2,304,334 Shares of The Western Union Company $WU Purchased by Bank of America Corp DE

Key Points

• Bank of America acquired 2.3 million Western Union shares worth approximately $17.7 million, representing about 0.74% of the company. Other major institutions, including BlackRock and Algebris, also initiated positions, while institutional investors collectively own 91.81% of WU.
• Western Union’s shares traded near $6.01, close to their 12-month low, after the company missed quarterly earnings and revenue estimates. Analysts remain bearish, with an average “Strong Sell” rating and a $7.55 price target.
• The company declared a quarterly dividend of $0.235 per share, equivalent to an annualized $0.94 dividend and a 15.6% yield, though its payout ratio is elevated at 76.42%.

Bank of America Corp DE acquired a new position in shares of The Western Union Company (NYSE:WU - Free Report) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 2,304,334 shares of the credit services provider's stock, valued at approximately $17,743,000. Bank of America Corp DE owned about 0.74% of Western Union as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. BlackRock Inc. acquired a new position in Western Union during the 2nd quarter worth $241,806,000. Algebris UK Ltd. acquired a new stake in Western Union in the second quarter worth about $21,224,000. Capital Research Global Investors increased its position in Western Union by 35.3% in the fourth quarter. Capital Research Global Investors now owns 10,407,960 shares of the credit services provider's stock worth $96,898,000 after purchasing an additional 2,716,385 shares during the period. Bank of New York Mellon Corp bought a new stake in Western Union during the 2nd quarter worth about $20,312,000. Finally, Allianz Asset Management GmbH lifted its position in Western Union by 24.5% during the 4th quarter. Allianz Asset Management GmbH now owns 7,879,726 shares of the credit services provider's stock valued at $73,360,000 after purchasing an additional 1,550,100 shares during the period. Institutional investors and hedge funds own 91.81% of the company's stock.

Wall Street Analyst Weigh In

WU has been the topic of several analyst reports. Morgan Stanley cut their price objective on shares of Western Union from $7.00 to $6.00 and set an "underweight" rating on the stock in a report on Friday, July 31st. Weiss Ratings upgraded shares of Western Union from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Monday, August 3rd. Monness Crespi & Hardt reissued a "sell" rating and issued a $6.00 price target on shares of Western Union in a research note on Friday, July 31st. Citigroup reissued a "neutral" rating on shares of Western Union in a research note on Thursday. Finally, Wolfe Research reaffirmed an "underperform" rating and set a $8.00 price objective on shares of Western Union in a research note on Friday, July 31st. Six investment analysts have rated the stock with a Hold rating and eight have assigned a Sell rating to the company. According to data from MarketBeat.com, Western Union has an average rating of "Strong Sell" and an average price target of $7.55.

Western Union Trading Down 1.2%

Shares of NYSE WU opened at $6.01 on Friday. The Western Union Company has a twelve month low of $5.94 and a twelve month high of $10.35. The stock has a market cap of $1.88 billion, a price-to-earnings ratio of 4.89 and a beta of 0.50. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 2.95. The company's fifty day moving average is $7.25 and its 200-day moving average is $8.03.

Western Union (NYSE:WU - Get Free Report) last posted its earnings results on Thursday, July 30th. The credit services provider reported $0.31 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.42 by ($0.11). Western Union had a net margin of 9.79% and a return on equity of 50.89%. The business had revenue of $1.01 billion during the quarter, compared to analyst estimates of $1.02 billion. During the same period in the previous year, the firm posted $0.37 earnings per share. The firm's revenue was down 1.3% on a year-over-year basis. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. Equities research analysts predict that The Western Union Company will post 1.29 EPS for the current year.

Western Union Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th will be given a dividend of $0.2350 per share. The ex-dividend date of this dividend is Wednesday, September 16th. This represents a $0.94 dividend on an annualized basis and a yield of 15.6%. Western Union's dividend payout ratio is 76.42%.

About Western Union

Western Union Company NYSE: WU is a global provider of money movement and payment services. The company enables consumers and businesses to send and receive money across borders and within individual markets through digital platforms, mobile applications and a network of retail agent locations.

Its services include consumer money transfers, international remittances, bill payments and money orders. Customers can typically initiate transfers online, through the Western Union app or at participating retail locations, with recipients able to collect funds in cash or receive them through eligible bank accounts, digital wallets or other payment methods, depending on the destination market.

Western Union traces its origins to 1851, when it was established as a telegraph company in the United States.

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