What Can Brown Do For Your Portfolio? (UPS)

United Parcel Service, Inc. UPS is down a bit this morning, as the broader market sells off in part due to European debt concerns. A technical look at UPS shows a beautiful uptrend since July, with a little volatility along the way, but that's fine for the world's premiere logistics company. The stock could pull back to the $68 area and still be technically very strong. Personally I am of the opinion that we could consolidate some gains here for a little while, before resuming on an uptrend for the last 5 weeks of the year. If we do pullback as I expect, the $66 level would be an even better level of support, and it is certainly not out of the question. UPS recently announced it is going to raise rates starting next year, so the fundamentals of the underlying business are strong, or management wouldn't pass off this increase to consumers. The stock isn't markedly cheap, trading at just under 17 times forward earnings, but premiere companies deserve premiere valuations, and barring the global economy falling off a cliff again, $80 per share is not out of the question for a year end price target next year. Disclosure: no position in UPS