SCS Capital Management LLC Invests $3.10 Million in Union Pacific Corporation $UNP

Key Points

• SCS Capital Management LLC has acquired 13,123 shares of Union Pacific Corporation, valued at approximately $3.1 million, in the first quarter of the year.
• Analysts have increased price targets for Union Pacific, with Sanford C. Bernstein raising it from $271 to $286, resulting in a consensus rating of "Moderate Buy."
• Union Pacific recently announced a quarterly dividend of $1.38 per share, an increase from $1.34, representing a 2.6% yield for shareholders.

SCS Capital Management LLC purchased a new stake in Union Pacific Corporation (NYSE:UNP - Free Report) in the first quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm purchased 13,123 shares of the railroad operator's stock, valued at approximately $3,100,000.

Other hedge funds and other institutional investors have also modified their holdings of the company. Highline Wealth Partners LLC increased its holdings in shares of Union Pacific by 103.5% in the first quarter. Highline Wealth Partners LLC now owns 116 shares of the railroad operator's stock valued at $27,000 after purchasing an additional 59 shares in the last quarter. Financial Gravity Asset Management Inc. acquired a new stake in shares of Union Pacific in the first quarter valued at approximately $32,000. WPG Advisers LLC acquired a new stake in shares of Union Pacific in the first quarter valued at approximately $33,000. Cornerstone Planning Group LLC increased its holdings in shares of Union Pacific by 50.5% in the first quarter. Cornerstone Planning Group LLC now owns 167 shares of the railroad operator's stock valued at $37,000 after purchasing an additional 56 shares in the last quarter. Finally, IMA Advisory Services Inc. acquired a new stake in Union Pacific during the 1st quarter worth $43,000. Institutional investors and hedge funds own 80.38% of the company's stock.

Union Pacific Stock Down 0.6%

UNP traded down $1.31 during trading on Friday, hitting $214.73. The company had a trading volume of 6,207,235 shares, compared to its average volume of 4,172,178. The company has a market capitalization of $127.34 billion, a PE ratio of 18.66, a PEG ratio of 2.10 and a beta of 1.03. Union Pacific Corporation has a one year low of $204.66 and a one year high of $256.84. The firm's 50-day moving average price is $224.46 and its 200 day moving average price is $226.06. The company has a quick ratio of 0.53, a current ratio of 0.65 and a debt-to-equity ratio of 1.86.

Union Pacific (NYSE:UNP - Get Free Report) last posted its quarterly earnings data on Thursday, July 24th. The railroad operator reported $3.03 EPS for the quarter, beating the consensus estimate of $2.84 by $0.19. The business had revenue of $6.15 billion for the quarter, compared to analysts' expectations of $6.09 billion. Union Pacific had a net margin of 28.43% and a return on equity of 41.73%. The firm's revenue was up 2.4% compared to the same quarter last year. During the same period in the previous year, the firm posted $2.74 EPS. As a group, equities analysts expect that Union Pacific Corporation will post 11.99 earnings per share for the current year.

Union Pacific Increases Dividend

The firm also recently disclosed 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. The ex-dividend date is Friday, August 29th. This represents a $5.52 dividend on an annualized basis and a dividend yield of 2.6%. This is a positive change from Union Pacific's previous quarterly dividend of $1.34. Union Pacific's dividend payout ratio (DPR) is currently 47.96%.

Wall Street Analyst Weigh In

A number of analysts have commented on the stock. Bank of America lifted their target price on shares of Union Pacific from $256.00 to $262.00 and gave the stock a "buy" rating in a report on Friday, May 16th. Wells Fargo & Company lifted their target price on shares of Union Pacific from $250.00 to $260.00 and gave the stock an "overweight" rating in a report on Friday, July 25th. Jefferies Financial Group raised shares of Union Pacific from a "hold" rating to a "buy" rating and lifted their target price for the stock from $250.00 to $285.00 in a report on Friday, July 25th. Susquehanna lowered their target price on shares of Union Pacific from $260.00 to $257.00 and set a "positive" rating for the company in a report on Wednesday, July 30th. Finally, Raymond James Financial reaffirmed a "strong-buy" rating on shares of Union Pacific in a report on Tuesday, July 15th. One investment analyst has rated the stock with a Strong Buy rating, fourteen have issued a Buy rating, ten have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, the stock currently 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.