UPS (United Parcel Service) Moat Score: 8/10 (As of Jun. 26, 2026)


UPS United Parcel Service Inc UPS
76 GF Score
Price $108.38
GF Value $128.03
Valuation Modestly Undervalued
! 9 Warning Signs
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What is United Parcel Service Moat Score?

United Parcel Service UPS -0.85% 76 Moat Score is 8 as of Jun. 26, 2026. GuruFocus rates UPS with a GF Score™ of 76/100 and a GF Value™ of $128.03 (Modestly Undervalued). The stock has 9 warning signs investors should review. Among 1,064 Transportation companies, United Parcel Service ranks better than 99.81% on this metric.

United Parcel Service has the Moat Score of 8, which implies that the company might have Wide Moat - Clear and robust wide moat.

United Parcel Service has Wide Moat: UPS has a clear and robust wide moat due to its superior distribution network, strong brand, and significant economies of scale. It benefits from customer loyalty and high switching costs in logistics. The company's pricing power and regulatory barriers further solidify its dominant market position.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes United Parcel Service might have Wide Moat - Clear and robust wide moat.

United Parcel Service  (NYSE:UPS) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

United Parcel Service Moat Score Related Terms

UPS vs FDX, JBHT, FDXFw: Moat Score Comparison

For the Integrated Freight & Logistics subindustry, United Parcel Service's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

United Parcel Service Moat Score vs Transportation Industry

For the Transportation industry and Industrials sector, United Parcel Service's Moat Score distribution charts can be found below:

* The bar in red indicates where United Parcel Service's Moat Score falls into.


UPS
76GF Score
United Parcel Service Inc UPS
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 8 mean?
United Parcel Service (UPS) has a Moat Score of 8 as of Jun. 26, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, United Parcel Service ranks #2 out of 1064 companies in the Transportation industry, placing it in the top 0.2%.
Is United Parcel Service's Moat Score too high?
United Parcel Service's current Moat Score is 8. Based on the distribution chart, United Parcel Service ranks #2 out of 1064 companies in the Transportation industry, which is in the top quartile — a strong position relative to peers. Overall, United Parcel Service has a GF Score™ of 76/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does United Parcel Service's Moat Score compare to FDX and JBHT?
According to the Transportation industry distribution chart, United Parcel Service ranks #2 out of 1064 companies for Moat Score. This places United Parcel Service in the top 0% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Transportation company?
A good Moat Score depends on the Transportation industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. United Parcel Service's current Moat Score is 8. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is United Parcel Service stock overvalued right now?
Based on GuruFocus' analysis, United Parcel Service (UPS) is currently considered Modestly Undervalued. The stock's GF Value™ is $128.03, compared to a current price of $108.38 — trading 15.3% below its estimated fair value. The current Moat Score is 8. United Parcel Service's overall GF Score™ is 76/100 with 9 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For United Parcel Service (UPS), the current Moat Score is 8 as of Jun. 26, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is United Parcel Service (UPS) Overvalued in 2026?

Based on GuruFocus' analysis, United Parcel Service stock appears to be undervalued. The current stock price of $108.38 is trading 15.3% below its estimated GF Value™ of $128.03. GuruFocus considers United Parcel Service to be Modestly Undervalued.

Key valuation signals for UPS:

  • Moat Score: 8
  • GF Value™: $128.03 vs. price of $108.38 (15.3% below fair value)
  • GF Score™: 76/100 with 9 warning signs

No single metric tells the full story. See the UPS stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

United Parcel Service Business Description

Address 55 Glenlake Parkway, N.E. Atlanta, Atlanta, GA, USA, 30328
As the world's largest parcel delivery company, UPS manages a massive fleet of more than 500 planes and 100,000 vehicles, along with many hundreds of sorting facilities, to deliver an average of about 22 million packages per day to residences and businesses across the globe. UPS' domestic US package operations generate around 65% of total revenue, while international package makes up 20%. Air and ocean freight forwarding and contract logistics make up the remainder.
76GF Score

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$108.38
Price
$128.03
GF Value