 2021
down 61%
So the answer is crystal clear: A big IPO doesn't necessarily lead to a winning stock market performance. And when the stock does deliver a positive performance, history tells us that it is still likely to offer additional buying opportunities down the road. For example, a look at Meta shows that if you invested later in the story, you would have gained considerably.
What does this mean for you today as an investor, with the SpaceX IPO approaching? Never rush into an IPO just because the operation is big and the company seems exciting. Instead, examine if the company is really the right fit for your portfolio over the long term, and if it is, you might add it to your portfolio at any point in time. History shows us that buying around the time of the IPO doesn't always lead to a win.
Finally, it's never a good idea to rely on one stock to set you up for life. It's unlikely that one company alone will do the job. Instead, aim to invest in at least 50 quality stocks -- progressively, according to your budget -- and hold on for the long term. That's the best way to grow wealth over time.
Should you buy stock in Meta Platforms right now?
Before you buy stock in Meta Platforms, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Meta Platforms wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 8, 2026.
Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Goldman Sachs Group, Meta Platforms, Uber Technologies, and United Parcel Service. The Motley Fool recommends Alibaba Group and Coupang. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Could Investing in the SpaceX IPO Set You Up for Life? History Offers an Answer That's Crystal Clear.

Looking today at week-over-week shares outstanding changes among the universe of ETFs covered at ETF Channel, one standout is the Avantis U.S. Large Cap Value ETF (Symbol: AVLV) where we have detected an approximate $583.7 million dollar inflow -- that's a 4.6% increase week over week in outstanding units (from 141,600,000 to 148,100,000). Among the largest underlying components of AVLV, in trading today Flex Ltd (Symbol: FLEX) is up about 0.2%, Ross Stores Inc (Symbol: ROST) is off about 0.2%, and United Parcel Service Inc (Symbol: UPS) is up by about 0.1%. For a complete list of holdings, visit the AVLV Holdings page » The chart below shows the one year price performance of AVLV, versus its 200 day moving average:
Looking at the chart above, AVLV's low point in its 52 week range is $66.35 per share, with $91.56 as the 52 week high point — that compares with a last trade of $90.61. Comparing the most recent share price to the 200 day moving average can also be a useful technical analysis technique -- learn more about the 200 day moving average ».
Exchange traded funds (ETFs) trade just like stocks, but instead of ''shares'' investors are actually buying and selling ''units''. These ''units'' can be traded back and forth just like stocks, but can also be created or destroyed to accommodate investor demand. Each week we monitor the week-over-week change in shares outstanding data, to keep a lookout for those ETFs experiencing notable inflows (many new units created) or outflows (many old units destroyed). Creation of new units will mean the underlying holdings of the ETF need to be purchased, while destruction of units involves selling underlying holdings, so large flows can also impact the individual components held within ETFs.
Further AVLV Research:
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Avantis U.S. Large Cap Value ETF Experiences Big Inflow

