United Parcel Service, Inc. (UPS) Financial Ratios
28 years of historical data (1998–2025) · Industrials · Integrated Freight & Logistics
EV/EBITDA
↓
9.11
↓-17% vs avg
5yr avg: 11.01
30Y Low8.5·High32.1
P/FCF
↑
17.81
-7% vs avg
5yr avg: 19.06
30Y Low9.7·High115.9
P/B Ratio
↓
5.22
↓-35% vs avg
5yr avg: 8.06
30Y Low5.0·High101.8
ROE
↓
33.8%
↑-51% vs avg
5yr avg: 68.8%
30Y Low3%·High236%
Debt/EBITDA
↑
2.64
↑+34% vs avg
5yr avg: 1.97
30Y Low0.5·High4.3
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
UPS Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
United Parcel Service, Inc. trades at 15.2x earnings, 7% below its 5-year average of 16.3x, sitting at the 11th percentile of its historical range. Compared to the Industrials sector median P/E of 25.9x, the stock trades at a discount of 41%. On a free-cash-flow basis, the stock trades at 17.8x P/FCF, 7% below the 5-year average of 19.1x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $84.9B | $84.3B | $107.9B | $135.2B | $151.4B | $188.2B | $146.7B | $101.7B | $84.9B | $104.3B | $101.7B |
| Enterprise Value | $111.3B | $110.7B | $127.5B | $158.8B | $169.3B | $203.5B | $168.5B | $124.7B | $103.4B | $125.7B | $114.7B |
| P/E Ratio → | 15.23 | 15.12 | 18.65 | 20.16 | 13.17 | 14.60 | 109.35 | 22.91 | 17.70 | 21.24 | 29.62 |
| P/S Ratio | 0.96 | 0.95 | 1.19 | 1.49 | 1.51 | 1.94 | 1.74 | 1.38 | 1.18 | 1.57 | 1.68 |
| P/B Ratio | 5.22 | 5.19 | 6.45 | 7.81 | 7.65 | 13.19 | 219.25 | 30.99 | 27.94 | 101.81 | 237.03 |
| P/FCF | 17.81 | 17.69 | 17.37 | 26.62 | 16.22 | 17.40 | 29.06 | 45.03 | 13.20 | — | 28.99 |
| P/OCF | 10.04 | 9.98 | 10.66 | 13.21 | 10.74 | 12.54 | 14.02 | 11.78 | 6.68 | 70.49 | 15.71 |
P/E links to full P/E history page with 30-year chart
UPS EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
United Parcel Service, Inc.'s enterprise value stands at 9.1x EBITDA, 17% below its 5-year average of 11.0x. The Industrials sector median is 13.7x, placing the stock at a 33% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.25 | 1.40 | 1.75 | 1.69 | 2.09 | 2.00 | 1.69 | 1.44 | 1.89 | 1.90 |
| EV / EBITDA | 9.11 | 9.06 | 10.37 | 12.47 | 10.48 | 12.67 | 16.00 | 12.18 | 11.14 | 12.86 | 15.73 |
| EV / EBIT | 13.13 | 13.07 | 15.35 | 16.99 | 10.91 | 11.78 | 66.66 | 19.85 | 15.68 | 16.64 | 20.92 |
| EV / FCF | — | 23.23 | 20.52 | 31.26 | 18.14 | 18.82 | 33.39 | 55.18 | 16.08 | — | 32.71 |
UPS Profitability
Margins and return-on-capital ratios measuring operating efficiency
United Parcel Service, Inc. earns an operating margin of 9.6%, above the Industrials sector average of 4.7%. Return on equity of 33.8% is exceptionally high — well above the sector median of 8.2%. ROIC of 16.1% represents solid returns on invested capital versus a sector median of 6.4%.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 18.5% | 18.5% | 18.8% | 19.5% | 20.1% | 17.9% | 25.8% | 21.8% | 19.7% | 20.1% | 20.4% |
