UPS price target lowered to $129 from $133 at BofA

BofA lowered the firm’s price target on UPS (UPS) to $129 from $133 and keeps a Buy rating on the shares ahead of quarterly results. The firm is also lowering its Q1 2025 EPS 15%, to $1.31 from $1.55, given softer demand from tariff uncertainty and winter weather. BofA had previously targeted Domestic volumes to fall 5.7% year-year given the start of the removal of 50% of Amazon (AMZN) volumes by mid-2026 and the impact of rate increases as the carrier in-sourced the 50% of SurePost volumes it did not already serve. The firm now targets 8% Domestic volume declines given weather impacts and a slight freeze in demand ahead of increased tariffs.