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.

United Parcel Service, Inc.

Investors in United Parcel Service Inc (Symbol: UPS) saw new options begin trading today, for the January 2026 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the UPS options chain for the new January 2026 contracts and identified one put and one call contract of particular interest.
The put contract at the $91.00 strike price has a current bid of 50 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $91.00, but will also collect the premium, putting the cost basis of the shares at $90.50 (before broker commissions). To an investor already interested in purchasing shares of UPS, that could represent an attractive alternative to paying $100.38/share today.
Because the $91.00 strike represents an approximate 9% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 77%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 0.55% return on the cash commitment, or 4.01% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for United Parcel Service Inc, and highlighting in green where the $91.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $102.00 strike price has a current bid of $2.67. If an investor was to purchase shares of UPS stock at the current price level of $100.38/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $102.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 4.27% if the stock gets called away at the January 2026 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if UPS shares really soar, which is why looking at the trailing twelve month trading history for United Parcel Service Inc, as well as studying the business fundamentals becomes important. Below is a chart showing UPS's trailing twelve month trading history, with the $102.00 strike highlighted in red:
Considering the fact that the $102.00 strike represents an approximate 2% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 53%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 2.66% boost of extra return to the investor, or 19.42% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example, as well as the call contract example, are both approximately 38%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $100.38) to be 34%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
Also see:
CVX Technical Analysis
Funds Holding AMYY
Institutional Holders of APRW
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

January 2026 Options Now Available For United Parcel Service (UPS)

FedEx Corporation FDX is set to release its second-quarter fiscal 2026 (ended Nov. 28, 2025) results on Dec. 18, after market close. The Zacks Consensus Estimate for the to-be-reported quarter’s earnings per share and revenues is pegged at $4.05 and $22.9 billion, respectively.
The Zacks Consensus Estimate for second-quarter fiscal 2026 earnings has been revised upward by 1.5% in the past 60 days. Additionally, the consensus mark is similar to the year-ago actual. The Zacks Consensus Estimate for second-quarter fiscal 2026 revenues indicates a 4.1% upward movement from the year-ago actual.
Image Source: Zacks Investment Research
FDX has an impressive earnings surprise history, as reflected in the chart below.
Image Source: Zacks Investment Research
Given this backdrop, let's examine the factors that night have influenced FDX’s fiscal second-quarter results.
We expect FDX’s results in the to-be-reported quarter to have been boosted by the high package volumes, courtesy of the increased demand during the holiday shipping season. Management has indicated expectations of a moderately strong peak season. At the Baird Global Industrial Conference, FDX’s CFO John Dietrich stated that earnings per share in the to-be-reported quarter are likely to exceed the year-ago actual of $4.05.
The bottom-line performance in the to-be-reported quarter is also likely to have been aided by cost-reduction benefits from the DRIVE program initiatives. These cost-reduction initiatives include reducing flight frequencies, parking aircraft and cutting staff. Cost-reduction efforts, particularly in line-haul expenses and productivity, are expected to have supported margins in the fiscal second quarter.
We expect an update from management on FDX’s multi-year deal with Amazon AMZN, which was signed earlier in the year. Per the agreement, FDX is responsible for delivering select large packages for Amazon. The deal comes soon after FDX’s rival, United Parcel Service UPS, decided to lower its volumes with Amazon.
Q2 Earnings Whispers for FDX
Our proven model predicts an earnings beat for FDX this time. A company with a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold), along with a positive Earnings ESP, has a higher chance of beating estimates, which is exactly the case here.
Earnings ESP: FedEx has an Earnings ESP of +1.38% (the most accurate estimate of $4.10 is pegged at 5 cents above the Zacks Consensus Estimate). You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
Zacks Rank: The company currently carries a Zacks Rank #2. You can see the complete list of today’s Zacks #1 Rank stocks here.
FDX Stock Outperforms Industry & UPS in Q2
Driven by the cost-reduction efforts and strong holiday season demand, shares of FDX have increased in double-digits in the second quarter of fiscal 2026 (September-November), outperforming the Zacks Transportation—Air Freight and Cargo industry and rival United Parcel Service.
Q2 Price Comparison
Image Source: Zacks Investment Research
FDX Trading Cheap
Based on forward 12-month Price/Sales (P/S), FDX’s shares are trading at a discount compared with the industry average as well as United Parcel Service. FDX currently has a Value Score of A.
FDX’s P/S F12M Vs. Industry & UPS
Image Source: Zacks Investment Research
Investment Thesis for FDX Stock
Tariff-related uncertainty and still-high inflation have been hurting consumer sentiment and growth expectations. FDX continues to struggle due to the normalization of volume and pricing trends in the post-COVID scenario. In the second quarter of fiscal 2023, FedEx announced DRIVE, a comprehensive program to improve its long-term profitability.
The company’s efforts to reward its shareholders are likely to support the share price. In June 2025, FedEx raised its quarterly dividend by 5.1% to $1.45 per share (or $5.80 annually). FDX is also active on the buyback front.
Conclusion: Opportune Time Buy FDX Stock
FDX’s efforts to control costs are serving it well and driving bottom-line growth. Driven by technology-focused consolidation and improved efficiencies, management expects to achieve $1 billion of transformation-related savings, which includes DRIVE and Network 2.0 in fiscal 2026. Also, it is worth noting that the company has the brand and the network to continue generating steady cash flows in the long run.
Upbeat demand driven by the holiday rush is expected to boost fiscal second-quarter results. FDX’s strong earnings history reinforces its investment appeal. With these multiple positives at play, FDX stands out as an attractive investment opportunity at this time. This undervalued stock is an ideal candidate for addition to one’s portfolio ahead of its fiscal second-quarter results.
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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.

