UPS’s Lead Over FedEx in Market Value Shrinks to Narrowest Ever

United Parcel Service Inc.’s once-towering lead over rival FedEx Corp. in market valuation has shrunk to the smallest ever after a 29% plunge in UPS shares this year.

The Atlanta-based company is struggling to manage high costs and improve volume amid uncertain trade policies. It did not provide revenue or operating profit guidance for 2025 when it reported second-quarter earnings Tuesday.

UPS’ market capitalization was $21.2 billion higher than FedEx after a sharp selloff following the results that has extended into Wednesday trading, which is the smallest difference since UPS went public in 1999. At its widest level in ...