
UPS has consistently raised its dividend payout for 104 consecutive quarters, making it an attractive option for income investors.
The company's dividend yield is around 3.5%, which is significantly higher than the S&P 500's average yield.
UPS's strong cash flows and solid financial position enable it to maintain its dividend payments.
As of 2022, UPS has a dividend payout ratio of around 40%, indicating that it can comfortably afford to continue paying dividends to its shareholders.
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Investment Considerations
The current dividend yield of United Parcel Service is a notable 5.03%, making it an attractive option for income investors.
This yield is comprised of a total shareholder yield of 5.3%, which includes both dividend payments and share buybacks.
A payout ratio of 98% indicates that a significant portion of the company's earnings are being distributed to shareholders, which can be a concern for investors seeking long-term growth.
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UPS Growth
UPS Growth is a great investment consideration for those looking for a stable and growing company. UPS has a strong track record of dividend growth, with a 20-year CAGR of 9.21%.
The company's dividend growth rate has been steadily increasing over the years, with a 5-year CAGR of 11.17% and a 3-year CAGR of 16.91%. This suggests that UPS is committed to returning value to its shareholders through dividend payments.
Here's a breakdown of UPS's dividend growth over the past few years:
It's worth noting that the dividend growth rate has slowed down in recent years, with a 1-year CAGR of 0.62% and a 2-year CAGR of 0.41%. However, the company's long-term growth prospects remain strong, making it an attractive investment opportunity for those looking for a stable and growing dividend payer.
Maximize on Cost
To maximize yield on cost, it's essential to focus on dividend capture stocks. Get the best dividend capture stocks for February by researching top-performing stocks.
Dividend capture stocks offer a way to earn extra income from your investments. These stocks typically have a history of paying consistent dividends, making them a great option for those looking to maximize their returns.
The best dividend capture stocks for February can be found by analyzing market trends and economic indicators. This involves staying up-to-date on the latest news and developments that may impact stock prices.
Investing in dividend capture stocks requires a solid understanding of the stock market and its fluctuations. It's also crucial to have a well-diversified portfolio to minimize risk.
Maximizing yield on cost is a key consideration for investors. By focusing on dividend capture stocks and staying informed, you can make more informed investment decisions.
Criteria Checks 4/6
As we dive into the world of dividend-paying companies, it's essential to do our due diligence and evaluate their criteria. One company that caught my attention is United Parcel Service, which meets 4 out of 6 dividend criteria checks.
United Parcel Service boasts a current yield of 5.03%, making it an attractive option for income investors. This yield is higher than the average dividend yield, indicating a potential for higher returns.
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The company's buyback yield is also notable, with a total shareholder yield of 5.3%. This means that investors can expect a significant return on their investment, including both dividends and share buybacks.
Here's a breakdown of United Parcel Service's dividend criteria:
While the dividend per share is a healthy US$6.520, the payout ratio is a relatively high 98%. This suggests that the company is distributing a significant portion of its earnings to shareholders, which may impact its ability to reinvest in the business.
Dividend Yield Analysis
Understanding Dividend Yield is crucial for investors, and UPS's dividend yield is a great example. The company's dividend yield can be calculated by dividing the annual dividend payment by the stock's current price.
UPS has a history of paying consistent dividends, with a current yield of around 2.5%. This means that for every dollar invested in UPS stock, investors can expect to earn around 2.5 cents in dividend payments each year.
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The company's strong financial performance and growing earnings have contributed to its ability to maintain a stable dividend yield. UPS's dividend payout ratio is around 50%, indicating that the company is generating enough cash to cover its dividend payments.
Investors can use dividend yield as a key metric to evaluate UPS's stock alongside other companies in the same industry.
Comparison and Evaluation
The UPS dividend yield is a key metric to consider for investors. It's calculated by dividing the annual dividend payment per share by the stock's current price.
UPS has consistently raised its dividend payout for over 100 years, with a total of 10 consecutive annual dividend increases. This track record of stability and growth is a major draw for income-seeking investors.
The company's dividend yield has fluctuated over time, ranging from a high of 4.6% in 2012 to a low of 3.3% in 2018. This variability is influenced by changes in the stock price and dividend payout.
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UPS has a relatively high dividend payout ratio, which means a larger portion of its earnings are being distributed to shareholders. In 2020, the payout ratio was 51%, indicating that the company is committed to returning value to its investors.
The UPS dividend yield is generally considered attractive compared to other large-cap stocks, especially in the transportation sector.
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Dividend Details
United Parcel Service, Inc. pays dividends on a quarterly basis, which means investors can expect to receive dividend payments four times a year.
The next dividend payment is scheduled for March 6, 2025, so mark your calendars if you're expecting a payout.
United Parcel Service, Inc.'s ex-dividend date is February 18, 2025, so if you buy shares on or after that date, you won't be eligible for the next dividend payment.
Investors who hold United Parcel Service, Inc. stock can expect a dividend yield of 5.71%, which translates to $5.71 in dividends per year for every $100 invested.
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A payout ratio of 93.38% means that 93.38% of the company's earnings are paid out as dividends, which can be a sign that the company is returning most of its earnings to shareholders.
United Parcel Service, Inc. has increased its dividends for 16 consecutive years, which is a positive sign of the company's financial stability and ability to pay consistent dividends in the future.
The annual dividend for United Parcel Service, Inc. is $6.52 per share, which is the total amount of dividends paid out to shareholders in a year.
Company Information
UPS is a global logistics and transportation company that has been around since 1907. It was founded by James E. Casey and Claude C. Hopkins.
The company is headquartered in Sandy Springs, Georgia, and has operations in over 220 countries and territories worldwide. It's a behemoth of the logistics industry.
UPS has a long history of paying dividends to its shareholders, dating back to 1937. The company has consistently paid a dividend for over 85 years.
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The dividend yield of UPS is attractive to investors, with a payout ratio of 43% of its earnings. This means that for every dollar the company earns, it pays out 43 cents to shareholders.
UPS has a strong financial position, with a debt-to-equity ratio of 0.85, indicating that it has more equity than debt. This stability is attractive to investors seeking reliable dividend payments.
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Frequently Asked Questions
What is UPS' average dividend?
UPS' average dividend is $6.52 per share, paid quarterly. This translates to a 5.17% annual yield.
What is UPS current yield?
UPS currently offers a dividend yield of 5.2%. This high payout is becoming increasingly attractive as interest rates decline.
Does UPS pay monthly dividends?
No, UPS pays dividends quarterly, not monthly. If you're interested in learning more about UPS' dividend schedule, check out our detailed information on their dividend payments.
Sources
- https://www.dividend.com/stocks/industrials/transportation-logistics/courier-services/ups-united-parcel-service/
- https://www.koyfin.com/company/ups/dividends/
- https://stockanalysis.com/stocks/ups/dividend/
- https://simplywall.st/stocks/us/transportation/nyse-ups/united-parcel-service/dividend
- https://www.fool.com/investing/2024/10/27/ups-good-news-income-investors-dividend-yield/
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