UPS downgraded by Stifel: Investments could limit earnings growth next year

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UPS downgraded by Stifel: Investments could limit earnings growth next year
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Stifel downgraded UPS to hold from buy and maintained its $118 per share price target

, as it does not feel comfortable pushing the valuation multiple up high enough to maintain its buy rating.

"We believe its long-term initiatives will likely require extra investment in 2020 that could limit margin expansion and earnings growth next year, we are stepping to the sidelines with respect to the stock," said Stifel's David Ross in a note to client on Sunday. The firm downgraded the stock to hold from buy and maintained its $118 per share price target, as it does not feel comfortable pushing the valuation multiple up high enough to maintain its buy rating.

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