United Parcel Service (UPS) is currently viewed as a strong buy, with shares estimated to be undervalued by 10% and a notable 6.0% dividend yield. The company recently reported better-than-expected earnings per share (EPS) and revenue for the first quarter of 2026, while reaffirming its guidance for the full year. Analysts expect margin expansion as cost pressures are projected to ease in the latter half of the year. UPS has implemented operational improvements, including a reduction in volume from Amazon and successful cost-saving initiatives, alongside record growth in its healthcare and small to medium-sized business segments. Technical indicators suggest that UPS shares have established a solid base in the low-$80s, with a rising 200-day moving average indicating potential for growth if the stock can break through the $115–$120 resistance level. Overall, UPS presents a compelling investment opportunity amidst a fluctuating market landscape.