UBS has upgraded UPS and downgraded FedEx (NYSE:FDX).
The Wall Street firm lowered its rating on FedEx to neutral, while trimming its stock price forecast 10% to $256 a share.
UBS said the shipper is "exposed to risks from tariffs", noting that 55% of FedEx's revenue comes from its Global Express business.
Meanwhile, UBS upgraded UPS to buy, and raised its price target about 3% to $125 a share.
The firm said UPS could generate "significant cost savings", which will improve domestic margins and operating income.
Shares in both firms are down in 2018. UPS is off about 8%. FedEx is down about 5%.