Should You Buy, Sell or Hold FedEx Stock Before Q2 Earnings?

Looking at options trading activity among components of the S&P 500 index, there is noteworthy activity today in GE Vernova Inc (Symbol: GEV), where a total volume of 61,922 contracts has been traded thus far today, a contract volume which is representative of approximately 6.2 million underlying shares (given that every 1 contract represents 100 underlying shares). That number works out to 203.7% of GEV's average daily trading volume over the past month, of 3.0 million shares. Especially high volume was seen for the $850 strike call option expiring February 20, 2026, with 1,920 contracts trading so far today, representing approximately 192,000 underlying shares of GEV. Below is a chart showing GEV's trailing twelve month trading history, with the $850 strike highlighted in orange:
Synopsys Inc (Symbol: SNPS) options are showing a volume of 10,430 contracts thus far today. That number of contracts represents approximately 1.0 million underlying shares, working out to a sizeable 50.9% of SNPS's average daily trading volume over the past month, of 2.0 million shares. Particularly high volume was seen for the $500 strike call option expiring December 19, 2025, with 2,125 contracts trading so far today, representing approximately 212,500 underlying shares of SNPS. Below is a chart showing SNPS's trailing twelve month trading history, with the $500 strike highlighted in orange:
And United Parcel Service Inc (Symbol: UPS) saw options trading volume of 25,789 contracts, representing approximately 2.6 million underlying shares or approximately 42.3% of UPS's average daily trading volume over the past month, of 6.1 million shares. Particularly high volume was seen for the $100 strike call option expiring January 16, 2026, with 1,845 contracts trading so far today, representing approximately 184,500 underlying shares of UPS. Below is a chart showing UPS's trailing twelve month trading history, with the $100 strike highlighted in orange:
For the various different available expirations for GEV options, SNPS options, or UPS options, visit StockOptionsChannel.com.
Also see:
HUDA market cap history
FWP YTD Return
Funds Holding MUG
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Noteworthy Wednesday Option Activity: GEV, SNPS, UPS

