Posted on March 22, 2021
A very quick update on last Friday’s closures –
We found two errors, as well, both of which have now been corrected on the site.
They relate to our TTC and SAIA trades. Please see there for updates.
Today’s trade is about as mainstream as they come.
A Dow Transportation giant that has done very nicely during the yearlong plague of Batflu insanity (but should be doing much better) is the target of our bow and quiver today.
It’s package delivery service UPS (NYSE:UPS).
Yes, all $139 billion of it (in market cap).
Bottom line is we don’t think the company’s stock price is currently justifiable, regardless the bio-insanity that prevails – and certainly not without it.
That is to say, if we begin to return to any semblance of normalcy – as appears to be happening now – the stock will crumble.
Consider the company’s fundamentals –
But more than that –
This is a daily chart of UPS pinned against the broader transport sector, of which it’s a key component.
With kind regards,
Hugh L. O’Haynew