Key Points
SpaceX will be the largest IPO in history; the stock will have an initial market value of $1.77 trillion when it starts trading on Friday, June 12.
The 10 largest U.S. IPO stocks on record have collectively underperformed the S&P 500 by 96 percentage points since listing shares.
SpaceX's IPO price puts the valuation above 90 times sales, 48% more expensive than the most richly valued stock in the S&P 500.
SpaceX, the rocket and satellite company founded by Elon Musk, will hold its initial public offering (IPO) on Friday, June 12. The stock will be listed on the Nasdaq Exchange under the ticker symbol SPCX.
SpaceX has officially priced its IPO at $135 per share. With about 13.1 billion total shares outstanding, that gives the company an initial market capitalization of $1.77 trillion, making it the largest IPO on record.
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Investment banks underwriting the IPO are reporting immense demand, but history says SpaceX is likely to underperform the S&P 500 (SNPINDEX: ^GSPC) in the long run, which means investors would be better off buying an S&P 500 index fund instead of participating in the IPO.
Here are the important details.
SpaceX stock may rocket higher initially, but history says it will underperform the S&P 500 in the long run
IPO stocks frequently jump on their first trading day. Between 2016 and 2025, over 1,100 companies listed shares on U.S. exchanges, and their stock prices increased by an average of 25% on day one, according to Jay Ritter, director of the IPO Initiative at the University of Florida.
However, the initial excitement eventually fades, and selling pressure increases as lock-up periods expire, giving insiders an exit strategy. That trend is particularly evident with larger companies. The chart below lists the 10 largest U.S. IPOs (as measured by market value at the IPO price) on record; it also shows how each stock has performed relative to the S&P 500 since going public.
IPO Stock
IPO Date
Relative Total Return Versus S&P 500
Meta Platforms
May 2012
1,123%
Uber Technologies
May 2019
(97%)
Venture Global
January 2025
(70%)
United Parcel Service
November 1999
(727%)
Coupang
March 2021
(159%)
Mondelez International
June 2001
(791%)
Coinbase Global
April 2021
(112%)
General Motors
November 2010
(685%)
Visa
March 2008
665%
Kenvue
May 2023
(107%)
Average
(96%)
Data source: Barron's, YCharts. The chart shows how the 10 largest U.S. IPO stocks (i.e., excluding foreign issuers) have performed relative to the S&P 500 since listing shares.
As shown above, the 10 largest U.S. IPO stocks have underperformed the S&P 500 by 96 percentage points since listing shares. The lesson for investors is crystal clear: Rather than participate in those IPOs, it would have been more lucrative to buy an S&P 500 index fund. And the same is probably true of the SpaceX IPO.
SpaceX will go public with a very expensive valuation of 92 times sales. For context, Palantir Technologies is currently the most richly valued stock in the S&P 500 at 62 times sales. But SpaceX stock will be 48% more expensive when it starts trading, leaving plenty of downside.
Morningstar analyst Nicolas Owens estimates SpaceX's fair value at $780 billion, implying 56% downside from its IPO valuation of $1.77 trillion. That does not mean the stock will crash immediately. CNBC's Jim Cramer thinks the company's market value could rapidly climb to $5 trillion following the IPO.
Here's the bottom line: SpaceX, with an initial valuation of $1.77 trillion, will be the largest IPO on record. The stock may initially rocket higher, but history says it will underperform the S&P 500 over the long run. That means investors would be better off buying the Vanguard S&P 500 ETF (NYSEMKT: VOO) on June 12.
The Vanguard S&P 500 ETF returned 12.3% annually over the last 15 years
The Vanguard S&P 500 ETF tracks the S&P 500, an index of 500 large U.S. companies. It includes growth and value stocks from every market sector, and covers about 80% of domestic equities and 50% of global equities by market value.
In short, the Vanguard S&P 500 ETF is a ready-made portfolio that offers exposure to many of the most influential companies in the world. The five largest positions are listed below:
Nvidia: 7.8%
Alphabet: 6.5%
Apple: 6.4%
Microsoft: 4.9%
Amazon: 4.1%
The Vanguard S&P 500 ETF has a very low expense ratio of 0.03%, meaning shareholders will pay just $3 per year on every $10,000 invested. Additionally, the index fund returned 475% (12.3% annually) over the last 15 years, compounding at a pace that would have turned $500 per month into more than $230,000.
Purchasing an S&P 500 index fund lacks the excitement of participating in the SpaceX IPO, but history says it's the more prudent investment. However, investors should still keep SpaceX on their watchlists. "We think the company has been significantly overvalued and investors will have opportunities to buy the stock at more attractive levels after the IPO," Morningstar analysts led by Nicolas Owens wrote in a recent note.
Should you buy stock in S&P 500 Index right now?
Before you buy stock in S&P 500 Index, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and S&P 500 Index wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 8, 2026.
Trevor Jennewine has positions in Amazon, Nvidia, Palantir Technologies, Vanguard S&P 500 ETF, and Visa. The Motley Fool has positions in and recommends Alphabet, Amazon, Apple, Kenvue, Meta Platforms, Nvidia, Palantir Technologies, Uber Technologies, United Parcel Service, Vanguard S&P 500 ETF, and Visa. The Motley Fool recommends Coinbase Global, Coupang, and General Motors. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

The SpaceX IPO Is Just Days Away. History Says the Stock Will Do This When It Starts Trading.

