By Esther Fung
Shares of United Parcel Service fell about 5% Tuesday, after a Bank of America research analyst lowered his forecast for the parcel carrier's earnings in the current quarter.
In a research note Tuesday, Ken Hoexter wrote that he now expects UPS earnings per share for the quarter ending March 31 to come in at $1.31, down 15% from his previous forecast, because tariff uncertainty and winter weather are contributing to softer demand. He now expects UPS to report an 8% decline in domestic parcel volume for the quarter, a bigger decline than the 5.7% reduction he earlier forecasted.
The parcel carrier hasn't reduced its operating costs enough to offset the decline in parcel volumes, Hoexter said. "UPS noted hesitancy to pull out additional structural costs beyond current targets as it expects the temporary tariff demand freeze to ease," he wrote.
UPS reports earnings for the current quarter on April 29.
This item is part of a Wall Street Journal live coverage event. The full stream can be found by searching P/WSJL (WSJ Live Coverage).
(END) Dow Jones Newswires
March 25, 2025 14:24 ET (18:24 GMT)
Copyright (c) 2025 Dow Jones & Company, Inc.
免責聲明：投資有風險，本文並非投資建議，以上內容不應被視為任何金融產品的購買或出售要約、建議或邀請，作者或其他用戶的任何相關討論、評論或帖子也不應被視為此類內容。本文僅供一般參考，不考慮您的個人投資目標、財務狀況或需求。TTM對信息的準確性和完整性不承擔任何責任或保證，投資者應自行研究並在投資前尋求專業建議。