United Parcel Service Inc. (UPS.US) shares climbed 4.5% in premarket trading Tuesday after the package delivery giant withdrew its full-year financial guidance amid economic uncertainty created by President Donald Trump's tariff policies, despite posting better-than-expected first-quarter results.
Start investing today or test a free demo
Create account Try a demo Download mobile app Download mobile appQ1 Results Beat Expectations Despite Revenue Decline
UPS reported first-quarter adjusted earnings of $1.49 per share, up 4.2% from $1.43 per share a year earlier and above the analyst estimate of $1.40. Revenue slightly declined 0.9% to $21.5 billion but still exceeded the projected $21.02 billion forecast. Consolidated operating profit increased 3.3% to $1.7 billion compared to the first quarter of 2024.
Earnings vs Estimates. Source: Bloomberg L.P.
Segment Performance Shows Mixed Results
The company's U.S. package segment saw revenue increase 1.6% to $14.46 billion, outperforming the estimated $14.2 billion. International package revenue also grew 2.7% to $4.37 billion, beating expectations of $4.27 billion. However, Supply Chain Solutions revenue declined significantly, falling 16% to $2.71 billion.
Guidance Withdrawal Reflects Broader Economic Concerns
UPS withdrew its previous 2025 outlook, which had projected revenue of about $89 billion and a full-year operating margin around 10.8%, citing "current macroeconomic uncertainty." The decision highlights widespread concerns across corporate America following the Trump administration's announcements of large tariffs on imports, which have prompted other companies including American Airlines and Skechers to pull their outlooks.
"As a trusted leader in global logistics, we will leverage our integrated network and trade expertise to assist our customers as they adapt to a changing trade environment," said Carol Tomé, UPS chief executive officer. "Further, the actions we are taking to reconfigure our network and reduce cost across our business could not be timelier. The macro environment may be uncertain, but with our actions, we will emerge as an even stronger, more nimble UPS."
UPS (D1)
The stock is trading below the 30-day SMA. Bulls will attempt to reclaim this level, with the next target at the 50-day SMA near $109.29. Bears, meanwhile, are likely to retest recent lows. The RSI is forming a bullish divergence with higher highs, while the MACD is widening following a bullish crossover.

The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.