Capital International Sarl Raises Position in Union Pacific Corporation $UNP

Key Points

• Capital International Sarl boosted its Union Pacific stake by 209.3% in the fourth quarter, bringing its holding to 27,159 shares valued at about $6.28 million.
• Union Pacific reported better-than-expected quarterly results, posting EPS of $2.93 versus $2.86 expected and revenue of $6.22 billion, up 3.2% year over year.
• The company declared a quarterly dividend of $1.38 per share, equivalent to an annualized yield of about 2.0%, while analysts currently rate the stock a Moderate Buy with a consensus target price of $282.21.

Capital International Sarl raised its stake in Union Pacific Corporation (NYSE:UNP - Free Report) by 209.3% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund owned 27,159 shares of the railroad operator's stock after purchasing an additional 18,377 shares during the quarter. Capital International Sarl's holdings in Union Pacific were worth $6,282,000 as of its most recent filing with the Securities & Exchange Commission.

Several other institutional investors and hedge funds have also recently modified their holdings of the stock. Vanguard Group Inc. raised its stake in shares of Union Pacific by 1.1% in the fourth quarter. Vanguard Group Inc. now owns 59,329,262 shares of the railroad operator's stock worth $13,724,045,000 after purchasing an additional 659,378 shares during the last quarter. Geode Capital Management LLC raised its stake in shares of Union Pacific by 2.0% in the fourth quarter. Geode Capital Management LLC now owns 15,360,668 shares of the railroad operator's stock worth $3,552,550,000 after purchasing an additional 296,814 shares during the last quarter. Capital World Investors raised its stake in shares of Union Pacific by 193.3% in the third quarter. Capital World Investors now owns 10,481,043 shares of the railroad operator's stock worth $2,477,404,000 after purchasing an additional 6,908,016 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Union Pacific by 72.7% in the third quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 9,177,002 shares of the railroad operator's stock worth $2,169,168,000 after purchasing an additional 3,861,636 shares during the last quarter. Finally, Capital Research Global Investors raised its stake in shares of Union Pacific by 95.0% in the third quarter. Capital Research Global Investors now owns 8,713,196 shares of the railroad operator's stock worth $2,059,538,000 after purchasing an additional 4,244,226 shares during the last quarter. 80.38% of the stock is owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Union Pacific news, CFO Jennifer L. Hamann sold 2,000 shares of the firm's stock in a transaction on Friday, April 24th. The stock was sold at an average price of $274.70, for a total value of $549,400.00. Following the completion of the sale, the chief financial officer directly owned 114,642 shares of the company's stock, valued at $31,492,157.40. This trade represents a 1.71% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through this link. Also, EVP Kenyatta G. Rocker sold 27,387 shares of the firm's stock in a transaction on Friday, April 24th. The stock was sold at an average price of $271.76, for a total value of $7,442,691.12. Following the completion of the sale, the executive vice president directly owned 61,102 shares of the company's stock, valued at $16,605,079.52. This represents a 30.95% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold 34,377 shares of company stock valued at $9,251,221 over the last ninety days. 0.22% of the stock is currently owned by insiders.

Union Pacific Stock Performance

NYSE:UNP opened at $272.28 on Monday. The company has a debt-to-equity ratio of 1.53, a current ratio of 0.92 and a quick ratio of 0.73. The business has a fifty day simple moving average of $259.32 and a two-hundred day simple moving average of $247.21. Union Pacific Corporation has a 1 year low of $210.84 and a 1 year high of $279.70. The company has a market capitalization of $161.66 billion, a P/E ratio of 22.43, a P/E/G ratio of 2.89 and a beta of 0.97.

Union Pacific (NYSE:UNP - Get Free Report) last released its earnings results on Thursday, April 23rd. The railroad operator reported $2.93 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.86 by $0.07. Union Pacific had a return on equity of 39.58% and a net margin of 29.20%.The business had revenue of $6.22 billion during the quarter, compared to the consensus estimate of $6.12 billion. During the same period last year, the business posted $2.70 earnings per share. The business's revenue for the quarter was up 3.2% on a year-over-year basis. On average, analysts expect that Union Pacific Corporation will post 12.53 earnings per share for the current year.

Union Pacific Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Friday, May 29th will be given a $1.38 dividend. This represents a $5.52 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend is Friday, May 29th. Union Pacific's dividend payout ratio (DPR) is currently 45.47%.

Analyst Ratings Changes

UNP has been the subject of a number of research analyst reports. Susquehanna reaffirmed a "positive" rating and set a $305.00 price target on shares of Union Pacific in a research report on Friday. Robert W. Baird set a $311.00 price target on Union Pacific and gave the company an "outperform" rating in a research report on Friday, March 6th. JPMorgan Chase & Co. increased their price target on Union Pacific from $267.00 to $275.00 and gave the company a "neutral" rating in a research report on Friday, April 24th. Raymond James Financial set a $310.00 price target on Union Pacific in a research report on Friday, April 24th. Finally, BMO Capital Markets reaffirmed a "market perform" rating and set a $285.00 price target (up from $278.00) on shares of Union Pacific in a research report on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus target price of $282.21.

Union Pacific Company 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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