Cost ManagementUPS remains engaged in a multi-year transformation to improve mix and margins, focusing on ceding lower-margin business-to-consumer and e-commerce to Amazon and small parcel carriers.
Financial StrategyDespite challenges, UPS is confident that its cost-out target is intact, supported by strong free cash flow generation.
Stock ValuationAnalyst recommends a Buy rating for UPS shares, as they are trading at trough valuation levels in anticipation of EPS pressure.