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

Key Points

• Analyst sentiment is positive on Union Pacific, with 22 analysts giving it an average rating of “Moderate Buy.” The consensus price target is $279.55, above the recent trading price.
• Recent earnings topped expectations, as Union Pacific reported $2.93 EPS versus $2.86 expected and revenue of $6.22 billion versus $6.12 billion projected. Quarterly revenue rose 3.2% year over year.
• Insider selling and heavy institutional ownership were also notable, including recent sales by the CFO and EVP. Institutions own 80.38% of the stock, underscoring strong interest from large investors.

Shares of Union Pacific Corporation (NYSE:UNP - Get Free Report) have earned an average recommendation of "Moderate Buy" from the twenty-two analysts that are presently covering the company, MarketBeat Ratings reports. Eight investment analysts have rated the stock with a hold recommendation, thirteen have issued a buy recommendation and one has issued a strong buy recommendation on the company. The average 1-year target price among brokers that have issued ratings on the stock in the last year is $279.55.

Several research analysts have issued reports on UNP shares. UBS Group restated a "neutral" rating and set a $274.00 price target (up from $253.00) on shares of Union Pacific in a report on Friday, April 24th. Barclays reaffirmed an "overweight" rating and issued a $315.00 price objective (up from $285.00) on shares of Union Pacific in a research note on Friday, April 24th. Wells Fargo & Company reissued an "overweight" rating and set a $300.00 target price (up from $260.00) on shares of Union Pacific in a research note on Friday, April 24th. Weiss Ratings upgraded shares of Union Pacific from a "buy (b-)" rating to a "buy (b)" rating in a report on Tuesday, April 21st. Finally, Raymond James Financial set a $310.00 price target on shares of Union Pacific in a research report on Friday, April 24th.

Union Pacific Trading Up 1.0%

Shares of UNP stock opened at $265.98 on Wednesday. The stock has a market cap of $157.91 billion, a price-to-earnings ratio of 21.91, a PEG ratio of 2.80 and a beta of 0.99. The stock has a 50-day moving average of $252.19 and a 200-day moving average of $241.18. The company has a current ratio of 0.92, a quick ratio of 0.73 and a debt-to-equity ratio of 1.53. Union Pacific has a 1-year low of $210.84 and a 1-year high of $274.79.

Union Pacific (NYSE:UNP - Get Free Report) last posted its quarterly earnings data on Thursday, April 23rd. The railroad operator reported $2.93 EPS for the quarter, topping analysts' consensus estimates of $2.86 by $0.07. Union Pacific had a return on equity of 39.58% and a net margin of 29.20%.The company had revenue of $6.22 billion for the quarter, compared to analyst estimates of $6.12 billion. During the same period in the previous year, the firm earned $2.70 earnings per share. The firm's quarterly revenue was up 3.2% on a year-over-year basis. On average, equities research analysts forecast that Union Pacific will post 12.53 earnings per share for the current year.

Insider Activity

In related news, EVP Eric J. Gehringer sold 1,999 shares of the firm's stock in a transaction that occurred on Friday, March 20th. The stock was sold at an average price of $234.93, for a total transaction of $469,625.07. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CFO Jennifer L. Hamann sold 2,000 shares of Union Pacific stock in a transaction that occurred on Friday, April 24th. The stock was sold at an average price of $274.70, for a total value of $549,400.00. Following the completion of the sale, the chief financial officer owned 114,642 shares of the company's stock, valued at approximately $31,492,157.40. The trade was a 1.71% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 31,386 shares of company stock valued at $8,461,716 in the last ninety days. 0.22% of the stock is owned by company insiders.

Hedge Funds Weigh In On Union Pacific

A number of institutional investors and hedge funds have recently modified their holdings of the business. Capital World Investors lifted its position in shares of Union Pacific by 92.1% during the 4th quarter. Capital World Investors now owns 20,136,349 shares of the railroad operator's stock valued at $4,658,142,000 after acquiring an additional 9,655,306 shares during the period. Norges Bank bought a new stake in Union Pacific in the fourth quarter valued at $1,779,907,000. Capital Research Global Investors increased its stake in Union Pacific by 95.0% in the third quarter. Capital Research Global Investors now owns 8,713,196 shares of the railroad operator's stock valued at $2,059,538,000 after purchasing an additional 4,244,226 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its holdings in shares of Union Pacific by 72.7% during the third 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 valued at $2,169,168,000 after purchasing an additional 3,861,636 shares during the period. Finally, EdgePoint Investment Group Inc. bought a new position in shares of Union Pacific during the 3rd quarter worth about $408,592,000. 80.38% of the stock is currently owned by 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.

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.