👉 UPS stock offers a high dividend yield, but its dividend and buyback policy may not align with the company's medium-term objectives.
👉 The company is struggling to generate cash, with free cash flow expected to be $4.7 billion in 2026.
👉 UPS has a plan to improve productivity and return on equity, but it may not be enough to cover the dividend and increase earnings.
👉 The company's dividend and buyback policy may not be sustainable, and there are question marks about its ability to cover the dividend and increase earnings.