| Operating Margin | 9.6% | 9.6% | 9.6% | 10.3% | 13.0% | 13.5% | 9.3% | 10.7% | 9.8% | 11.3% | 8.4% |
| Net Profit Margin | 6.3% | 6.3% | 6.4% | 7.4% | 11.5% | 13.3% | 1.6% | 6.0% | 6.7% | 7.4% | 5.7% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 33.8% | 33.8% | 34.0% | 36.1% | 67.8% | 172.6% | 68.0% | 140.5% | 236.0% | 675.2% | 235.0% |
| ROA | 7.8% | 7.8% | 8.2% | 9.4% | 16.4% | 19.6% | 2.2% | 8.2% | 10.0% | 11.4% | 8.7% |
| ROIC | 16.1% | 16.1% | 16.9% | 17.9% | 28.9% | 37.8% | 24.1% | 24.7% | 24.1% | 31.3% | 27.1% |
| ROCE | 15.3% | 15.3% | 16.3% | 17.7% | 24.7% | 27.0% | 17.8% | 20.1% | 20.6% | 24.4% | 18.1% |
UPS Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
United Parcel Service, Inc. carries a Debt/EBITDA ratio of 2.6x, which is moderately leveraged (15% below the sector average of 3.1x). Net debt stands at $26.4B ($32.3B total debt minus $5.9B cash). Interest coverage of 8.4x is adequate, though a cyclical earnings downturn could tighten the margin of safety.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.99 | 1.99 | 1.53 | 1.54 | 1.19 | 1.79 | 41.49 | 8.58 | 7.49 | 24.21 | 38.51 |
| Debt / EBITDA | 2.64 | 2.64 | 2.09 | 2.10 | 1.46 | 1.59 | 2.63 | 2.75 | 2.45 | 2.54 | 2.26 |
| Net Debt / Equity | — | 1.62 | 1.17 | 1.36 | 0.90 | 1.07 | 32.65 | 6.98 | 6.10 | 20.97 | 30.41 |
| Net Debt / EBITDA | 2.16 | 2.16 | 1.59 | 1.85 | 1.11 | 0.95 | 2.07 | 2.24 | 1.99 | 2.20 | 1.79 |
| Debt / FCF | — | 5.54 | 3.15 | 4.64 | 1.92 | 1.41 | 4.33 | 10.15 | 2.88 | — | 3.72 |
| Interest Coverage | 8.38 | 8.38 | 9.64 | 12.06 | 22.36 | 25.30 | 3.70 | 9.99 | 11.52 | 18.12 | 15.80 |
UPS Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
A current ratio of 1.22x means United Parcel Service, Inc. can comfortably meet its short-term obligations, though there is limited excess liquidity. The current ratio has improved from 1.10x to 1.22x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 1.22 | 1.22 | 1.17 | 1.10 | 1.22 | 1.42 | 1.19 | 1.11 | 1.15 | 1.24 | 1.17 |
| Quick Ratio | 1.22 | 1.22 | 1.12 | 1.05 | 1.18 | 1.38 | 1.15 | 1.08 | 1.12 | 1.21 | 1.14 |
| Cash Ratio | 0.38 | 0.38 | 0.38 | 0.34 | 0.42 | 0.60 | 0.37 | 0.37 | 0.36 | 0.32 | 0.39 |
| Asset Turnover | — | 1.21 | 1.30 | 1.28 | 1.41 | 1.40 | 1.35 | 1.28 | 1.44 | 1.46 | 1.50 |
| Inventory Turnover | — | — | 89.39 | 78.12 | 89.94 | 111.26 | 101.05 | 113.16 | 137.16 | 131.69 | 140.83 |
| Days Sales Outstanding | — | 46.16 | 43.65 | 45.11 | 45.91 | 47.09 | 46.47 | 47.17 | 50.24 | 56.74 | 50.24 |
UPS Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
United Parcel Service, Inc. returns 7.5% to shareholders annually — split between a 6.4% dividend yield and 1.2% buyback yield. The payout ratio of 96.9% is elevated — while still covered by earnings, there is limited headroom for dividend increases. The earnings yield of 6.6% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 6.4% | 6.4% | 5.0% | 4.0% | 3.4% | 1.8% | 2.3% | 3.1% | 3.5% | 2.7% | 2.6% |
