Credit Suisse Neutral On UPS

Credit Suisse is out with a Neutral rating and a $88 price target on UPS Inc. UPS after it reported earnings yesterday. In a note to clients, Credit Suisse writes, "Slight Beat Relative to Consensus: UPS' adjusted EPS were $1.05/shr in the second quarter, slightly beating consensus ($1.04) but falling shy of our estimate ($1.09). Revenues were about 0.5% below our estimate as better than expected pricing was more than offset by softer volumes. Operating expenses, namely fuel and P/T, came in higher on a percentage of sales basis, thus driving the EPS shortfall relative to our estimate." Shares of UPS closed at $71.59 yesterday.