Key Points
UPS, Novo Nordisk, and Adobe are all trading well below the S&P 500's average price-to-earnings ratio.
Their underlying businesses are solid and profitable.
All have promising long-term growth prospects that the market may be undervaluing.
The U.S. stock market as a whole may be thriving right now, but some stocks just aren't winning investors over. Usually, when a stock gets revalued lower, it's due to concerns about a company's long-term future, poor financial results, or simply as a result of industry-related issues.
United Parcel Service (NYSE: UPS), Novo Nordisk (NYSE: NVO), and Adobe (NASDAQ: ADBE) are all down more than 20% this year for reasons like those. However, they now look too cheap to pass up.
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United Parcel Service
United Parcel Service, better known as just UPS, is the type of business that will grow along with the broader economy. It's also the type of stock that can make for a safe long-term holding. In the short term, tariffs and a slowdown in global trade are impacting its business, but those are issues that shouldn't persist in the long run.
The stock is down 24% this year (as of Dec. 8), and trading at a price-to-earnings (P/E) multiple of less than 15, which is far below the S&P 500's average of 25. There hasn't been much in the way of growth lately at UPS -- its top line came in at around $21 billion in each of its past three quarters. But I admire the company's management for its recent decision to reduce the volume of packages it's handling for Amazon for the sake of improving profitability. Far too often, executives prioritize the top line over the bottom line. It's great to see UPS focusing on what matters: profit margins.
It may be a tough road ahead for UPS until economic conditions improve, but that's also precisely why now may be an opportune time to invest in it while its valuation is low. And at current share prices, investors who buy now can also secure a great dividend yield of nearly 7%.
Novo Nordisk
Drugmaker Novo Nordisk has crashed by 45% so far this year. It's been a tumultuous year for the company, as its former CEO surprised it by resigning, and the company slashed its sales guidance. Investors have flocked to rival Eli Lilly instead. (It's up around 30% this year.)
Novo's stock is trading at a P/E ratio of just 13, which appears ludicrous given the company's phenomenal growth opportunities. During the first nine months of the year, its sales rose by 15% (when excluding the impact of foreign currency exchange rate shifts). But the company would be doing better if not for compounding pharmacies that are selling copies of its popular drugs, Wegovy and Ozempic. It's controversial because compounding a patent-protected drug is only legal when there's a shortage of the drug in question, and that is no longer the case for semaglutide (the underlying pharmaceutical for both of those brands).
The company is suing many compounding pharmacies, and if successful, a crackdown on them should improve its growth prospects in the near future. In the long run, however, Novo Nordisk remains a top player in the GLP-1 drug market, and those types of drugs have been linked to many health benefits, including helping people with sleep apnea and potentially curbing alcohol addiction.
Things may look rough for Novo Nordisk today, but I certainly wouldn't count the stock out. The company has plenty of growth opportunities ahead that make it an excellent buy right now.
Adobe
Adobe is down 24% this year and trades at a P/E multiple of just 21. In years past, the tech stock has traded at more than twice that multiple. Investors may be growing concerned about the company's prospects for long-term growth due to rising competition from artificial intelligence (AI) systems. It's easier than ever for even novice users to edit photos right on their phones or generate images, and thus, investors may expect demand for Adobe's products to sink.
However, Adobe's image-editing software is top of the line and remains in high demand. Its flagship product, Photoshop, has a steep learning curve, and I'd argue it isn't going to appeal to the type of user who just wants an easy and quick way to edit their vacation photos. Basic photo editing may be easier with the assistance of an AI tool, but to make precise, detailed, and complex edits, Photoshop is still more practical.
Adobe's resilient results seem to corroborate that. The company posted record revenue in its most recent quarter, which ended on Aug. 29. Sales were up 11% to $6 billion. And if Adobe does face rising competition, one lever it can pull to boost its market share is price. It may have to sacrifice some margins in exchange for growth, but given its excellent profit margin of 30%, it has more than a little wiggle room.
Should you invest $1,000 in United Parcel Service right now?
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David Jagielski, CPA has positions in Novo Nordisk. The Motley Fool has positions in and recommends Adobe, Amazon, and United Parcel Service. The Motley Fool recommends Novo Nordisk and recommends the following options: long January 2028 $330 calls on Adobe and short January 2028 $340 calls on Adobe. 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 Absurdly Cheap Stocks That Look Like Steals Right Now

