Raymond James Financial Forecasts Strong Price Appreciation for Union Pacific (NYSE:UNP) Stock

Key Points

• Raymond James Financial raised its price target on Union Pacific from $310 to $363 and kept a strong-buy rating, implying about 25.6% upside from the current price.
• Union Pacific’s latest earnings beat expectations, with EPS of $2.93 versus estimates of $2.86 and revenue of $6.22 billion versus expectations of $6.12 billion. Revenue also rose 3.2% year over year.
• The stock was trading around $289.07, near its 52-week high, while broader analyst sentiment remains positive with a Moderate Buy consensus and an average target price of $293.33.

Union Pacific (NYSE:UNP - Get Free Report) had its price target upped by equities research analysts at Raymond James Financial from $310.00 to $363.00 in a research note issued to investors on Monday,Benzinga reports. The brokerage currently has a "strong-buy" rating on the railroad operator's stock. Raymond James Financial's target price would suggest a potential upside of 25.57% from the company's current price.

Several other analysts also recently weighed in on the company. Barclays reiterated an "overweight" rating and set a $315.00 target price (up from $285.00) on shares of Union Pacific in a research report on Friday, April 24th. BMO Capital Markets reiterated a "market perform" rating and set a $285.00 price objective (up from $278.00) on shares of Union Pacific in a report on Friday, April 24th. Citigroup reissued a "buy" rating and issued a $326.00 price objective (up from $307.00) on shares of Union Pacific in a research report on Thursday. Royal Bank Of Canada restated an "outperform" rating and issued a $289.00 target price (up from $273.00) on shares of Union Pacific in a research note on Friday, April 24th. Finally, JPMorgan Chase & Co. raised their target price on shares of Union Pacific from $275.00 to $304.00 and gave the stock a "neutral" rating in a research report on Friday. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have issued a Hold rating to the company's stock. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and a consensus target price of $293.33.

Union Pacific Trading Up 0.7%

Shares of NYSE UNP traded up $2.11 during midday trading on Monday, hitting $289.07. The company's stock had a trading volume of 205,751 shares, compared to its average volume of 3,125,292. The company has a current ratio of 0.92, a quick ratio of 0.73 and a debt-to-equity ratio of 1.53. The business's 50 day moving average is $269.23 and its two-hundred day moving average is $254.07. Union Pacific has a 12-month low of $210.84 and a 12-month high of $289.87. The firm has a market cap of $171.63 billion, a P/E ratio of 23.85, a price-to-earnings-growth ratio of 3.02 and a beta of 0.96.

Union Pacific (NYSE:UNP - Get Free Report) last posted its quarterly earnings data on Thursday, April 23rd. The railroad operator reported $2.93 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.86 by $0.07. The company had revenue of $6.22 billion during the quarter, compared to analysts' expectations of $6.12 billion. Union Pacific had a return on equity of 39.58% and a net margin of 29.20%.Union Pacific's revenue was up 3.2% compared to the same quarter last year. During the same quarter in the previous year, the business earned $2.70 EPS. As a group, equities research analysts expect that Union Pacific will post 12.56 EPS for the current year.

Insider Activity at Union Pacific

In related news, EVP Kenyatta G. Rocker sold 27,387 shares of the company's stock in a transaction on Friday, April 24th. The stock was sold at an average price of $271.76, for a total value of $7,442,691.12. Following the transaction, the executive vice president directly owned 61,102 shares of the company's stock, valued at $16,605,079.52. This represents a 30.95% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CFO Jennifer L. Hamann sold 2,000 shares of the stock in a transaction dated Friday, April 24th. The shares were sold at an average price of $274.70, for a total value of $549,400.00. Following the completion of the transaction, the chief financial officer directly owned 114,642 shares in the company, valued at $31,492,157.40. This represents a 1.71% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold 32,378 shares of company stock valued at $8,781,595 in the last ninety days. Corporate insiders own 0.22% of the company's stock.

Institutional Trading of Union Pacific

Several large investors have recently made changes to their positions in the business. Capital World Investors boosted its position in Union Pacific by 92.1% during 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 acquired a new position in shares of Union Pacific during the 4th quarter worth approximately $1,779,907,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Union Pacific by 72.7% during the 3rd 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 worth $2,169,168,000 after buying an additional 3,861,636 shares during the period. Capital Research Global Investors lifted its position in shares of Union Pacific by 26.0% during the 4th 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 increased its holdings in Union Pacific by 16.8% in the 1st quarter. Bank of America Corp DE now owns 14,463,071 shares of the railroad operator's stock worth $3,509,030,000 after acquiring an additional 2,084,808 shares in the last quarter. 80.38% of the stock is owned by hedge funds and other institutional investors.

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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