Auto Owners Insurance Co Boosts Holdings in Union Pacific Corporation $UNP

Key Points

• Auto Owners Insurance Co significantly increased its stake in Union Pacific, lifting holdings by 23,032% in the fourth quarter to 236,409 shares worth about $54.7 million.
• Union Pacific reported better-than-expected quarterly results, posting EPS of $2.93 versus the $2.86 consensus and revenue of $6.22 billion versus expectations of $6.12 billion, with revenue up 3.2% year over year.
• The company also announced a quarterly dividend of $1.38 per share, payable June 30, for an annualized yield of about 2.1%; analysts currently have a Moderate Buy consensus with an average price target of $282.21.

Auto Owners Insurance Co lifted its position in shares of Union Pacific Corporation (NYSE:UNP - Free Report) by 23,032.0% in the fourth quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 236,409 shares of the railroad operator's stock after buying an additional 235,387 shares during the period. Auto Owners Insurance Co's holdings in Union Pacific were worth $54,686,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other large investors have also recently added to or reduced their stakes in UNP. Cambient Family Office LLC acquired a new position in shares of Union Pacific during the fourth quarter worth about $1,319,000. Magellan Asset Management Ltd acquired a new stake in Union Pacific in the third quarter valued at approximately $69,343,000. Jefferies Financial Group Inc. raised its holdings in Union Pacific by 1,581.2% in the third quarter. Jefferies Financial Group Inc. now owns 232,000 shares of the railroad operator's stock valued at $54,838,000 after acquiring an additional 218,200 shares in the last quarter. North Dakota State Investment Board purchased a new position in Union Pacific in the fourth quarter worth approximately $4,746,000. Finally, First National Bank of Omaha lifted its stake in Union Pacific by 35.8% in the fourth quarter. First National Bank of Omaha now owns 54,635 shares of the railroad operator's stock worth $12,665,000 after acquiring an additional 14,399 shares during the last quarter. 80.38% of the stock is currently owned by institutional investors and hedge funds.

Union Pacific Trading Up 0.2%

NYSE:UNP opened at $257.46 on Friday. Union Pacific Corporation has a 1 year low of $210.84 and a 1 year high of $279.70. The company has a debt-to-equity ratio of 1.53, a quick ratio of 0.73 and a current ratio of 0.92. The stock has a fifty day moving average price of $263.79 and a two-hundred day moving average price of $249.80. The stock has a market capitalization of $152.86 billion, a price-to-earnings ratio of 21.21, a PEG ratio of 2.72 and a beta of 0.97.

Union Pacific (NYSE:UNP - Get Free Report) last issued its earnings results on Thursday, April 23rd. The railroad operator reported $2.93 EPS for the quarter, topping the consensus estimate of $2.86 by $0.07. The company had revenue of $6.22 billion for the quarter, compared to analyst estimates of $6.12 billion. Union Pacific had a net margin of 29.20% and a return on equity of 39.58%. The business's revenue was up 3.2% on a year-over-year basis. During the same period in the previous year, the firm earned $2.70 EPS. As a group, sell-side analysts anticipate that Union Pacific Corporation will post 12.55 earnings per share for the current fiscal year.

Union Pacific Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Friday, May 29th will be given a $1.38 dividend. The ex-dividend date is Friday, May 29th. This represents a $5.52 annualized dividend and a dividend yield of 2.1%. Union Pacific's payout ratio is currently 45.47%.

Analyst Ratings Changes

Several research firms have recently issued reports on UNP. Susquehanna reaffirmed a "positive" rating and set a $305.00 price objective on shares of Union Pacific in a research report on Friday, June 5th. Evercore restated an "outperform" rating and issued a $277.00 price target on shares of Union Pacific in a research note on Friday, April 24th. TD Cowen lifted their price target on Union Pacific from $256.00 to $282.00 and gave the stock a "buy" rating in a report on Friday, April 24th. JPMorgan Chase & Co. boosted their target price on Union Pacific from $267.00 to $275.00 and gave the stock a "neutral" rating in a research note on Friday, April 24th. Finally, Robert W. Baird set a $311.00 price target on shares of Union Pacific and gave the company an "outperform" rating in a research note on Friday, March 6th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have given a Hold rating to the stock. Based on data from MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $282.21.

Insider Activity at Union Pacific

In related news, EVP Eric J. Gehringer sold 2,991 shares of the company's stock in a transaction that occurred on Wednesday, June 3rd. The stock was sold at an average price of $263.96, for a total value of $789,504.36. Following the sale, the executive vice president owned 43,012 shares of the company's stock, valued at approximately $11,353,447.52. This represents a 6.50% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Jennifer L. Hamann sold 2,000 shares of the stock in a transaction on Friday, April 24th. The shares were sold at an average price of $274.70, for a total value of $549,400.00. Following the sale, the chief financial officer owned 114,642 shares in the company, valued at approximately $31,492,157.40. This trade represents a 1.71% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 32,378 shares of company stock valued at $8,781,595. Insiders own 0.22% of the company's stock.

Union Pacific Profile

Union Pacific Corporation NYSE: UNP is one of the largest freight railroad companies in the United States. Its principal operating subsidiary, Union Pacific Railroad, has roots that trace back to the Pacific Railway Act of 1862 and the construction of the first transcontinental rail link completed in 1869. The company is headquartered in Omaha, Nebraska, and operates as a holding company for rail transportation and related services.

Union Pacific's core business is the movement of freight by rail across an extensive rail network serving the western two‑thirds of the United States.

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