United Parcel Service UPS is widely recognized to be facing a period of revenue weakness. This softness is largely caused by subdued demand resulting from tariff-related uncertainty, elevated inflation and broader geopolitical challenges. In the September quarter, the company’s revenues declined 3.7% from the year-ago level.
Despite subdued revenues, the adjusted operating margin has been increasing, driven mainly by the company’s prudent cost-management efforts. In the third quarter of 2025, consolidated adjusted operating margin was 10% well above the 8.8% recorded in the second quarter of 2025 and the year-ago figure of 8.9%. The margin improvement in the September quarter was driven by high domestic margins on the back of a 9.8% uptick in revenue per piece.
Earlier in the year, UPS announced its decision to reduce business with its largest customer, Amazon AMZN. UPS’ management has reached an agreement in principle with Amazon to lower the latter’s volume by more than 50% by June 2026. According to the UPS CEO, Amazon was not its most profitable customer. At the end of the third quarter of 2025, the expense reduction related to Amazon glidedown was $2.2 billion, with $3.5 billion targeted by year-end.
Driven by its expense management efforts, UPS expects adjusted operating margin to be even higher, in the 11-11.5% band in the final quarter of 2025. Our estimate for the metric in the fourth quarter is 11.5%. UPS expects revenues in the U.S. Domestic segment to be $16.2 billion, with adjusted operating margin in the 9.5-10% band. Our estimate is currently pegged at 10%. The expectation is much higher than the 6.4% recorded by the segment in the third quarter of 2025.
UPS’ rival FedEx FDX is also suffering from the weak demand scenario. FedEx is cutting costs to counter top-line woes. In the first quarter of fiscal 2026, FedEx achieved its targeted $200 million in transformation-related savings and grew adjusted operating income by 7%. FedEx expects adjusted operating income to be $6 billion in fiscal 2026.
UPS’ Price Performance, Valuation & Estimates
Shares of UPS have declined in excess of 6% over the past six months, underperforming its industry.
6-Month Price Comparison
Image Source: Zacks Investment Research
From a valuation standpoint, UPS trades at a 12-month forward price-to-earnings ratio of 13.16X, nearly in line with industrial levels.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for UPS’ full-year 2025 and 2026 earnings has remained stable over the past seven days.
Image Source: Zacks Investment Research
UPS’ Zacks Rank
UPS currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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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.

UPS Margins Show Growth Despite Revenue Woes: Scope for More Upside?

Key Points
UPS overpromised and underdelivered for a third consecutive year.
Management believes that free cash flow will continue to improve, justifying future dividend increases.
UPS’s valuation is so cheap that the company only has to produce mediocre results to potentially regain favor on Wall Street.
High-yield dividend stocks are an excellent means of participating in the stock market while generating passive income. But even the highest-yielding stock in the S&P 500 -- LyondellBasell Industries (yielding 12.6%) -- couldn't keep up with recent S&P 500 gains on dividends alone. At the time of this writing, the index is up 16.6% year to date after gaining more than 20% in both 2023 and 2024.
The best reason to buy high-yield dividend stocks isn't to try to beat the indexes with dividends. Rather, it's to invest in solid companies at good values that also reward investors with dividends. A dividend is reliable only if the company paying it can support the expense.
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By investing $4,000 in United Parcel Service (NYSE: UPS), investors can expect to earn $275 in annual dividends, based on its current yield. Here's why the value stock is a buy in 2026.
UPS is testing investor patience
UPS continues to disappoint investors, down around 25% year to date and up just 15% from its 12-year low. Revenue and margins surged during the COVID-19 pandemic. Both metrics have been steadily declining for the last three years, in lockstep with UPS's falling stock price.
Despite the challenges, UPS has remained committed to its dividend, which now yields a staggering 6.9% because the stock has fallen so much. That's a tasty incentive for folks willing to hold the stock in the hopes that UPS can turn things around.
But it's a mistake to buy a stock solely for the yield -- as evidenced by UPS' recent performance. Even factoring in dividends, UPS investors have still lost 28.1% over the last five years, while the S&P 500 would have doubled your money during that period.
As you can see in the following chart, UPS' dividend has increased significantly in recent years while its earnings and free cash flow (FCF) have continued to slide.
Now, the dividend is slightly larger than earnings and FCF, which is usually a red flag that a dividend cut could be on the way. However, UPS believes that its dividend is sustainable and could even increase. UPS CFO Brian Dykes said the following on UPS' third-quarter fiscal 2025 earnings call:
We're seeing growth in the areas of the markets where we want to grow that allows us to drive better returns and better margins. With the cost takeout and the network efficiency that we're creating through our automation investment, we do expect the business to generate significantly more free cash flow over time. Clearly we've got a dividend of around $5.4 to $5.5 billion and we expect it to be above that in the very near future.
UPS is deep in the bargain bin
After overexpanding its network during the pandemic, UPS has been working to drive efficiency and adjust to the new normal of slower package delivery growth, particularly in the residential sector, as consumers tighten their spending. Those improvements are already starting to pay off, as UPS' margins have at least stopped going down.
UPS's margins should continue to recover because it is making a concerted effort to reduce low-margin, high-volume deliveries and focus on more profitable areas like small and medium-sized businesses, business-to-business, and time- and temperature-sensitive healthcare deliveries. In fact, UPS plans to slash delivery volumes for Amazon by 50% by June 2026. Given that Amazon is UPS's largest customer, this may cause a revenue decrease. However, it could be the right long-term move if it enables UPS to capture higher-margin opportunities while making the company leaner and more flexible.
Analysts seem to agree, as consensus estimates have UPS booking $6.87 in 2025 earnings per share (EPS) and $7.16 in 2026 EPS.
IF UPS achieves 2026 estimated EPS, it will have a price-to-earnings (P/E) ratio of just 13.2 based on a stock price of $94.76 per share at the time of this writing.
For context, UPS' 10-year median P/E is 19.7 -- showcasing just how discounted the stock is right now.
UPS has fallen far enough
UPS hasn't given investors a lot to cheer about in recent years. With a massive network reconfiguration underway to prepare for the Amazon change in 2026, it's understandable that some investors may not want to invest in the stock now.
Management's confidence in improving FCF to justify future dividend raises is a relief for passive income investors. UPS could still potentially cut its dividend if the plan doesn't go well, but that seems less likely now.
Even if UPS does cut its dividend, it would still be a high-yield stock and yield more than its peer FedEx.
Given its dirt-cheap valuation, income investors looking for high-yield stocks at a good value may want to take a closer look at UPS for 2026.
Should you invest $1,000 in United Parcel Service right now?
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Daniel Foelber has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Amazon and United Parcel Service. The Motley Fool recommends FedEx. 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.

