WealthShield Partners LLC Makes New Investment in Union Pacific Corporation $UNP

Key Points

• WealthShield Partners initiated a Union Pacific position of 7,544 shares valued at approximately $2.05 million. Institutional investors collectively own 80.38% of the railroad operator.
• Union Pacific reported quarterly EPS of $3.41, exceeding estimates of $3.26, while revenue rose 11.5% year over year to $6.86 billion.
• The company increased its quarterly dividend to $1.42 per share, equivalent to an annualized $5.68 payout and a 1.8% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $320.89.

WealthShield Partners LLC bought a new position in Union Pacific Corporation (NYSE:UNP - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The fund bought 7,544 shares of the railroad operator's stock, valued at approximately $2,052,000.

A number of other institutional investors have also modified their holdings of the stock. Capital World Investors grew its stake in Union Pacific by 92.1% in the fourth quarter. Capital World Investors now owns 20,136,349 shares of the railroad operator's stock worth $4,658,142,000 after purchasing an additional 9,655,306 shares in the last quarter. Norges Bank bought a new stake in Union Pacific in the fourth quarter valued at about $1,779,907,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in Union Pacific by 72.7% during 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 valued at $2,169,168,000 after buying an additional 3,861,636 shares in the last quarter. Capital Research Global Investors raised its stake in Union Pacific by 26.0% during the fourth quarter. Capital Research Global Investors now owns 10,980,904 shares of the railroad operator's stock valued at $2,540,105,000 after buying an additional 2,267,708 shares in the last quarter. Finally, Bank of America Corp DE raised its stake in Union Pacific by 16.8% during the first quarter. Bank of America Corp DE now owns 14,463,071 shares of the railroad operator's stock valued at $3,509,030,000 after buying an additional 2,084,808 shares in the last quarter. Institutional investors and hedge funds own 80.38% of the company's stock.

Union Pacific Stock Performance

Shares of NYSE UNP opened at $307.97 on Friday. The company has a quick ratio of 0.82, a current ratio of 0.99 and a debt-to-equity ratio of 1.40. The firm's 50-day moving average price is $286.30 and its two-hundred day moving average price is $267.60. Union Pacific Corporation has a 52-week low of $210.84 and a 52-week high of $315.99. The stock has a market capitalization of $182.96 billion, a P/E ratio of 24.94, a P/E/G ratio of 3.14 and a beta of 0.96.

Union Pacific (NYSE:UNP - Get Free Report) last posted its earnings results on Thursday, July 23rd. The railroad operator reported $3.41 EPS for the quarter, beating the consensus estimate of $3.26 by $0.15. The company had revenue of $6.86 billion during the quarter, compared to analyst estimates of $6.72 billion. Union Pacific had a return on equity of 38.46% and a net margin of 28.85%.The business's revenue was up 11.5% compared to the same quarter last year. During the same period in the prior year, the company earned $3.03 earnings per share. As a group, sell-side analysts forecast that Union Pacific Corporation will post 12.93 earnings per share for the current year.

Union Pacific Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Investors of record on Monday, August 31st will be given a dividend of $1.42 per share. The ex-dividend date is Monday, August 31st. This represents a $5.68 dividend on an annualized basis and a yield of 1.8%. This is an increase from Union Pacific's previous quarterly dividend of $1.38. Union Pacific's payout ratio is presently 44.70%.

Wall Street Analysts Forecast Growth

UNP has been the subject of several research reports. Stephens upgraded Union Pacific to a "strong-buy" rating in a research report on Wednesday, July 8th. Citigroup upped their price target on Union Pacific from $326.00 to $349.00 and gave the company a "buy" rating in a research report on Friday, July 24th. Weiss Ratings upgraded Union Pacific from a "buy (b-)" rating to a "buy (b)" rating in a research note on Friday, July 24th. Wells Fargo & Company restated an "overweight" rating and set a $335.00 price objective (up from $315.00) on shares of Union Pacific in a research note on Friday, July 24th. Finally, Susquehanna lifted their price objective on shares of Union Pacific from $305.00 to $333.00 and gave the stock a "positive" rating in a report on Tuesday, July 14th. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and a consensus target price of $320.89.

Insider Buying and Selling

In related news, EVP Eric J. Gehringer sold 2,991 shares of the company's stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $263.96, for a total transaction 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 represents a 6.50% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.22% of the stock is currently owned by insiders.

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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