(800) 246-3521
​
AFMS
  • About Us
  • Clients
  • Our Solutions
    • RFI & RFP Support
    • Auditing & Reporting
    • Parcel
    • LTL/FTL
    • Rail/Intermodal
    • Air Freight
    • Ocean Freight
    • Canada
    • Europe/Asia
  • Articles
  • Videos
  • Case Studies
  • Contact Us
    • Free Evaluation
    • AFMS Careers
  • About Us
  • Clients
  • Our Solutions
    • RFI & RFP Support
    • Auditing & Reporting
    • Parcel
    • LTL/FTL
    • Rail/Intermodal
    • Air Freight
    • Ocean Freight
    • Canada
    • Europe/Asia
  • Articles
  • Videos
  • Case Studies
  • Contact Us
    • Free Evaluation
    • AFMS Careers

Articles & Tips

Traders Are Backing Transports After FedEX and UPS Q3 Results

10/1/2020

 
Picture
Due to many Americans staying home during the COVID-19 pandemic to reduce the risk of spreading the virus, the e-commerce industry has seen an uptick in business. According to CNBC, FedEx and UPS have seen their best quarter in decades, and traders are expected to back them.


How well have FedEx and UPS done in Q3?

FedEx closed on Q3 80% higher than they have in the last three months. That's FedEx's best quarterly gain since 1998. But FedEx isn't the only one to have seen success. UPS closed on Q3 50% higher than they have in the last three months. That's UPS' best quarterly gain since the company initially went public back in 1999.

FedEx and UPS expect to further power gains

According to the portfolio manager at Federated Hermes, Steve Chiavarone, both FedEx and UPS are expected to further their power gains in the transport sector. By the final quarter of 2020, the two may see even greater success. Chiavarone says transport is one of the few industries that have been able to keep their heads above water during the COVID-19 crisis and that success may carry into the post-COVID economy. Ari Wald, the head of technical analysis at Oppenheimer, agrees that the economy is giving transportation a boost and road-and-rail industrial stocks are expected to stay strong.

How to make the transport titans' success work for you

Every second, approximately 2,760 packages are shipped. With e-commerce booming during the pandemic, that number may be even higher. It's no surprise, then, that FedEx and UPS have been experiencing serious success. However, it's important not to let that success go to your head when it comes to parcel contract optimization.

That is, just because a carrier is doing well doesn't mean they won't try to squeeze a little money from you by incorporating carrier GSR waivers into your contract or changing their shipping rates. To help protect your business' shipping budget, you need a professional parcel contract optimization team on your side to go over your contract and make sure you're not being taken advantage of. That's where AFMS comes in. To learn more about parcel contract optimization and how our team can help you with parcel contract negotiation to improve your relationship with your carriers, contact AFMS today.

Comments are closed.

    Categories

    All
    DHL
    FedEx
    Negotiating Rates
    Rate Changes
    UPS
    USPS

    Archives

    November 2022
    October 2022
    September 2022
    February 2022
    January 2022
    November 2021
    October 2021
    September 2021
    June 2021
    May 2021
    April 2021
    March 2021
    February 2021
    January 2021
    December 2020
    November 2020
    October 2020
    September 2020
    August 2020
    July 2020
    June 2020
    May 2020
    April 2020
    March 2020
    October 2019
    August 2019
    July 2019
    October 2018
    August 2018
    July 2018
    June 2018
    December 2017
    August 2017
    May 2017
    February 2017
    December 2016
    October 2016
    June 2016
    September 2015
    May 2015
    December 2014

AFMS Corporate HQ
10260 SW Greenburg Road Ste. 1020
Portland, OR 97223

800.246.3521
​info@afms.com
www.afms.com
ABOUT AFMS
GLOBAL CLIENTS
AFMS CAREERS
ARTICLES



SERVICES

AIR FREIGHT
AUDITING AND REPORTING
LTL/FTL
OCEAN FREIGHT
PARCEL
PARCEL CONTRACT NEGOTIATION
PARCEL CONTRACT BENCHMARKING
PARCEL CONTRACT AUDITING

RAIL/INTERMODAL
RFI & RFP SUPPORT
CANADA
EUROPE/ASIA