Story perspectives
UPS Stock Rises Amid Downgrade and Major Cuts
9/20/2025
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Story summary
- UPS stock increased by 1.1% in premarket trading despite a downgrade from BMO Capital Markets, which lowered the price target from $125 to $96.
- The company canceled its acquisition of Estafeta in Mexico due to unmet closing conditions.
- Analysts noted slow demand recovery in the business-to-business segment and ongoing macroeconomic challenges.
- UPS is implementing a $3.5 billion cost-cutting plan, including 20,000 job cuts and the closure of 73 buildings.
- UPS reported adjusted Q2 earnings of $1.55 per share, slightly below estimates, prompting the withdrawal of 2025 guidance.