Key Points
United Parcel Service is nearing the end of a long turnaround effort.
The company is telling investors that the second half of 2026 will be the start of the upturn.
United Parcel Service's (NYSE: UPS) stock has fallen 50% since hitting a high in early 2022. The stock, however, is up 30% from its lows in Oct. 2025. The market is starting to believe the company's turnaround plan is gaining traction. If you wait too long to buy it, you may miss out on the investment opportunity.
UPS isn't expecting much from the second quarter
Buying UPS before July 15 should get you in before the company reports second-quarter earnings. Those earnings aren't expected to be great reading. But that's not the point. The key here is that UPS has been telling investors that the first half of 2026 would be weak, with the second half coming in stronger.
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In other words, the end of the second quarter will be the inflection point. It will be the point in time when the industrial giant's financial results start to turn around. There are already important signs of progress, with a steady increase in revenue per piece in the U.S. business being a key sign of the company's early turnaround success.
Not a great year, but an important change of direction
To be fair, the full year is likely to be roughly flat with 2025, with revenue and operating margin barely budging (though revenue per piece is expected to keep rising, ending up mid-single digits for the year). However, the company believes the trends will shift between the first and second half.
In the first half of 2026, revenues are expected to fall, with margins remaining under pressure. But in the second half, revenues are expected to start growing, with margins improving. The company didn't materially alter its view when it reported first-quarter 2026 earnings in late April. In fact, the CEO doubled down, telling investors that the turnaround effort was still on track. I believe there will be a similarly positive update when the company reports second-quarter earnings.
More aggressive investors should consider buying now
Risk-averse investors probably won't want to buy UPS, given the turnaround story it is working on. However, for more aggressive investors, that turnaround appears to be coming to an end. The business upturn will come, if management is correct, in the second half of the year. The stock is already moving higher, but if you act before the company reports second-quarter earnings, you can still get in before the rest of Wall Street catches on to the change in direction.
Should you buy stock in United Parcel Service right now?
Before you buy stock in United Parcel Service, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and United Parcel Service wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 206% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 7, 2026.
Reuben Gregg Brewer has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends United Parcel Service. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

I'm Calling It: UPS Is a Buy Before July 15

Key Points
SpaceX’s IPO, expected to unfold on June 12, could top $1.7 trillion.
The Elon Musk-led company has big ambitions, but to reach these exciting goals, it must invest heavily.
One of the biggest stock market events ever is just days away. SpaceX's historic initial public offering, likely to be the largest ever, is expected to happen on June 12. The company set a price of $135 per share and aims to sell 555.6 million shares -- this represents $75 billion and puts the company on track for a valuation of $1.77 trillion.
The SpaceX operation has stirred up excitement in the investment community, due to the sheer size of the IPO, but also the prospects of the company. SpaceX operates in the areas of rocket launches, satellite-based internet service, and artificial intelligence (AI) -- and these markets each could generate tremendous growth.
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Now, with all of this in mind, many investors are wondering: Will SpaceX stock soar? History offers an answer that's remarkably clear.
The SpaceX story today
Before we look back in time, though, let's consider the SpaceX story today. Founded by Elon Musk in 2002, SpaceX has gained tremendous visibility thanks to its strength in rocket launches. In 2008, it became the first private company to successfully send a liquid fuel rocket into orbit.
Last year, the company completed more orbital launches than any other, with a total of 165, according to Bryce Tech data. And over time, SpaceX has completed about 650 launches. Importantly, 85% of missions have used at least one reusable booster, a point that allows for great cost savings over time. The Falcon 9, back in 2010, already reduced launch costs by 85% to $2,700 per kilogram, according to NASA. Moving forward, SpaceX expects its fully reusable rocket, Starship, to increase launch numbers and further reduce costs.
Meanwhile, SpaceX's AI arm has also attracted attention as investors aim to get in on companies involved in this high-growth market. So far, however, the great levels of investment needed here have pushed SpaceX to a net loss. The company reported a loss of $4.9 billion last year, though revenue soared to $18 billion.
SpaceX's moneymaker
Finally, Starlink, the satellite-based internet service provider, is SpaceX's moneymaker, at least for now and likely for the near future. That business delivered more than $7.1 billion in adjusted EBITDA last year.
Leader Elon Musk also has added a spark of excitement to the SpaceX story as he's set big goals, from operating data centers in space to colonizing Mars. This may intrigue some investors but push away others.
All of this tells us that SpaceX is an exciting tech and industrial giant delivering fantastic growth. But some investors may not be comfortable with its high spending, the current loss, and the risk that certain goals may not be attained.
Will SpaceX soar or fall flat?
So, considering this, will SpaceX's stock soar -- or fall flat? A look at history offers us a remarkably clear answer. Over time, the largest U.S. IPOs have delivered more losses than gains during their first year of trading. Among the top 10, eight posted declines in their first 12 months on the stock market.
Stock
IPO date
12-month return
Alibaba
Sept. 2014
-30%
Meta Platforms
May 2012
-31%
Uber Technologies
May 2019
-21%
AT&T Wireless
April 2000
-3%
Rivian
Nov. 2021
-67%
Didi Global
June 2021
-79%
United Parcel Service
Nov. 1999
-15%
Coupang
March 2021
-65%
Enel
Oct. 1999
1%
Arm Holdings
Sept. 2023
189%
Of course, SpaceX may follow recent predecessors such as AI chip company Cerebras Systems, which surged 68% on its first day of trading, or AI cloud specialist CoreWeave last year, which soared more than 300% in its first few months on the market.
But, over time, history has shown that IPO companies don't necessarily skyrocket in their first year on the market, and instead, later offer investors many opportunities to buy on the dip.
Does this mean you should wait to get in on SpaceX rather than participate in the IPO or buy shares during its first days of trading? The decision depends on your comfort with risk. SpaceX has stirred up a lot of excitement, but it's important to remember that the company must invest heavily to reach goals -- and certain goals are based on technology that isn't a sure thing. If you're a cautious investor, you might want to wait to see a few more quarters of earnings reports before jumping in.
If you're an aggressive investor, however, you might view SpaceX as an interesting addition to your portfolio. Though you may aim to get in on this tech giant as early as possible, the good news is you don't necessarily have to do so to benefit over time. As we can see here, history shows us that in the majority of cases, IPO companies have offered patient investors the opportunity to buy at a better price a bit farther down the road.
Should you buy stock in CoreWeave right now?
Before you buy stock in CoreWeave, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and CoreWeave wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 7, 2026.
Adria Cimino has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Meta Platforms, Uber Technologies, and United Parcel Service. The Motley Fool recommends Alibaba Group and Coupang. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Will SpaceX, Aiming for the Biggest IPO Ever, Soar After June 12? History Offers an Answer That's Remarkably Clear.