All It Takes Is $4,000 Invested in This High-Yield Dividend Stock to Generate $275 in Passive Income in 2026

Key Points
Energy Transfer trades at one of the lowest valuations in the energy midstream sector.
Realty Income trades at a discount to other large-scale REITs.
UPS' stock has gotten tossed into the bargain bin.
Stock prices have risen sharply over the past year. The S&P 500 has rallied nearly 15% while the tech-heavy Nasdaq-100 Index has surged over 20%. As a result, many stocks look expensive these days.
However, there are some stock bargains worth buying this Black Friday. Energy Transfer (NYSE: ET), Realty Income (NYSE: O), and UPS (NYSE: UPS) currently trade at dirt cheap levels. Those bargains might not last much longer, making them enticing deals right now.
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A bottom-of-the-barrel valuation
Energy Transfer currently trades at less than nine times earnings. That's dirt cheap, even compared to its closest peers in the undervalued energy midstream sector, where the average is around 12 times earnings. Energy Transfer's bottom-of-the-barrel valuation is one reason why it currently has a dividend yield of more than 8%, several times higher than the S&P 500's 1.2% yield.
The master limited partnership's (MLP) tax complexities (it sends investors a Schedule K-1 Federal Tax Form each year) are one reason why it has a lower valuation compared to the broader market. However, it's hard to justify its low value compared to other MLPs. Energy Transfer is one of the largest players in the industry and is in the strongest financial position in its history.
It also has an abundance of growth coming down the pipeline. Energy Transfer has a multi-billion-dollar backlog of commercially secured expansion projects under construction. Additionally, it has several more projects in development. These projects should grow the MLP's cash flow at a solid rate in the coming years, giving it more fuel to increase its high-yielding distribution.
This high-quality REIT is on sale
Realty Income currently trades at about 13 times its earnings. That's well below the 18 times average of other large-scale real estate investment trusts (REITs) in the S&P 500. That low valuation is a big reason why Realty Income has such a high dividend yield (currently 5.7%).
The REIT should trade at a premium valuation compared to its peers, rather than at a discount. Realty Income has delivered a higher total operational return (dividend yield plus FFO per share growth rate) than other blue chip REITs over the past one-, three-, and five-year periods.
Realty Income is in a strong position to continue growing shareholder value. It boasts one of the best financial profiles in the REIT sector, giving it ample flexibility to continue investing in income-producing real estate. The company has one of the sector's most consistent growth track records, with more than 30 consecutive years of dividend increases.
Showing early signs of turning things around
Shares of UPS have gotten shellacked in recent years. Its stock price currently sits more than 50% below where it was three years ago. That slump is a big reason why UPS' stock has a nearly 7% dividend yield.
The logistics company has been battling several headwinds, including challenging market conditions due to tariffs and other factors. It's also reducing the volume it ships for its top customer, Amazon. As a result, its revenue, earnings, and free cash flow have declined. The company only generated $2.7 billion in free cash flow through the first nine months of this year, not nearly enough to cover its $4 billion dividend outlay.
However, UPS is working to realign its operations to match its lower volumes, while focusing on growing more profitable business lines such as healthcare logistics. These moves are showing early signs of improvement. It's on track to deliver $3.5 billion in cost savings by the end of this year, which should boost its profitability. Analysts expect the company to earn more than $7.00 per share next year, up from $6.44 in 2024. That has the company trading at around 13 times forward earnings, significantly below the S&P 500's forward PE ratio of over 21 times.
Black Friday bargains
Energy Transfer, Realty Income, and UPS are currently trading at very low valuations. That makes them appealing options for investors seeking a bargain in today's more highly valued stock market. Even better, investors who buy now can lock in an attractive income stream, enhancing the potential total return they can earn on these investments.
Should you invest $1,000 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 $572,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,104,969!*
Now, it’s worth noting Stock Advisor’s total average return is 1,002% — a market-crushing outperformance compared to 193% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of November 24, 2025
Matt DiLallo has positions in Amazon, Energy Transfer, Realty Income, and United Parcel Service. The Motley Fool has positions in and recommends Amazon, 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.

