Union Pacific Corporation (NYSE:UNP) Given Consensus Recommendation of "Moderate Buy" by Analysts

Key Points

• Union Pacific Corporation has received a consensus recommendation of "Moderate Buy" from analysts, with an average twelve-month price target of $258.21 based on evaluations from 27 brokerages.
• The company recently reported earnings of $3.03 per share for the last quarter, surpassing estimates and reflecting a 2.4% revenue increase year-over-year.
• Union Pacific has increased its quarterly dividend from $1.34 to $1.38, resulting in an annualized dividend yield of 2.5%.

Shares of Union Pacific Corporation (NYSE:UNP - Get Free Report) have received an average rating of "Moderate Buy" from the twenty-seven brokerages that are presently covering the company, MarketBeat.com reports. One investment analyst has rated the stock with a sell rating, eleven have issued a hold rating, fourteen have assigned a buy rating and one has issued a strong buy rating on the company. The average 12-month price objective among analysts that have issued a report on the stock in the last year is $258.2083.

UNP has been the subject of a number of analyst reports. Stifel Nicolaus cut their price target on Union Pacific from $270.00 to $248.00 and set a "buy" rating for the company in a research note on Monday, April 14th. Stephens dropped their price objective on shares of Union Pacific from $275.00 to $255.00 and set an "overweight" rating for the company in a report on Monday, April 28th. Baird R W raised shares of Union Pacific to a "hold" rating in a report on Tuesday, July 1st. BMO Capital Markets increased their price objective on shares of Union Pacific from $270.00 to $277.00 and gave the company an "outperform" rating in a report on Friday, July 25th. Finally, Citigroup downgraded shares of Union Pacific from a "strong-buy" rating to a "hold" rating and dropped their price objective for the company from $270.00 to $250.00 in a report on Wednesday, July 30th.

Union Pacific Price Performance

UNP stock traded down $0.76 during trading on Monday, reaching $218.89. The company's stock had a trading volume of 3,223,754 shares, compared to its average volume of 3,331,291. Union Pacific has a 1 year low of $204.66 and a 1 year high of $258.07. The company has a quick ratio of 0.53, a current ratio of 0.65 and a debt-to-equity ratio of 1.86. The company has a market capitalization of $129.81 billion, a P/E ratio of 19.02, a price-to-earnings-growth ratio of 2.17 and a beta of 1.05. The company's fifty day moving average is $227.10 and its 200-day moving average is $230.12.

Union Pacific (NYSE:UNP - Get Free Report) last issued its quarterly earnings results on Thursday, July 24th. The railroad operator reported $3.03 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.84 by $0.19. Union Pacific had a return on equity of 41.73% and a net margin of 28.43%. The business had revenue of $6.15 billion during the quarter, compared to analyst estimates of $6.09 billion. During the same quarter in the prior year, the business posted $2.74 EPS. Union Pacific's revenue for the quarter was up 2.4% compared to the same quarter last year. On average, research analysts expect that Union Pacific will post 11.99 earnings per share for the current fiscal year.

Union Pacific Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, September 30th. Stockholders of record on Friday, August 29th will be paid a dividend of $1.38 per share. This is a boost from Union Pacific's previous quarterly dividend of $1.34. This represents a $5.52 annualized dividend and a dividend yield of 2.5%. The ex-dividend date of this dividend is Friday, August 29th. Union Pacific's payout ratio is presently 46.57%.

Institutional Trading of Union Pacific

Institutional investors and hedge funds have recently modified their holdings of the stock. Renaissance Technologies LLC increased its holdings in Union Pacific by 112.1% during the fourth quarter. Renaissance Technologies LLC now owns 61,500 shares of the railroad operator's stock valued at $14,024,000 after buying an additional 32,500 shares during the period. CenterBook Partners LP purchased a new stake in shares of Union Pacific during the fourth quarter valued at $262,000. Sterling Capital Management LLC grew its holdings in shares of Union Pacific by 2.8% during the fourth quarter. Sterling Capital Management LLC now owns 13,889 shares of the railroad operator's stock valued at $3,167,000 after buying an additional 376 shares during the last quarter. Townsquare Capital LLC grew its holdings in shares of Union Pacific by 2.6% during the fourth quarter. Townsquare Capital LLC now owns 24,275 shares of the railroad operator's stock valued at $5,536,000 after buying an additional 615 shares during the last quarter. Finally, Sagespring Wealth Partners LLC purchased a new stake in shares of Union Pacific during the fourth quarter valued at $2,560,000. Institutional investors own 80.38% of the company's stock.

Union Pacific Company Profile

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.