UPS stumbles, FedEx holds firm in 2025

U.S. parcel carriers see contrasting fortunes in 2025

UPS UPS.N shares slide roughly 21% YTD; rival FedEx FDX.N manages modest gain of about 3.5% over same period

UPS has been slashing millions of margin dilutive packages from its delivery network and cutting tens of thousands of jobs as part of a broader push to rein in costs and prioritize higher-margin businesses

FedEx has also been pursuing a multi-year cost overhaul, aiming to reduce aircraft idling, shuttering sites and integrating its formerly separate Ground and Express operations

Weak demand driven by U.S. trade policy changes and removal of tariff-free treatment for many direct-to-consumer shipments weighed on both companies

UPS trades at a forward 12-month PE ratio of 14.22, while FDX sits slightly higher at 14.48; both well below industry median of 19.33

13 of 30 brokerages rate UPS "buy" or higher, 14 "hold" and 3 "sell"; median PT is $104

18 of 30 brokerages rate FDX "buy" or higher, 10 "hold" and 2 "sell"; median PT is $313.5