Black Friday Stock Sale: 3 Dirt Cheap Stocks to Buy While They're On Sale.

Key Points
Energy Transfer LP sports an exceptionally low EV-to-EBITDA multiple.
UPS remains attractively valued and is well-positioned to deliver higher profitability going forward.
Verizon is a bargain stock with an impressive track record of dividend increases.
Black Friday. For millions of Americans, the day means waiting in long lines to buy gifts for the holidays while stores are running their best sales of the year.
Income investors can benefit from their own version of a Black Friday sale, without dealing with the crowds and the traffic. These three ultra-high-yield dividend stocks are bargain buys.
Where to invest $1,000 right now? Our analyst team just revealed what they believe are the 10 best stocks to buy right now, when you join Stock Advisor. See the stocks »
1. Energy Transfer LP
Energy Transfer LP (NYSE: ET) is a limited partnership (LP) that operates around 140,000 miles of pipeline and other energy infrastructure assets related to transporting and storing crude oil, natural gas, and natural gas liquids (NGLs). It also owns Lake Charles LNG Company, roughly 15% of Sunoco LP (NYSE: SUN), and around 38% of USA Compression Partners, LP (NYSE: USAC).
Income investors should love Energy Transfer's distribution yield of 8.2%. The LP expects to increase its distribution by 3% to 5% annually. That goal seems quite attainable at the moment, with Energy Transfer enjoying its strongest financial position ever.
As a bonus, Energy Transfer sports a dirt cheap valuation. Its units trade at 10.7 times forward earnings, compared to an average forward earnings multiple of 15.7 for the S&P 500 (SNPINDEX: ^GSPC) energy sector. The midstream leader's enterprise value-to-EBITDA ratio is 7.7, the second-lowest level among its peers.
There's more good news for Energy Transfer as well. The LP should deliver solid growth over the next few years as coal-fired power plants switch to natural gas and new data centers hosting electricity-hungry artificial intelligence (AI) applications are built that are powered by natural gas.
2. United Parcel Service
Most Americans routinely benefit from what United Parcel Service (NYSE: UPS) does. The company delivers around 22.4 million packages daily across more than 200 countries and territories.
UPS is another exceptional pick for income investors. Its forward dividend yield tops 6.9%. The package delivery giant has increased its dividend for 16 consecutive years and has either maintained or grown its dividend since going public 26 years ago.
In a stock market that's seemingly priced for perfection, UPS looks like a bargain. Its forward earnings multiple is 12.8. UPS' low EV-to-EBITDA of 8.9 is even more attractive.
Sure, the company faces some challenges, including headwinds from the Trump administration's tariffs. However, I think that management's strategy to phase out much of its Amazon (NASDAQ: AMZN) shipments, restructure its operations accordingly, and focus on higher-margin business, such as healthcare logistics, should pay off. In my opinion, UPS is on the right track to deliver stronger profitability and free cash flow.
3. Verizon Communications
Like UPS, Verizon Communications (NYSE: VZ) is a household name. The telecommunications leader serves more than 146 million wireless customers and 99% of the Fortune 500.
Verizon has been a longtime favorite for income investors. It still is, with a juicy forward dividend yield of 6.8%. The company has also increased its dividend for an impressive 19 consecutive years.
Is this telecom stock a bargain buy for Black Friday? I think so. Verizon's forward price-to-earnings ratio is 8.3. That's well below the forward earnings multiples for the company's major rivals, AT&T (NYSE: T) and T-Mobile US (NASDAQ: TMUS). Similar to Energy Transfer and UPS, Verizon appears even more attractive based on its low EV-to-EBITDA ratio of 6.5.
Verizon's new CEO, Dan Schulman, who formerly served as CEO of PayPal Holdings (NASDAQ: PYPL), seems to be the right leader to move the company forward. He promised in the Q3 update, "We will aggressively transform our culture, our cost structure, and the financial profile of Verizon in order to put our customers first, compete effectively, and deliver sustainable returns for our shareholders."
Should you invest $1,000 in Energy Transfer right now?
Before you buy stock in Energy Transfer, 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 Energy Transfer 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 $572,405!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,104,969!*
Now, it’s worth noting Stock Advisor’s total average return is 1,002% — a market-crushing outperformance compared to 193% for the S&P 500. Don’t miss out on the latest top 10 list, available when you join Stock Advisor.
*Stock Advisor returns as of November 24, 2025
Keith Speights has positions in Amazon, Energy Transfer, United Parcel Service, and Verizon Communications. The Motley Fool has positions in and recommends Amazon, PayPal, and United Parcel Service. The Motley Fool recommends T-Mobile US and Verizon Communications and recommends the following options: long January 2027 $42.50 calls on PayPal and short December 2025 $75 calls on PayPal. 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.

