The Western Union Company $WU Shares Purchased by AQR Capital Management LLC

Key Points

• AQR Capital Management LLC increased its stake in The Western Union Company by 16.4%, now owning approximately 3.95% of the company with a valuation of $136.68 million.
• Recent analyst reports have downgraded Western Union's stock, with target prices reduced significantly; Morgan Stanley lowered its target from $9.00 to $7.00 and set an "underweight" rating.
• Western Union declared a quarterly dividend of $0.235 per share, yielding 10.8%, with a payout ratio of 35.61% based on its earnings.

AQR Capital Management LLC raised its position in The Western Union Company (NYSE:WU - Free Report) by 16.4% in the first quarter, according to its most recent Form 13F filing with the SEC. The institutional investor owned 13,041,493 shares of the credit services provider's stock after buying an additional 1,835,062 shares during the period. AQR Capital Management LLC owned about 3.95% of Western Union worth $136,675,000 at the end of the most recent quarter.

Other institutional investors have also modified their holdings of the company. McIlrath & Eck LLC boosted its position in Western Union by 1,487.6% during the fourth quarter. McIlrath & Eck LLC now owns 3,080 shares of the credit services provider's stock worth $33,000 after acquiring an additional 2,886 shares during the last quarter. UMB Bank n.a. boosted its holdings in Western Union by 80.2% in the 1st quarter. UMB Bank n.a. now owns 3,264 shares of the credit services provider's stock valued at $35,000 after purchasing an additional 1,453 shares during the last quarter. MCF Advisors LLC boosted its holdings in Western Union by 464.3% in the 1st quarter. MCF Advisors LLC now owns 3,397 shares of the credit services provider's stock valued at $36,000 after purchasing an additional 2,795 shares during the last quarter. GAMMA Investing LLC boosted its holdings in Western Union by 188.1% in the 1st quarter. GAMMA Investing LLC now owns 3,803 shares of the credit services provider's stock valued at $40,000 after purchasing an additional 2,483 shares during the last quarter. Finally, Annis Gardner Whiting Capital Advisors LLC purchased a new stake in shares of Western Union in the 1st quarter valued at approximately $96,000. Institutional investors and hedge funds own 91.81% of the company's stock.

Western Union Price Performance

Shares of WU traded down $0.11 during trading hours on Monday, reaching $8.74. The company had a trading volume of 7,729,448 shares, compared to its average volume of 7,482,382. The firm has a 50 day simple moving average of $8.42 and a 200-day simple moving average of $9.37. The company has a current ratio of 1.15, a quick ratio of 1.15 and a debt-to-equity ratio of 3.11. The company has a market capitalization of $2.82 billion, a price-to-earnings ratio of 3.31, a PEG ratio of 3.03 and a beta of 0.64. The Western Union Company has a 12-month low of $7.89 and a 12-month high of $12.40.

Western Union (NYSE:WU - Get Free Report) last posted its earnings results on Monday, July 28th. The credit services provider reported $0.42 earnings per share for the quarter, missing the consensus estimate of $0.44 by ($0.02). Western Union had a net margin of 21.83% and a return on equity of 66.11%. The business had revenue of $1.03 billion for the quarter, compared to analysts' expectations of $1.04 billion. During the same quarter last year, the business posted $0.44 earnings per share. The business's revenue was down 3.8% compared to the same quarter last year. Western Union has set its FY 2025 guidance at 1.650-1.750 EPS. Research analysts expect that The Western Union Company will post 1.79 earnings per share for the current year.

Western Union Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Shareholders of record on Tuesday, September 16th will be paid a dividend of $0.235 per share. This represents a $0.94 annualized dividend and a dividend yield of 10.8%. The ex-dividend date of this dividend is Tuesday, September 16th. Western Union's dividend payout ratio (DPR) is currently 35.61%.

Insider Activity

In related news, CFO Matthew Cagwin bought 17,500 shares of the firm's stock in a transaction that occurred on Monday, August 18th. The shares were acquired at an average cost of $8.36 per share, with a total value of $146,300.00. Following the completion of the transaction, the chief financial officer owned 225,611 shares of the company's stock, valued at approximately $1,886,107.96. The trade was a 8.41% increase in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. Also, CEO Devin Mcgranahan bought 176,470 shares of the firm's stock in a transaction that occurred on Thursday, August 21st. The stock was bought at an average cost of $8.49 per share, for a total transaction of $1,498,230.30. Following the completion of the transaction, the chief executive officer directly owned 913,125 shares of the company's stock, valued at approximately $7,752,431.25. The trade was a 23.96% increase in their position. The disclosure for this purchase can be found here. 1.58% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of equities research analysts have recently issued reports on the stock. Barclays set a $8.00 price target on shares of Western Union and gave the company an "underweight" rating in a research note on Thursday, July 31st. Royal Bank Of Canada cut their target price on shares of Western Union from $13.00 to $9.00 and set a "sector perform" rating on the stock in a research note on Tuesday, July 29th. Oppenheimer assumed coverage on shares of Western Union in a research note on Monday, June 2nd. They set a "market perform" rating on the stock. UBS Group cut their target price on shares of Western Union from $10.50 to $8.50 and set a "neutral" rating on the stock in a research note on Tuesday, July 29th. Finally, Keefe, Bruyette & Woods dropped their price objective on shares of Western Union from $11.00 to $10.00 and set a "market perform" rating on the stock in a research report on Tuesday, July 29th. Seven research analysts have rated the stock with a Hold rating and five have given a Sell rating to the company's stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Reduce" and a consensus target price of $8.61.

About Western Union

The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices.