Integrated Freight & Logistics
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UPS vs FDX
Revenue, margins, valuation, and 5-year total return — side by side.
Integrated Freight & Logistics
UPS vs FDX — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Integrated Freight & Logistics | Integrated Freight & Logistics |
| Market Cap | $95.13B | $74.66B |
| Revenue (TTM) | $88.33B | $94.72B |
| Net Income (TTM) | $5.25B | $4.43B |
| Gross Margin | 18.1% | 22.9% |
| Operating Margin | 8.6% | 6.7% |
| Forward P/E | 15.8x | 15.6x |
| Total Debt | $32.29B | $42.94B |
| Cash & Equiv. | $5.89B | $13.31B |
UPS vs FDX — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | Jul 20 | Jul 26 | Return |
|---|---|---|---|
| United Parcel Servi… (UPS) | 100 | 78.4 | -21.6% |
| FedEx Corporation (FDX) | 100 | 230.7 | +130.7% |
Price return only. Dividends and distributions are not included.
Quick Verdict: UPS vs FDX
Each card shows where this stock fits in a portfolio — not just who wins on paper.
UPS carries the broadest edge in this set and is the clearest fit for income & stability and sleep-well-at-night.
- Dividend streak 16 yrs, beta 0.86, yield 5.7%
- Lower volatility, beta 0.86, current ratio 1.22x
- Beta 0.86, yield 5.7%, current ratio 1.22x
FDX is the clearest fit if your priority is growth exposure and long-term compounding.
- Rev growth 7.7%, EPS growth 10.4%, 3Y rev CAGR 1.7%
- 178.5% 10Y total return vs UPS's 49.6%
- 7.7% revenue growth vs UPS's -2.5%
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 7.7% revenue growth vs UPS's -2.5% | |
| Value | Lower P/E (15.6x vs 15.8x) | |
| Quality / Margins | 5.9% margin vs FDX's 4.7% | |
| Stability / Safety | Beta 0.86 vs FDX's 0.95 | |
| Dividends | 5.7% yield, 16-year raise streak, vs FDX's 1.8% | |
| Momentum (1Y) | +67.8% vs UPS's +17.5% | |
| Efficiency (ROA) | 7.3% ROA vs FDX's 4.8%, ROIC 16.1% vs 8.2% |
UPS vs FDX — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
UPS vs FDX — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
FDX leads this category, winning 4 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
FDX and UPS operate at a comparable scale, with $94.7B and $88.3B in trailing revenue. Profitability is closely matched — net margins range from 5.9% (UPS) to 4.7% (FDX). On growth, FDX holds the edge at +12.5% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $88.3B | $94.7B |
| EBITDAEarnings before interest/tax | $10.5B | $10.7B |
| Net IncomeAfter-tax profit | $5.2B | $4.4B |
| Free Cash FlowCash after capex | $4.5B | $5.1B |
| Gross MarginGross profit ÷ Revenue | +18.1% | +22.9% |
| Operating MarginEBIT ÷ Revenue | +8.6% | +6.7% |
| Net MarginNet income ÷ Revenue | +5.9% | +4.7% |
| FCF MarginFCF ÷ Revenue | +5.1% | +5.4% |
| Rev. Growth (YoY)Latest quarter vs prior year | -1.6% | +12.5% |
| EPS Growth (YoY)Latest quarter vs prior year | -27.1% | -4.1% |
Valuation Metrics
FDX leads this category, winning 6 of 6 comparable metrics.
Valuation Metrics
At 16.9x trailing earnings, FDX trades at a 1% valuation discount to UPS's 17.1x P/E. On an enterprise value basis, FDX's 9.5x EV/EBITDA is more attractive than UPS's 9.9x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $95.1B | $74.7B |
| Enterprise ValueMkt cap + debt − cash | $121.5B | $104.3B |
| Trailing P/EPrice ÷ TTM EPS | 17.07x | 16.87x |
| Forward P/EPrice ÷ next-FY EPS est. | 15.78x | 15.59x |
| PEG RatioP/E ÷ EPS growth rate | 0.51x | — |
| EV / EBITDAEnterprise value multiple | 9.95x | 9.49x |
| Price / SalesMarket cap ÷ Revenue | 1.07x | 0.79x |
| Price / BookPrice ÷ Book value/share | 5.85x | 2.36x |
| Price / FCFMarket cap ÷ FCF | 19.96x | 14.59x |
Profitability & Efficiency
UPS leads this category, winning 6 of 9 comparable metrics.