Black Friday Sale for Income Investors: These Ultra-High-Yield Dividend Stocks Are Bargain Buys

A month has gone by since the last earnings report for United Parcel Service (UPS). Shares have lost about 1.8% in that time frame, underperforming the S&P 500.
Will the recent negative trend continue leading up to its next earnings release, or is UPS due for a breakout? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent drivers for United Parcel Service, Inc. before we dive into how investors and analysts have reacted as of late.
Earnings Beat at UPS in Q3
Quarterly earnings per share (excluding 19 cents from non-recurring items) of $1.74 beat the Zacks Consensus Estimate of $1.31 but declined 1.1% year over year. Revenues of $21.4 billion surpassed the Zacks Consensus Estimate of $20.8 billion but decreased 3.7% year over year.
Moreover, the management provided upbeat fourth-quarter sales guidance, projecting revenues of approximately $24 billion, above the Zacks Consensus Estimate of $23.74 billion. Adjusted operating margin for the December quarter is projected in the approximately 11-11.5% range, comparing favorably to the 10% reported in the September quarter.
Other Aspects of Q3 Earnings Report
U.S. Domestic Package revenues of $14.2 billion decreased 2.7% year over year, due to the expected decline in volume. However, revenue per piece and air cargo revenues were strong during the quarter. Segmental operating profit (adjusted) fell 1.5% year over year to $905 million. The adjusted operating margin for the segment was 6.4%.
Revenues in the International Package division totaled $4.67 billion, which increased 5.9% year over year, owing to a 4.8% increase in average daily volume. Segmental operating profit (adjusted) totaled $691 million, down 12.7% year over year. The adjusted operating margin for the segment was 14.8%.
Supply Chain Solutions’ revenues of $2.52 billion decreased 22.1% year over year, owing to the impact of the third quarter of 2024 divestiture of Coyote. Operating profit (on an adjusted basis) increased to $536 million. The adjusted operating margin for the segment was 21.3%.
UPS’ 2025 Outlook Maintained
Capital expenditures are estimated to be around $3.5 billion, with dividend payments expected to be around $5.5 billion (subject to board approval) and share repurchases of around $1 billion (which have been completed). The effective tax rate is expected to be around 23.75%.
How Have Estimates Been Moving Since Then?
In the past month, investors have witnessed a upward trend in estimates review.
The consensus estimate has shifted 8.81% due to these changes.
VGM Scores
At this time, UPS has a subpar Growth Score of D, however its Momentum Score is doing a lot better with an A. Charting a somewhat similar path, the stock was allocated a score of B on the value side, putting it in the second quintile for this investment strategy.
Overall, the stock has an aggregate VGM Score of B. If you aren't focused on one strategy, this score is the one you should be interested in.
Outlook
Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. Notably, UPS has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.
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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.

