Shares of United Parcel Service Inc. UPS slumped 2.5% in afternoon trading Monday, a day before the package delivery giant reports fourth-quarter results. The company has beat both profit and revenue expectations for the 10-straight quarters, but the stock has declined the day earnings were reported five times, including the days after the past three quarterly results, according to FactSet data. The report is scheduled to be released before Tuesday’s open, with third-quarter results being released at 6 a.m. Eastern. The current FactSet consensus for earnings per share is $3.58, down from $3.59 a year ago, and for revenue to rise 0.9% to a record $28.09 billion. For the full-year 2023, the FactSet consensus is for EPS of $12.05 and revenue of $99.83 billion. Citi analyst Christian Wetherbee reiterated the buy rating on the stock. “Short-term, we believe sentiment is negative and results/guidance is likely to be good enough to support shares,” Wetherbee wrote in a note to clients. “However, big follow through will be challenging as the looming union negotiation may offset attractive valuation.” The stock has gained 6.2% over the past three months, while shares of rival FedEx Corp. have rallied 14.8% and the S&P 500 SPX has tacked on 3.1%.Market Pulse Stories are Rapid-fire, short news bursts on stocks and markets as they move. Visit MarketWatch.com for more information on this news.
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