Q3 EPS Estimates for Western Union Reduced by Zacks Research

Key Points

• Zacks Research cut Western Union’s Q3 2026 EPS estimate to $0.34 from $0.53 and maintained a “Strong Sell” rating, citing weaker expected earnings momentum. The consensus full-year 2026 estimate is $1.29 per share.
• Analyst sentiment remains negative: Western Union has a consensus “Strong Sell” rating from six Hold and eight Sell ratings, with an average price target of $7.55 versus the stock’s recent price near $7.44.
• Western Union reported quarterly EPS of $0.31, missing estimates by $0.11, while revenue declined 1.3% year over year. The company nevertheless declared a quarterly dividend of $0.235 per share, representing an annualized yield of about 12.6%.

The Western Union Company (NYSE:WU - Free Report) - Investment analysts at Zacks Research cut their Q3 2026 earnings per share estimates for Western Union in a research note issued on Thursday, August 13th. Zacks Research analyst Team now anticipates that the credit services provider will post earnings per share of $0.34 for the quarter, down from their previous estimate of $0.53. Zacks Research has a "Strong Sell" rating on the stock. The consensus estimate for Western Union's current full-year earnings is $1.29 per share. Zacks Research also issued estimates for Western Union's Q4 2026 earnings at $0.39 EPS, FY2026 earnings at $1.29 EPS, Q3 2027 earnings at $0.38 EPS, FY2027 earnings at $1.53 EPS and FY2028 earnings at $1.63 EPS.

A number of other analysts also recently issued reports on the stock. Susquehanna lowered their price target on shares of Western Union from $10.00 to $8.00 and set a "neutral" rating on the stock in a report on Friday, July 31st. Monness Crespi & Hardt reaffirmed a "sell" rating and issued a $6.00 price objective on shares of Western Union in a report on Friday, July 31st. Weiss Ratings upgraded shares of Western Union from a "sell (d+)" rating to a "hold (c-)" rating in a research report on Monday, August 3rd. Citigroup lowered their target price on shares of Western Union from $8.50 to $7.00 and set a "neutral" rating on the stock in a research note on Monday, August 3rd. Finally, JPMorgan Chase & Co. dropped their target price on Western Union from $9.00 to $8.00 and set an "underweight" rating on the stock in a research report on Monday, July 13th. Six analysts have rated the stock with a Hold rating and eight have assigned a Sell rating to the company's stock. According to MarketBeat, Western Union currently has a consensus rating of "Strong Sell" and an average price target of $7.55.

Western Union Price Performance

NYSE:WU opened at $7.44 on Monday. The company has a debt-to-equity ratio of 2.95, a current ratio of 1.12 and a quick ratio of 1.12. The firm has a market cap of $2.32 billion, a price-to-earnings ratio of 6.05 and a beta of 0.48. The company has a 50 day moving average price of $7.62 and a 200-day moving average price of $8.58. Western Union has a 1-year low of $6.27 and a 1-year high of $10.35.

Western Union (NYSE:WU - Get Free Report) last announced its quarterly earnings results on Thursday, July 30th. The credit services provider reported $0.31 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.42 by ($0.11). The company had revenue of $1.01 billion during the quarter, compared to analyst estimates of $1.02 billion. Western Union had a net margin of 9.79% and a return on equity of 50.89%. The company's revenue was down 1.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.37 earnings per share. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS.

Institutional Investors Weigh In On Western Union

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Integrated Wealth Concepts LLC grew its position in shares of Western Union by 15.5% in the first quarter. Integrated Wealth Concepts LLC now owns 39,859 shares of the credit services provider's stock valued at $422,000 after purchasing an additional 5,351 shares during the period. Goldman Sachs Group Inc. raised its position in shares of Western Union by 27.4% during the 1st quarter. Goldman Sachs Group Inc. now owns 1,964,972 shares of the credit services provider's stock worth $20,789,000 after purchasing an additional 422,715 shares during the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Western Union by 9.0% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 1,861,908 shares of the credit services provider's stock worth $19,699,000 after purchasing an additional 154,110 shares during the last quarter. Focus Partners Wealth lifted its stake in Western Union by 93.5% in the 1st quarter. Focus Partners Wealth now owns 27,535 shares of the credit services provider's stock valued at $291,000 after buying an additional 13,302 shares in the last quarter. Finally, Prudential Financial Inc. lifted its stake in Western Union by 24.7% in the 2nd quarter. Prudential Financial Inc. now owns 36,874 shares of the credit services provider's stock valued at $310,000 after buying an additional 7,314 shares in the last quarter. Hedge funds and other institutional investors own 91.81% of the company's stock.

Western Union Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Wednesday, September 16th will be given a dividend of $0.235 per share. The ex-dividend date is Wednesday, September 16th. This represents a $0.94 dividend on an annualized basis and a dividend yield of 12.6%. Western Union's dividend payout ratio (DPR) is 76.42%.

Key Headlines Impacting Western Union

Here are the key news stories impacting Western Union this week:

• Positive Sentiment: New York’s Department of Financial Services approved Western Union’s pending acquisition of International Money Express NASDAQ: IMXI. The approval advances the deal and could expand WU’s cross-border remittance scale, although the company agreed to maintain certain remittance services and locations in New York. Western Union’s Intermex Deal Wins New York Approval but Stalls in California
• Positive Sentiment: Western Union is pursuing new digital-finance growth through its Stablecard launch, a product tied to stablecoin-based payments. The initiative could support WU’s efforts to modernize its business, though its financial impact remains unproven. What Is Western Union Betting On With Its Stablecard Launch?
• Neutral Sentiment: William Blair analyst Christopher Kennedy maintained a Hold rating, citing regulatory uncertainty and weak fundamentals at Intermex. Another analyst source placed WU’s target price at $7.55, close to the stock’s recent trading level, suggesting limited near-term upside based on that view. Regulatory Uncertainty and Weak Intermex Fundamentals Lead to Hold Rating
• Negative Sentiment: California’s Department of Financial Protection and Innovation suspended a previously granted approval extension for the Intermex acquisition, saying it needs to reassess the transaction’s impact on operations in the state. The delay could push back closing and increase regulatory, transaction and integration risks. Western Union and Intermex Provide Update on Pending Acquisition
• Negative Sentiment: Zacks Research reduced its EPS estimates for multiple future quarters, including Q1 2027 to $0.33 from $0.36, Q2 2027 to $0.36 from $0.44, Q4 2027 to $0.46 from $0.58, and Q2 2028 to $0.40 from $0.46. Zacks retained a Strong Sell rating, reinforcing concerns about earnings momentum. Western Union Analyst Estimate Changes

About Western Union

Western Union Company NYSE: WU is a global leader in cross-border, cross-currency money movement and payments. The company enables individuals and businesses to send and receive money through a variety of channels, including its vast agent network, online platforms, and mobile applications. Core services include person-to-person money transfers, business-to-business cross-border payments, bill payment services and prepaid card programs.

Through its digital offerings, Western Union provides customers with the ability to initiate transfers via its website and mobile app, as well as track transactions in real time.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

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