Earnings Preview: United Parcel Service

Jan.30.12 | About: United Parcel (UPS)

United Parcel Service (NYSE:UPS) is expected to report Q4 earnings before the market opens on Tuesday, January 31 with a conference call scheduled for 8:30 am ET.


Analysts are looking for EPS of $1.26 and revenue of $14.45B. The consensus range is $1.16-$1.41 for EPS, and $14.04B-$14.94B for revenue, according to First Call. UPS reported mixed Q3 results, beating EPS and meeting revenue estimates. On its Q3 report, it reiterated its FY11 EPS view of $4.15-$4.40 vs. consensus $4.23. Management expected Q4 volumes to "pick up" and noted that the economy was "not as bad as earlier anticipated." The shares have traded modestly higher since then, and are currently approaching their 52-week high of $76.99. Since making a 52-week low of $60.74 in early October, the shares have advanced approximately 25%. As such, investors will need an upside surprise in earnings and guidance to push the shares through their recent trading range.