BUZZ-Street View: Cost cuts give UPS second wind

Reuters
Jan 28
BUZZ-Street View: Cost cuts give UPS second wind

** Delivery firm United Parcel Service UPS.N to cut up to 30,000 jobs, close 24 more sites in 2026 as it reduces Amazon deliveries for more profitable business

** Co projected 2026 revenue of $89.7 billion vs $88.7 billion in 2025

UPS TRIMS AND POWERS UP

** J.P. Morgan ("neutral," PT: $107) says cost‑saving efforts should start paying off in H2 2026, normalize cost per package, as it continues to streamline network

** Citigroup ("buy," PT: $120) says stronger revenue mix and planned cost cuts should help, but flags near term macro, execution risks

** Morningstar (fair value: $113) expects margins improvement, including reduced driver turnover and from recovery in B2B volumes

** Jefferies ("buy," PT: $130) upbeat about Q4 and 2026, expects biggest benefits in late 2026-2027 post Amazon transition and near term cost pressures

(Reporting by Kanishka Ajmera in Bengaluru)

((Kanishka.Ajmera@thomsonreuters.com))

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