Key Points
Pfizer has a rich pipeline of drugs in development, at least some of which are likely to sell well.
UPS has turned away from Amazon.com and toward more profitable deliveries.
The Schwab U.S. Dividend Equity ETF offers both dividend income and growth.
If you want to be a savvy investor, you should know what this table is telling you:
Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »
Average Annual Total Return, 1973-2025
Dividend growers and initiators
10.22%
Dividend payers
9.20%
No change in dividend policy
6.87%
Dividend non-payers
4.21%
Dividend shrinkers and eliminators
(0.96%)
Equal-weighted S&P 500 index
7.74%
As it starkly shows, it's hard to beat healthy and growing dividend-paying stocks if you're looking to boost your wealth over time. Here, then, are three to consider.
1. Pfizer
Let's start with pharmaceutical giant Pfizer (NYSE: PFE). It's a compelling dividend payer largely because of its dividend yield -- recently a fat 6.7%. That payout is hefty in large part because the stock has averaged annual losses of about 7% over the past three years. (It's up 17% over the past year, though, as of June 4.) When a stock's price falls, its dividend yield rises, so many high-yielders have been facing some kind of struggle.
A key challenge for Pfizer has been the patent protection expiration of some of its biggest sellers. That's an issue for every pharmaceutical company, and one which they typically tackle by having a pipeline filled with promising drugs in development -- and/or by acquiring such promising drugs from other companies. Pfizer is doing both.
Pfizer's shares seem undervalued, too, with a recent forward P/E ratio of 9.0, well below the five-year average of 9.7.
2. United Parcel Service (UPS)
United Parcel Service (NYSE: UPS) is another stock with a massive dividend yield, recently 7.7%. It, too, has posted average annual losses over the past three years, 8.6%. But as with Pfizer, there's a lot to like about UPS.
Detractors are wringing their hands over UPS's decision to cut back on the deliveries it makes for Amazon.com (NASDAQ: AMZN), but that's far from a death knell. Others see that as a smart move, because that arrangement has largely been a low-profit-margin one for UPS. The company is now focusing more on serving higher-margin customers, such as small and medium-sized businesses and the healthcare sector.
UPS' first-quarter report featured overall domestic revenue down 2.3%, while revenue per package grew 6.5%. Internationally, revenue rose by 3.8%, with revenue per package popping by 12.1%. The company's shares seem reasonably valued, with a recent forward P/E ratio of 14, a bit below the five-year average of 15. Long-term believers in the UPS plan will be paid handsomely while they wait.
3. Schwab U.S. Dividend Equity ETF
My last suggestion is not exactly a stock. It's an exchange-traded fund (ETF) that trades like a stock. It's the Schwab U.S. Dividend Equity ETF (NYSEMKT: SCHD), which recently yielded a solid 3.25% and parks investors' money across roughly 100 dividend payers such as Qualcomm (NASDAQ: QCOM), Texas Instruments (NASDAQ: TXN), and UnitedHealth Group (NYSE: UNH). (UPS shares were among its top 30 holdings recently, too.)
The ETF offers a compelling mix of both income and growth -- indeed, it was up nearly 20% year to date as of June 4. It's a good choice instead of investing in individual dividend payers on your own or in addition to doing so.
Should you buy stock in Pfizer right now?
Before you buy stock in Pfizer, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Pfizer wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $443,191!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,258,838!*
Now, it’s worth noting Stock Advisor’s total average return is 941% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
*Stock Advisor returns as of June 7, 2026.
Selena Maranjian has positions in Amazon, Pfizer, and Schwab U.S. Dividend Equity ETF. The Motley Fool has positions in and recommends Amazon, Pfizer, Qualcomm, Texas Instruments, and United Parcel Service. The Motley Fool recommends UnitedHealth Group. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

