2,637,935 Shares in The Western Union Company $WU Acquired by Bank of New York Mellon Corp

Key Points

• Bank of New York Mellon acquired 2.64 million Western Union shares worth approximately $20.3 million, representing about 0.85% of the company. Institutional investors collectively own 91.81% of Western Union.
• Western Union reported quarterly EPS of $0.31, missing the $0.42 consensus estimate, while revenue declined 1.3% year over year to $1.01 billion. Shares opened at $7.24, near the lower end of their 52-week range.
• The company announced a quarterly dividend of $0.235 per share, equal to a 13.0% annualized yield. Analysts remain bearish, with a consensus “Strong Sell” rating and an average price target of $7.55.

Bank of New York Mellon Corp purchased a new stake in The Western Union Company (NYSE:WU - Free Report) in the second quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 2,637,935 shares of the credit services provider's stock, valued at approximately $20,312,000. Bank of New York Mellon Corp owned approximately 0.85% of Western Union as of its most recent SEC filing.

A number of other hedge funds and other institutional investors also recently added to or reduced their stakes in the stock. Integrated Wealth Concepts LLC boosted its holdings in shares of Western Union by 15.5% in the 1st quarter. Integrated Wealth Concepts LLC now owns 39,859 shares of the credit services provider's stock valued at $422,000 after buying an additional 5,351 shares in the last quarter. Goldman Sachs Group Inc. raised its stake in Western Union by 27.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,964,972 shares of the credit services provider's stock worth $20,789,000 after acquiring an additional 422,715 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Western Union by 9.0% in the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,861,908 shares of the credit services provider's stock valued at $19,699,000 after acquiring an additional 154,110 shares during the last quarter. Focus Partners Wealth lifted its position in Western Union by 93.5% in the first quarter. Focus Partners Wealth now owns 27,535 shares of the credit services provider's stock valued at $291,000 after acquiring an additional 13,302 shares during the last quarter. Finally, Prudential Financial Inc. boosted its stake in Western Union by 24.7% in the second quarter. Prudential Financial Inc. now owns 36,874 shares of the credit services provider's stock valued at $310,000 after acquiring an additional 7,314 shares in the last quarter. Institutional investors and hedge funds own 91.81% of the company's stock.

Western Union Price Performance

Shares of NYSE:WU opened at $7.24 on Monday. The company has a 50-day simple moving average of $7.61 and a 200-day simple moving average of $8.41. The Western Union Company has a one year low of $6.27 and a one year high of $10.35. The company has a debt-to-equity ratio of 2.95, a quick ratio of 1.12 and a current ratio of 1.12. The stock has a market capitalization of $2.26 billion, a price-to-earnings ratio of 5.89 and a beta of 0.48.

Western Union (NYSE:WU - Get Free Report) last released its quarterly 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). The company had revenue of $1.01 billion for the quarter, compared to analysts' expectations of $1.02 billion. Western Union had a return on equity of 50.89% and a net margin of 9.79%.The business's quarterly revenue was down 1.3% compared to the same quarter last year. During the same period in the prior year, the business earned $0.37 EPS. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. On average, analysts predict that The Western Union Company will post 1.29 EPS for the current year.

Western Union Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th will be paid a $0.235 dividend. This represents a $0.94 annualized dividend and a dividend yield of 13.0%. The ex-dividend date is Wednesday, September 16th. Western Union's dividend payout ratio (DPR) is 76.42%.

Analysts Set New Price Targets

WU has been the topic of a number of research analyst reports. JPMorgan Chase & Co. cut their target price on Western Union from $9.00 to $8.00 and set an "underweight" rating on the stock in a research report on Monday, July 13th. Wolfe Research restated an "underperform" rating and set a $8.00 price target on shares of Western Union in a research note on Friday, July 31st. Barclays dropped their price target on Western Union from $7.00 to $6.00 and set an "underweight" rating on the stock in a research note on Friday, July 31st. Zacks Research cut Western Union from a "hold" rating to a "strong sell" rating in a research note on Tuesday, August 4th. Finally, Royal Bank Of Canada decreased their price objective on Western Union from $9.00 to $8.00 and set a "sector perform" rating for the company in a report on Friday, July 31st. Six research analysts have rated the stock with a Hold rating and eight have given a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Strong Sell" and a consensus price target of $7.55.

About Western Union

Western Union Company NYSE: WU is a global leader in cross-border, cross-currency money movement and payments. The company enables individuals and businesses to send and receive money through a variety of channels, including its vast agent network, online platforms, and mobile applications. Core services include person-to-person money transfers, business-to-business cross-border payments, bill payment services and prepaid card programs.

Through its digital offerings, Western Union provides customers with the ability to initiate transfers via its website and mobile app, as well as track transactions in real time.

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