By Marc Lichtenfeld UPS (NYSE: UPS) has delivered dividends consistently for decades. Except for 2009, when it kept the dividend steady, UPS has lifted the payout to shareholders every year since 1999 – and that includes a 5% increase in February.
But can the package delivery company continue to pay the current quarterly dividend of $1.01 per share?
The numbers say it can’t.
Free cash flow has been inconsistent over the past few years, turning negative in 2017 and dropping precipitously last year.
Both one- and three-year cash flow growth are negative. This year’s projected free cash flow growth is barely above 2016’s.
However, business will certainly be …read more
