Q1 EPS Estimates for Western Union Boosted by Zacks Research

Key Points

• Zacks Research has raised its Q1 2027 EPS estimate for Western Union to $0.46 per share, up from a prior estimate of $0.45, while maintaining a "Hold" rating on the stock.
• Western Union's recent earnings report showed an EPS of $0.42, which missed the consensus estimate of $0.44, along with a revenue of $1.03 billion, down 3.8% from the previous year.
• The company recently declared a quarterly dividend of $0.235 per share, representing an 11.6% yield on an annualized basis, reflecting its commitment to returning value to shareholders.

The Western Union Company (NYSE:WU - Free Report) - Stock analysts at Zacks Research lifted their Q1 2027 EPS estimates for Western Union in a note issued to investors on Wednesday, October 8th. Zacks Research analyst Team now forecasts that the credit services provider will earn $0.46 per share for the quarter, up from their prior estimate of $0.45. Zacks Research has a "Hold" rating on the stock. The consensus estimate for Western Union's current full-year earnings is $1.79 per share.

Western Union (NYSE:WU - Get Free Report) last announced its quarterly earnings data on Monday, July 28th. The credit services provider reported $0.42 earnings per share for the quarter, missing analysts' consensus estimates of $0.44 by ($0.02). The business had revenue of $1.03 billion during the quarter, compared to analysts' expectations of $1.04 billion. Western Union had a return on equity of 66.11% and a net margin of 21.83%.Western Union's revenue for the quarter was down 3.8% compared to the same quarter last year. During the same quarter last year, the company posted $0.44 EPS. Western Union has set its FY 2025 guidance at 1.650-1.750 EPS.

Other equities research analysts have also recently issued research reports about the stock. Deutsche Bank Aktiengesellschaft assumed coverage on shares of Western Union in a report on Thursday, July 17th. They issued a "hold" rating and a $9.00 price objective on the stock. Monness Crespi & Hardt cut their price target on shares of Western Union from $7.50 to $7.00 and set a "sell" rating on the stock in a report on Tuesday, July 29th. Royal Bank Of Canada cut their price target on shares of Western Union from $13.00 to $9.00 and set a "sector perform" rating on the stock in a report on Tuesday, July 29th. Barclays set a $8.00 price target on shares of Western Union and gave the company an "underweight" rating in a report on Thursday, July 31st. Finally, Keefe, Bruyette & Woods cut their price target on shares of Western Union from $10.00 to $9.00 and set a "market perform" rating on the stock in a report on Wednesday, October 1st. Nine research analysts have rated the stock with a Hold rating and four have given a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Reduce" and a consensus target price of $8.50.

Western Union Price Performance

Shares of WU opened at $8.10 on Thursday. The stock has a market cap of $2.62 billion, a PE ratio of 3.07, a price-to-earnings-growth ratio of 2.80 and a beta of 0.61. The company has a debt-to-equity ratio of 3.11, a quick ratio of 1.15 and a current ratio of 1.15. Western Union has a fifty-two week low of $7.85 and a fifty-two week high of $12.02. The firm's 50-day simple moving average is $8.31 and its two-hundred day simple moving average is $8.97.

Institutional Trading of Western Union

Institutional investors and hedge funds have recently modified their holdings of the company. GAMMA Investing LLC grew its stake in Western Union by 2,948.2% during the first quarter. GAMMA Investing LLC now owns 40,236 shares of the credit services provider's stock valued at $426,000 after acquiring an additional 38,916 shares in the last quarter. UMB Bank n.a. grew its stake in shares of Western Union by 80.2% in the 1st quarter. UMB Bank n.a. now owns 3,264 shares of the credit services provider's stock worth $35,000 after buying an additional 1,453 shares in the last quarter. Farther Finance Advisors LLC grew its stake in shares of Western Union by 84.4% in the 1st quarter. Farther Finance Advisors LLC now owns 32,534 shares of the credit services provider's stock worth $343,000 after buying an additional 14,890 shares in the last quarter. Pallas Capital Advisors LLC purchased a new position in shares of Western Union in the 1st quarter worth $665,000. Finally, SG Americas Securities LLC purchased a new position in shares of Western Union during the 1st quarter worth about $1,018,000. 91.81% of the stock is currently owned by institutional investors.

Insider Activity at Western Union

In other Western Union news, CFO Matthew Cagwin purchased 17,500 shares of the firm's stock in a transaction on Monday, August 18th. The shares were acquired at an average cost of $8.36 per share, for a total transaction of $146,300.00. Following the completion of the transaction, the chief financial officer owned 225,611 shares of the company's stock, valued at approximately $1,886,107.96. The trade was a 8.41% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Devin Mcgranahan acquired 176,470 shares of the firm's stock in a transaction dated Thursday, August 21st. The shares were purchased at an average price of $8.49 per share, for a total transaction of $1,498,230.30. Following the completion of the transaction, the chief executive officer directly owned 913,125 shares in the company, valued at approximately $7,752,431.25. This trade represents a 23.96% increase in their ownership of the stock. The disclosure for this purchase can be found here. 1.58% of the stock is currently owned by company insiders.

Western Union Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Tuesday, September 30th. Shareholders of record on Tuesday, September 16th were given a $0.235 dividend. This represents a $0.94 dividend on an annualized basis and a yield of 11.6%. The ex-dividend date of this dividend was Tuesday, September 16th. Western Union's payout ratio is 35.61%.

About Western Union

The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices.

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