WCG Wealth Advisors LLC Purchases New Stake in Union Pacific Corporation $UNP

Key Points

• WCG Wealth Advisors opened a new position in Union Pacific during the fourth quarter, buying 11,849 shares valued at about $2.74 million. Several other smaller institutional investors also initiated stakes, and institutions now own 80.38% of the stock.
• Union Pacific reported better-than-expected quarterly results, with EPS of $2.93 versus the $2.86 consensus and revenue of $6.22 billion, up 3.2% year over year. Analysts currently rate the stock a Moderate Buy with a consensus target price of $280.47.
• The company declared a quarterly dividend of $1.38 per share, payable June 30, implying an annualized yield of about 2.1%. Meanwhile, some insiders sold shares recently, including CFO Jennifer L. Hamann and EVP Eric J. Gehringer.

WCG Wealth Advisors LLC purchased a new position in shares of Union Pacific Corporation (NYSE:UNP - Free Report) during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 11,849 shares of the railroad operator's stock, valued at approximately $2,741,000.

Several other hedge funds and other institutional investors have also recently made changes to their positions in UNP. Rachor Investment Advisory Services LLC acquired a new stake in shares of Union Pacific during the 4th quarter valued at approximately $25,000. Tucker Asset Management LLC purchased a new stake in Union Pacific during the fourth quarter worth $25,000. High Point Wealth Management LLC acquired a new stake in Union Pacific in the fourth quarter valued at $26,000. Caitlin John LLC purchased a new position in shares of Union Pacific in the third quarter valued at $27,000. Finally, Saranac Partners Ltd acquired a new position in shares of Union Pacific during the 3rd quarter worth $27,000. Institutional investors and hedge funds own 80.38% of the company's stock.

Wall Street Analyst Weigh In

A number of brokerages recently commented on UNP. UBS Group reissued a "neutral" rating and issued a $274.00 price objective (up from $253.00) on shares of Union Pacific in a research note on Friday, April 24th. Royal Bank Of Canada reissued an "outperform" rating and set a $289.00 price objective (up from $273.00) on shares of Union Pacific in a research note on Friday, April 24th. Evercore reiterated an "outperform" rating and set a $277.00 target price on shares of Union Pacific in a report on Friday, April 24th. Robert W. Baird set a $311.00 price target on Union Pacific and gave the stock an "outperform" rating in a report on Friday, March 6th. Finally, TD Cowen increased their price objective on Union Pacific from $256.00 to $282.00 and gave the company a "buy" rating in a research note on Friday, April 24th. One investment 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. Based on data from MarketBeat.com, the stock has an average rating of "Moderate Buy" and a consensus target price of $280.47.

Union Pacific Trading Up 0.5%

NYSE UNP opened at $263.54 on Friday. The company has a market cap of $156.47 billion, a P/E ratio of 21.71, a P/E/G ratio of 2.78 and a beta of 0.97. Union Pacific Corporation has a 12 month low of $210.84 and a 12 month high of $279.70. 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 company has a 50-day moving average of $258.71 and a 200-day moving average of $246.85.

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 the consensus estimate of $2.86 by $0.07. Union Pacific had a net margin of 29.20% and a return on equity of 39.58%. The business had revenue of $6.22 billion for the quarter, compared to analysts' expectations of $6.12 billion. During the same period last year, the company earned $2.70 earnings per share. The company's quarterly revenue was up 3.2% on a year-over-year basis. As a group, equities analysts predict that Union Pacific Corporation will post 12.53 earnings per share for the current year.

Union Pacific Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 30th. Shareholders of record on Friday, May 29th will be issued a $1.38 dividend. This represents a $5.52 dividend on an annualized basis and a dividend yield of 2.1%. The ex-dividend date is Friday, May 29th. Union Pacific's dividend payout ratio (DPR) is 45.47%.

Insider Activity

In other news, CFO Jennifer L. Hamann sold 2,000 shares of the firm's stock in a transaction dated Friday, April 24th. The stock was sold at an average price of $274.70, for a total value of $549,400.00. Following the transaction, the chief financial officer directly owned 114,642 shares in the company, valued at $31,492,157.40. This trade represents a 1.71% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, EVP Eric J. Gehringer sold 2,991 shares of the firm's stock in a transaction dated Wednesday, June 3rd. The shares were sold at an average price of $263.96, for a total value of $789,504.36. Following the completion of the transaction, the executive vice president directly owned 43,012 shares in the company, valued at $11,353,447.52. This trade represents a 6.50% 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 in the last ninety days. Company insiders own 0.22% of the company's stock.

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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