3 Dividend Stocks to Buy Hand Over Fist in June

Pitney Bowes Inc. PBI is seeing improving trends within its SendTech segment, raising the question of whether stronger bookings can support a broader recovery in the business.
The segment has faced pressure for several years as traditional mail-related activity continued to decline. However, recent results suggest that some of those headwinds may be moderating. SendTech revenues declined less than 1% year over year in the first quarter of 2026, while bookings increased from the prior-year period for the first time in several years. Growth in paid software subscriptions also points to improving customer demand and a larger base of recurring revenues.
The improvement appears to be supported by several operational initiatives. Greater emphasis on customer retention, including outreach to customers considering cancellation and the use of predictive analytics to identify at-risk accounts, could help reduce customer losses. At the same time, renewed efforts around customer acquisition and sales execution may be contributing to stronger booking trends.
Shipping software is emerging as another area of focus. Pitney Bowes is simplifying its product offerings and aligning product development more closely with customer needs. The company is also leveraging its banking platform to provide financing-related solutions that many competitors cannot easily match. These efforts could enhance the value proposition of SendTech’s software offerings and support recurring revenue growth.
The significance of stronger bookings extends beyond the current quarter. New bookings create opportunities for future stream revenues, including software subscriptions and other recurring services. Improving sales pipelines and higher booking activity also suggest that customer engagement is moving in a favorable direction.
Although SendTech continues to operate in a challenging market, improving bookings, subscription growth and stronger sales activity indicate that business conditions may be becoming more favorable. Continued progress in these areas could determine whether the segment moves from stabilization toward sustainable growth.
PBI’s Stock Price Performance & Valuation Trend
Shares of Pitney Bowes have increased 70.1% in the past six months, outperforming the Zacks Computer and Technology sector’s 19.1% rise. In the same time frame, other industry players like FedEx FDX and United Parcel Service UPS have gained 18.6% and 15.4%, respectively.
Image Source: Zacks Investment Research
PBI stock is currently trading at a premium compared with its industry peers, with a forward 12-month price-to-earnings (P/E) ratio of 9.97, as evidenced by the chart below. Conversely, industry players, such as FedEx and United Parcel Service, have P/E multiples of 16.68 and 14.81, respectively.
Image Source: Zacks Investment Research
Earnings Estimate Revision of PBI
PBI’s earnings estimates for 2026 and 2027 have trended upward in the past 30 days to $1.62 and $1.76 per share, respectively. The revised estimates for 2026 and 2027 imply year-over-year growth of 20% and 8.4%, respectively.
Image Source: Zacks Investment Research
PBI currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
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Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.