UPS Stock and 2 Logistics Shares Linked To New Brazil Tariffs
New 25% U.S. tariffs on a wide range of Brazilian imports are reshaping trade routes, freight demand, and where goods enter key consumer markets. For global logistics and freight forwarding stocks, this kind of disruption can shift volumes, pricing power, and customer mix in ways that matter for portfolios. This article looks at three stocks from a Global Logistics and Freight Forwarding Companies screener that appear exposed to the latest tariff headlines in potentially positive ways, and explains how these U.S. Brazil trade tensions could influence their business risks and opportunities.
TFI International (TSX:TFII)
Overview: TFI International is a large North American transportation and logistics company that moves freight across the United States, Canada, and Mexico through less than truckload, full truckload, and asset light logistics and parcel services. It runs a sizable fleet of trucks, trailers, and independent contractors to handle everything from smaller shipments to specialized full loads.
Operations: TFI International generates about US$3.3b from Less Than Truckload, US$3.1b from Truckload, and US$1.6b from Logistics, with revenue primarily coming from the United States (US$5.5b) and Canada (US$2.4b).
Market Cap: CA$16.9b
Investors looking at tariff sensitive transport stocks may find TFI International interesting because it couples diversified trucking and logistics operations with cross border expertise that can help it operate when trade rules become more complex. Analysts have published expectations for earnings growth and improving returns, supported by efficiency efforts and a focus on higher margin freight, even though recent earnings declined and the P/E multiple is high relative to peers. Debt levels, insider selling, and ongoing pricing pressure in U.S. LTL are important watchpoints. At the same time, a steady flow of updated analyst targets and an active capital return policy indicate that tariff driven freight shifts and a potential freight upturn could have a meaningful impact on the business beyond the headline risks.
TFI International’s shift toward higher margin freight and cross border tariff exposure makes the story feel incomplete without seeing how expectations stack up against the risks flagged in the 2 key rewards and 2 important warning signs
United Parcel Service (UPS)
Overview: United Parcel Service is a global package delivery and logistics company that handles small parcels and palletized freight through its U.S. Domestic and International Package segments, while also offering freight forwarding, customs brokerage, healthcare logistics, and post sales services.
Operations: United Parcel Service generates about US$59.2b from U.S. Domestic Package, US$18.7b from International Package, and US$10.4b from Supply Chain Solutions.
Market Cap: US$96.0b
Investors watching tariff sensitive logistics stocks may see UPS as an interesting puzzle, combining a large global network and supply chain services that can benefit from trade rerouting with clear financial and execution questions. The company is investing heavily in cost cuts and automation under its “Efficiency Reimagined” program, building higher margin areas like healthcare logistics and reverse logistics. However, revenue and earnings have recently declined and debt is high, which raises questions about dividend coverage and balance sheet risk. With new U.S. tariffs on Brazil likely to push more shippers toward diversified carriers that can re route flows, the key question is whether UPS’s scale and new partnerships are sufficient to offset cost pressures, labor tensions, and slower growth than the wider market.
UPS’s cost cuts and automation push could be masking a very different earnings path than headline tariffs suggest, so it is worth seeing how everything fits together in the analysis report for United Parcel Service
Landstar System (LSTR)
Overview: Landstar System is an asset light freight broker and logistics provider that matches shipper demand with a large network of independent truck capacity, agents, and third party carriers across truckload, LTL, intermodal, air, ocean, and specialized heavy haul freight in North America and abroad.
Operations: Landstar System generates about US$4.7b from Transportation Logistics and US$129.3m from Insurance, partially offset by US$57.4m of internal revenue eliminations.
Market Cap: US$7.1b
Landstar System looks interesting in the current tariff backdrop because it leans into complexity rather than fixed assets, using its brokerage and agent network to reroute freight as trade rules change and shippers seek alternatives to Brazilian sourcing. Its role in time sensitive, specialized, and cross border freight means new U.S. tariffs on Brazil, plus potential follow on actions for other partners, can change where loads originate without removing the need for coordination and capacity. At the same time, earnings have declined over several years, margins are tight around 2.6%, and the stock trades on a high P/E, so expectations already assume freight and pricing conditions improve. Investors weighing that tension between tariff related upside and valuation and funding risks may find Landstar worth a closer look.
Landstar System’s asset light model, tight margins, and high P/E hint that expectations may be missing a key twist in the story. The 2 key rewards and 1 important warning sign could reveal what the market has not fully priced in yet.
The three logistics stocks covered here are just a starting point, as the full Global Logistics and Freight Forwarding Companies screener surfaces 26 more companies that pair global freight exposure with financial and valuation profiles that may be just as compelling. Use Simply Wall St to identify and analyze the specific catalysts and narratives that matter to you so you can focus on the ideas you consider highest conviction across this corner of global transport and warehousing.
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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