"UBS Upgrade Spurs UPS Stock Surge on Cost-Cutting Success"

United Parcel Service Inc. saw its shares rise the most in over a year after UBS Group AG upgraded the courier to buy, citing expectations of continued cost reduction efforts following the elimination of 12,000 management jobs. Analyst Thomas Wadewitz anticipates UPS’ investor day on March 26 will reveal plans for margin expansion and earnings growth, driven by potential cost savings of over $2 billion annually through automation and rationalization. Despite a disappointing earnings report, UPS aims to save over $1 billion by cutting management jobs and potentially reduce headcount by 20,000 in sorting and delivery stations. The company is also regaining market share lost to FedEx Corp. in 2023, and analysts see an 11% return potential over the next 12 months.