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

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Key Points

  • Analysts maintain a “Moderate Buy” consensus on Union Pacific, with 13 buy, two strong-buy and seven hold ratings. The average 12-month price target is approximately $319.16, while several firms recently raised their targets.
  • Union Pacific exceeded quarterly expectations, reporting $3.41 in EPS and $6.86 billion in revenue, up 11.5% year over year. Shares opened at $307.54, near their 52-week high of $315.99.
  • The company pays a quarterly dividend of $1.38 per share, equivalent to $5.52 annually and a 1.8% yield, with a 44.7% payout ratio.
  • Five stocks to consider instead of Union Pacific.

Shares of Union Pacific Corporation (NYSE:UNP - Get Free Report) have received a consensus rating of "Moderate Buy" from the twenty-two analysts that are presently covering the company, Marketbeat Ratings reports. Seven research analysts have rated the stock with a hold rating, thirteen have given a buy rating and two have given a strong buy rating to the company. The average 12 month target price among brokers that have issued ratings on the stock in the last year is $319.1579.

A number of analysts have commented on UNP shares. Citigroup upped their price target on shares of Union Pacific from $326.00 to $349.00 and gave the company a "buy" rating in a research report on Friday. Benchmark boosted their price objective on Union Pacific from $325.00 to $335.00 and gave the company a "buy" rating in a research note on Friday. Weiss Ratings upgraded Union Pacific from a "buy (b-)" rating to a "buy (b)" rating in a research report on Friday. UBS Group reaffirmed a "neutral" rating and set a $310.00 target price on shares of Union Pacific in a research note on Friday. Finally, Raymond James Financial reiterated a "strong-buy" rating on shares of Union Pacific in a report on Monday, July 13th.

Check Out Our Latest Report on UNP

Union Pacific Trading Up 0.1%

NYSE:UNP opened at $307.54 on Monday. Union Pacific has a 52 week low of $210.84 and a 52 week high of $315.99. The company has a debt-to-equity ratio of 1.40, a quick ratio of 0.82 and a current ratio of 0.99. The firm's fifty day moving average is $275.12 and its 200-day moving average is $258.50. The firm has a market cap of $182.70 billion, a P/E ratio of 24.90, a P/E/G ratio of 3.16 and a beta of 0.96.

Union Pacific (NYSE:UNP - Get Free Report) last announced its earnings results on Thursday, July 23rd. The railroad operator reported $3.41 earnings per share for the quarter, topping analysts' consensus estimates of $3.26 by $0.15. The business had revenue of $6.86 billion during the quarter, compared to the consensus estimate of $6.72 billion. Union Pacific had a net margin of 28.85% and a return on equity of 38.46%. Union Pacific's quarterly revenue was up 11.5% on a year-over-year basis. During the same quarter last year, the firm earned $3.03 earnings per share. Equities analysts expect that Union Pacific will post 12.84 earnings per share for the current year.

Union Pacific Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Stockholders of record on Friday, May 29th were given a dividend of $1.38 per share. The ex-dividend date of this dividend was Friday, May 29th. This represents a $5.52 annualized dividend and a dividend yield of 1.8%. Union Pacific's dividend payout ratio (DPR) is 44.70%.

Key Headlines Impacting Union Pacific

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

  • Positive Sentiment: Union Pacific reported better-than-expected Q2 results, with adjusted EPS of $3.41 and revenue of $6.86 billion, both ahead of Wall Street estimates, reinforcing confidence in operating momentum and pricing power.
  • Positive Sentiment: Analysts turned more constructive after the earnings beat, with Citigroup, JPMorgan, Benchmark, and Bank of America all raising price targets, suggesting expectations for further upside in the stock.
  • Positive Sentiment: Union Pacific and Canadian National reached a binding access agreement tied to the proposed Norfolk Southern merger, easing competition concerns and improving the odds of regulatory approval while also giving UNP better Chicago routing efficiency and expanded corridor access. Article Title
  • Neutral Sentiment: The broader news flow also highlighted that the merger and access agreement may reshape North American rail traffic patterns, but the deal still depends on Surface Transportation Board approval and final closing.
  • Neutral Sentiment: Several articles noted Union Pacific’s record freight revenue and improved efficiency, which supports the bullish case but is already partly reflected in the recent rally.

Insider Buying and Selling at Union Pacific

In other news, EVP Eric J. Gehringer sold 2,991 shares of Union Pacific stock in a transaction on Wednesday, June 3rd. The shares were sold at an average price of $263.96, for a total value of $789,504.36. Following the completion of the sale, the executive vice president owned 43,012 shares in the company, valued at $11,353,447.52. The trade was a 6.50% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. 0.22% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Union Pacific

A number of large investors have recently bought and sold shares of UNP. Rachor Investment Advisory Services LLC bought a new stake in Union Pacific in the fourth quarter valued at $25,000. Tucker Asset Management LLC acquired a new stake in shares of Union Pacific in the 4th quarter valued at about $25,000. SWAN Capital LLC grew its stake in shares of Union Pacific by 2,575.0% in the 4th quarter. SWAN Capital LLC now owns 107 shares of the railroad operator's stock valued at $25,000 after buying an additional 103 shares during the period. High Point Wealth Management LLC acquired a new stake in shares of Union Pacific in the 4th quarter valued at about $26,000. Finally, Cornerstone Financial Management LLC bought a new stake in Union Pacific in the 4th quarter valued at about $27,000. 80.38% of the stock is currently owned by institutional investors and hedge funds.

Union Pacific Company Profile

(Get Free Report)

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.

Further Reading

Analyst Recommendations for Union Pacific (NYSE:UNP)

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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