American Century Companies Inc. Buys 44,738 Shares of Union Pacific Corporation $UNP

Key Points

• American Century Companies Inc. increased its stake in Union Pacific Corporation by 3.8% during the first quarter, now holding approximately 1.2 million shares valued at $290 million.
• A number of hedge funds have adjusted their positions in Union Pacific, with Aberdeen Group plc significantly raising its stake by 81.1% during the same period.
• Union Pacific recently declared a quarterly dividend of $1.38 per share, reflecting an annual yield of 2.5% and a positive change from the previous dividend rate.

American Century Companies Inc. grew its holdings in Union Pacific Corporation (NYSE:UNP - Free Report) by 3.8% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 1,229,092 shares of the railroad operator's stock after purchasing an additional 44,738 shares during the quarter. American Century Companies Inc. owned 0.21% of Union Pacific worth $290,361,000 at the end of the most recent reporting period.

Several other hedge funds and other institutional investors have also made changes to their positions in the business. Allred Capital Management LLC lifted its stake in Union Pacific by 0.5% in the fourth quarter. Allred Capital Management LLC now owns 8,349 shares of the railroad operator's stock worth $1,904,000 after acquiring an additional 40 shares during the last quarter. Strategic Investment Solutions Inc. IL raised its holdings in Union Pacific by 38.8% during the fourth quarter. Strategic Investment Solutions Inc. IL now owns 161 shares of the railroad operator's stock worth $39,000 after purchasing an additional 45 shares in the last quarter. Foster Dykema Cabot & Partners LLC raised its holdings in Union Pacific by 1.6% during the fourth quarter. Foster Dykema Cabot & Partners LLC now owns 2,922 shares of the railroad operator's stock worth $666,000 after purchasing an additional 47 shares in the last quarter. First Financial Bank Trust Division raised its holdings in Union Pacific by 1.7% during the first quarter. First Financial Bank Trust Division now owns 2,803 shares of the railroad operator's stock worth $662,000 after purchasing an additional 47 shares in the last quarter. Finally, Stiles Financial Services Inc raised its holdings in Union Pacific by 1.6% during the first quarter. Stiles Financial Services Inc now owns 2,963 shares of the railroad operator's stock worth $700,000 after purchasing an additional 48 shares in the last quarter. Hedge funds and other institutional investors own 80.38% of the company's stock.

Union Pacific Stock Up 1.5%

NYSE:UNP traded up $3.3690 during trading hours on Tuesday, hitting $223.4490. The stock had a trading volume of 4,899,113 shares, compared to its average volume of 3,360,133. The company has a current ratio of 0.65, a quick ratio of 0.53 and a debt-to-equity ratio of 1.86. Union Pacific Corporation has a 1-year low of $204.66 and a 1-year high of $258.07. The business has a 50 day simple moving average of $226.97 and a two-hundred day simple moving average of $229.09. The company has a market cap of $132.51 billion, a PE ratio of 19.41, a price-to-earnings-growth ratio of 2.14 and a beta of 1.05.

Union Pacific (NYSE:UNP - Get Free Report) last issued its quarterly earnings data on Thursday, July 24th. The railroad operator reported $3.03 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.84 by $0.19. Union Pacific had a net margin of 28.43% and a return on equity of 41.73%. The company had revenue of $6.15 billion during the quarter, compared to the consensus estimate of $6.09 billion. During the same quarter last year, the company earned $2.74 earnings per share. Union Pacific's revenue for the quarter was up 2.4% on a year-over-year basis. Analysts predict that Union Pacific Corporation will post 11.99 EPS for the current year.

Union Pacific Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Friday, August 29th will be paid a dividend of $1.38 per share. This is an increase from Union Pacific's previous quarterly dividend of $1.34. The ex-dividend date is Friday, August 29th. This represents a $5.52 annualized dividend and a dividend yield of 2.5%. Union Pacific's dividend payout ratio (DPR) is currently 46.57%.

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on UNP. Robert W. Baird began coverage on shares of Union Pacific in a report on Tuesday, July 1st. They set a "neutral" rating and a $231.00 price objective on the stock. Citigroup cut shares of Union Pacific from a "strong-buy" rating to a "hold" rating and cut their target price for the company from $270.00 to $250.00 in a report on Wednesday, July 30th. Argus cut shares of Union Pacific from a "buy" rating to a "hold" rating in a report on Tuesday, August 12th. Susquehanna cut their target price on shares of Union Pacific from $260.00 to $257.00 and set a "positive" rating on the stock in a report on Wednesday, July 30th. Finally, Evercore ISI cut their target price on shares of Union Pacific from $244.00 to $238.00 and set an "in-line" rating on the stock in a report on Friday, July 25th. One analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $258.21.

Union Pacific Profile

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.