Profitability & Efficiency
UPS delivers a 33.0% return on equity — every $100 of shareholder capital generates $33 in annual profit, vs $15 for FDX. FDX carries lower financial leverage with a 1.36x debt-to-equity ratio, signaling a more conservative balance sheet compared to UPS's 1.99x. On the Piotroski fundamental quality scale (0–9), FDX scores 7/9 vs UPS's 5/9, reflecting strong financial health.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +33.0% | +15.1% |
| ROA (TTM)Return on assets | +7.3% | +4.8% |
| ROICReturn on invested capital | +16.1% | +8.2% |
| ROCEReturn on capital employed | +15.3% | +8.7% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 7 |
| Debt / EquityFinancial leverage | 1.99x | 1.36x |
| Net DebtTotal debt minus cash | $26.4B | $29.6B |
| Cash & Equiv.Liquid assets | $5.9B | $13.3B |
| Total DebtShort + long-term debt | $32.3B | $42.9B |
| Interest CoverageEBIT ÷ Interest expense | 7.37x | 11.74x |
Total Returns (Dividends Reinvested)
FDX leads this category, winning 6 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in FDX five years ago would be worth $14,078 today (with dividends reinvested), compared to $6,670 for UPS. Over the past 12 months, FDX leads with a +67.8% total return vs UPS's +17.5%. The 3-year compound annual growth rate (CAGR) favors FDX at 20.4% vs UPS's -10.0% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | +14.1% | +33.6% |
| 1-Year ReturnPast 12 months | +17.5% | +67.8% |
| 3-Year ReturnCumulative with dividends | -26.8% | +61.3% |
| 5-Year ReturnCumulative with dividends | -33.3% | +40.8% |
| 10-Year ReturnCumulative with dividends | +49.6% | +178.5% |
| CAGR (3Y)Annualised 3-year return | -10.0% | +20.4% |
Risk & Volatility
UPS leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
UPS is the less volatile stock with a 0.86 beta — it tends to amplify market swings less than FDX's 0.95 beta. A beta below 1.0 means the stock typically moves less than the S&P 500.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 0.86x | 0.95x |
| 52-Week HighHighest price in past year | $122.41 | $345.37 |
| 52-Week LowLowest price in past year | $82.00 | $174.01 |
| % of 52W HighCurrent price vs 52-week peak | +91.5% | +90.6% |
| RSI (14)Momentum oscillator 0–100 | 57.7 | 42.4 |
| Avg Volume (50D)Average daily shares traded | 4.5M | 2.2M |
Analyst Outlook
UPS leads this category, winning 2 of 2 comparable metrics.
Analyst Outlook
Wall Street rates UPS as "Hold" and FDX as "Buy". Consensus price targets imply 2.9% upside for UPS (target: $115) vs 2.7% for FDX (target: $321). For income investors, UPS offers the higher dividend yield at 5.67% vs FDX's 1.84%.
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Hold | Buy |
| Price TargetConsensus 12-month target | $115.23 | $321.35 |
| # AnalystsCovering analysts | 45 | 49 |
| Dividend YieldAnnual dividend ÷ price | +5.7% | +1.8% |
| Dividend StreakConsecutive years of raises | 16 | 5 |
| Dividend / ShareAnnual DPS | $6.35 | $5.75 |
| Buyback YieldShare repurchases ÷ mkt cap | +1.1% | +1.1% |
FDX leads in 3 of 6 categories (Income & Cash Flow, Valuation Metrics). UPS leads in 3 (Profitability & Efficiency, Risk & Volatility).
Custom Comparison: UPS vs FDX
Compare on any lens — Growth, Value, Income, or pick from 130+ individual metrics.
UPS vs FDX: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is UPS or FDX a better buy right now?
For growth investors, FedEx Corporation (FDX) is the stronger pick with 7.
7% revenue growth year-over-year, versus -2. 5% for United Parcel Service, Inc. (UPS). FedEx Corporation (FDX) offers the better valuation at 16. 9x trailing P/E (15. 6x forward), making it the more compelling value choice. Analysts rate FedEx Corporation (FDX) a "Buy" — based on 49 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — UPS or FDX?
On trailing P/E, FedEx Corporation (FDX) is the cheapest at 16.
9x versus United Parcel Service, Inc. at 17. 1x. On forward P/E, FedEx Corporation is actually cheaper at 15. 6x.
03Which is the better long-term investment — UPS or FDX?
Over the past 5 years, FedEx Corporation (FDX) delivered a total return of +40.
8%, compared to -33. 3% for United Parcel Service, Inc. (UPS). Over 10 years, the gap is even starker: FDX returned +178. 5% versus UPS's +49. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — UPS or FDX?
By beta (market sensitivity over 5 years), United Parcel Service, Inc.
(UPS) is the lower-risk stock at 0. 86β versus FedEx Corporation's 0. 95β — meaning FDX is approximately 10% more volatile than UPS relative to the S&P 500. On balance sheet safety, FedEx Corporation (FDX) carries a lower debt/equity ratio of 136% versus 199% for United Parcel Service, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — UPS or FDX?
By revenue growth (latest reported year), FedEx Corporation (FDX) is pulling ahead at 7.
7% versus -2. 5% for United Parcel Service, Inc. (UPS). On earnings-per-share growth, the picture is similar: FedEx Corporation grew EPS 10. 4% year-over-year, compared to -3. 0% for United Parcel Service, Inc.. Over a 3-year CAGR, FDX leads at 1. 7% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — UPS or FDX?
United Parcel Service, Inc.
(UPS) is the more profitable company, earning 6. 3% net margin versus 4. 7% for FedEx Corporation — meaning it keeps 6. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: UPS leads at 9. 6% versus 7. 0% for FDX. At the gross margin level — before operating expenses — FDX leads at 21. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is UPS or FDX more undervalued right now?
On forward earnings alone, FedEx Corporation (FDX) trades at 15.
6x forward P/E versus 15. 8x for United Parcel Service, Inc. — 0. 2x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for UPS: 2. 9% to $115. 23.
08Which pays a better dividend — UPS or FDX?
All stocks in this comparison pay dividends.
United Parcel Service, Inc. (UPS) offers the highest yield at 5. 7%, versus 1. 8% for FedEx Corporation (FDX).
09Is UPS or FDX better for a retirement portfolio?
For long-horizon retirement investors, FedEx Corporation (FDX) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.
95), 1. 8% yield, +178. 5% 10Y return). Both have compounded well over 10 years (FDX: +178. 5%, UPS: +49. 6%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between UPS and FDX?
Both stocks operate in the Industrials sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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