| Payout Ratio | 96.9% | 96.9% | 93.4% | 80.1% | 44.3% | 26.7% | 251.2% | 71.9% | 62.8% | 56.5% | 77.0% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 6.6% | 6.6% | 5.4% | 5.0% | 7.6% | 6.8% | 0.9% | 4.4% | 5.6% | 4.7% | 3.4% |
| FCF Yield | 5.6% | 5.7% | 5.8% | 3.8% | 6.2% | 5.7% | 3.4% | 2.2% | 7.6% | — | 3.4% |
| Buyback Yield | 1.2% | 1.2% | 0.5% | 1.7% | 2.3% | 0.3% | 0.2% | 1.0% | 1.2% | 1.7% | 2.6% |
| Total Shareholder Yield | 7.5% | 7.6% | 5.5% | 5.6% | 5.7% | 2.1% | 2.5% | 4.1% | 4.7% | 4.4% | 5.2% |
| Shares Outstanding | — | $850M | $856M | $860M | $871M | $878M | $871M | $869M | $870M | $875M | $887M |
Peer Comparison
Compare UPS with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 UPSYou | $85B | 15.2 | 9.1 | 17.8 | 18.5% | 9.6% | 33.8% | 16.1% | 2.6 |
 FDX | $89B | 22.4 | 11.7 | 29.8 | 21.6% | 6.9% | 14.7% | 7.7% | 3.6 |
 XPO | $25B | 80.1 | 23.4 | 75.5 | 12.0% | 8.9% | 18.3% | 9.3% | 3.8 |
 ODFL | $42B | 41.5 | 24.2 | 43.8 | 32.2% | 24.8% | 23.9% | 23.6% | 0.1 |
 SAIA | $12B | 47.2 | 20.6 | 438.5 | 23.7% | 10.9% | 10.4% | 9.4% | 0.7 |
 AMZN | $3.0T | 38.3 | 20.7 | 384.3 | 50.3% | 11.2% | 22.3% | 14.7% | 1.0 |
 CHRW | $20B | 34.9 | 23.9 | 22.3 | 8.4% | 4.9% | 32.9% | 18.0% | 1.8 |
 EXPD | $20B | 25.4 | 17.9 | 21.1 | 15.3% | 9.5% | 35.5% | 42.4% | 0.9 |
 FWRD | $573M | -5.3 | 13.9 | 37.5 | 20.5% | 1.5% | -48.2% | 1.2% | 11.4 |
 ARCB | $3B | 46.5 | 12.6 | 23.8 | 2.3% | 2.3% | 4.6% | 3.9% | 2.6 |
 TFII | $11B | 26.8 | 9.2 | 11.6 | 12.2% | 6.9% | 16.2% | 9.7% | 2.3 |
| Industrials Median | — | 25.9 | 13.7 | 21.0 | 33.0% | 4.7% | 8.2% | 6.4% | 3.1 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Start ComparisonUPS — Frequently Asked Questions
Quick answers to the most common questions about buying UPS stock.
What is United Parcel Service, Inc.'s P/E ratio?
United Parcel Service, Inc.'s current P/E ratio is 15.2x. The historical average is 36.6x. This places it at the 11th percentile of its historical range.
What is United Parcel Service, Inc.'s EV/EBITDA?
United Parcel Service, Inc.'s current EV/EBITDA is 9.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.4x.
What is United Parcel Service, Inc.'s ROE?
United Parcel Service, Inc.'s return on equity (ROE) is 33.8%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 65.0%.
Is UPS stock overvalued?
Based on historical data, United Parcel Service, Inc. is trading at a P/E of 15.2x. This is at the 11th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is United Parcel Service, Inc.'s dividend yield?
United Parcel Service, Inc.'s current dividend yield is 6.36% with a payout ratio of 96.9%.
What are United Parcel Service, Inc.'s profit margins?
United Parcel Service, Inc. has 18.5% gross margin and 9.6% operating margin.
How much debt does United Parcel Service, Inc. have?
United Parcel Service, Inc.'s Debt/EBITDA ratio is 2.6x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.