In my UPS is Unattractively Valued guest post published on February 10, 2022 at Dividend Power, I share my thoughts on why investors might want to wait for UPS's valuation to retrace to a more reasonable level.
On February 1, 2022, UPS announced record results, strong FY2022 guidance, and a ~49% increase in the quarterly dividend; the share price surged from ~$202 to ~$231. By the time I composed my guest post, the share price had retraced slightly to ~$225. The share price has retraced further to ~$223 as I compose this post.
I think investors would be wise to invest in great companies when they temporarily fall out of favour and not when they are in the ‘limelight’. Jumping on the UPS ‘bandwagon’ now is akin to driving while looking in the rearview mirror.
I wish you much success on your journey to financial freedom!
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Disclosure: I am long UPS in an account that is not part of the FFJ Portfolio.
Disclaimer: I do not know your circumstances and do not provide individualized advice or recommendations. I encourage you to make investment decisions by conducting your research and due diligence. Consult your financial advisor about your specific situation.
I wrote this article myself and it expresses my own opinions. I do not receive compensation for it and have no business relationship with any company mentioned in this article.
