UPS upgraded to Buy at HSBC ahead of expected mid-2026 inflection

As previously reported, HSBC analyst Parash Jain upgraded UPS (UPS) to Buy from Hold with a price target of $125, up from $100. Q4 results beat expectations on better U.S. domestic volumes, higher international yields and better margins across the board and while in-line 2026 guidance implies a weak Q1, it also points to strong margins by the end of 2026 when the Amazon (AMZN) glide down and tariff disruptions fade, the analyst tells investors in a post-earnings note.