Why Is UPS (UPS) Down 1.8% Since Last Earnings Report?

Investors in United Parcel Service Inc (Symbol: UPS) saw new options begin trading today, for the January 2026 expiration. At Stock Options Channel, our YieldBoost formula has looked up and down the UPS options chain for the new January 2026 contracts and identified one put and one call contract of particular interest.
The put contract at the $85.00 strike price has a current bid of 50 cents. If an investor was to sell-to-open that put contract, they are committing to purchase the stock at $85.00, but will also collect the premium, putting the cost basis of the shares at $84.50 (before broker commissions). To an investor already interested in purchasing shares of UPS, that could represent an attractive alternative to paying $94.41/share today.
Because the $85.00 strike represents an approximate 10% discount to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the put contract would expire worthless. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 79%. Stock Options Channel will track those odds over time to see how they change, publishing a chart of those numbers on our website under the contract detail page for this contract. Should the contract expire worthless, the premium would represent a 0.59% return on the cash commitment, or 4.88% annualized — at Stock Options Channel we call this the YieldBoost.
Below is a chart showing the trailing twelve month trading history for United Parcel Service Inc, and highlighting in green where the $85.00 strike is located relative to that history:
Turning to the calls side of the option chain, the call contract at the $103.00 strike price has a current bid of 50 cents. If an investor was to purchase shares of UPS stock at the current price level of $94.41/share, and then sell-to-open that call contract as a "covered call," they are committing to sell the stock at $103.00. Considering the call seller will also collect the premium, that would drive a total return (excluding dividends, if any) of 9.63% if the stock gets called away at the January 2026 expiration (before broker commissions). Of course, a lot of upside could potentially be left on the table if UPS shares really soar, which is why looking at the trailing twelve month trading history for United Parcel Service Inc, as well as studying the business fundamentals becomes important. Below is a chart showing UPS's trailing twelve month trading history, with the $103.00 strike highlighted in red:
Considering the fact that the $103.00 strike represents an approximate 9% premium to the current trading price of the stock (in other words it is out-of-the-money by that percentage), there is also the possibility that the covered call contract would expire worthless, in which case the investor would keep both their shares of stock and the premium collected. The current analytical data (including greeks and implied greeks) suggest the current odds of that happening are 75%. On our website under the contract detail page for this contract, Stock Options Channel will track those odds over time to see how they change and publish a chart of those numbers (the trading history of the option contract will also be charted). Should the covered call contract expire worthless, the premium would represent a 0.53% boost of extra return to the investor, or 4.39% annualized, which we refer to as the YieldBoost.
The implied volatility in the put contract example is 39%, while the implied volatility in the call contract example is 35%.
Meanwhile, we calculate the actual trailing twelve month volatility (considering the last 250 trading day closing values as well as today's price of $94.41) to be 33%. For more put and call options contract ideas worth looking at, visit StockOptionsChannel.com.
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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.

Periodand min./max. price, $	Price change, %		Volatility, %		Volume, $
Periodand min./max. price, $	UPS	Industry	UPS	Industry	Volume, $
Yesterday 99.0 - 101.2	0.71	0.55	3.79	1.10	365.92M
Week 94.6 - 101.2	6.13	2.29	1.20	4.37	1.92B
Month 90.8 - 101.2	5.51	5.07	5.61	9.76	8.50B
3 Months 82.0 - 101.2	18.90	4.04	17.19	16.85	29.85B
6 Months 82.0 - 106.5	-0.23	7.50	25.35	25.09	59.94B
Year 82.0 - 137.0	-22.00	11.84	32.89	38.73	108.12B
3 years 82.0 - 197.8	-43.58	49.23	48.34	64.66	261.05B
5 years 82.0 - 233.7	-39.08	52.54	62.84	95.32	427.33B
All time 38.0 - 233.7	104.02	4.63	—	—	400.63B

United Parcel Service, Inc.

Price and volatility history

Risk ratios