Union Pacific (NYSE:UNP) Sets New 12-Month High – Should You Buy?

Union Pacific Corporation (NYSE:UNP)’s share price hit a new 52-week high during mid-day trading on Thursday . The company traded as high as $282.19 and last traded at $280.9050, with a volume of 132589 shares. The stock had previously closed at $277.73.

Key Stories Impacting Union Pacific

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

• Positive Sentiment: Union Pacific is drawing attention after a stake change, which can signal renewed investor interest and sometimes sparks buying. Union Pacific (NYSE:UNP) Draws Attention After Stake Change
• Positive Sentiment: Shares are being helped by commentary that rail momentum is building and UNP is hitting fresh highs, reinforcing a bullish technical and industry backdrop. Union Pacific (NYSE:UNP) Hits Fresh High As Rail Momentum Builds
• Positive Sentiment: Analyst and preview pieces suggest Union Pacific could post another earnings beat, with expectations for single-digit bottom-line growth and favorable freight trends. Union Pacific’s Quarterly Earnings Preview: What You Need to Know
• Positive Sentiment: Brokerage coverage remains constructive, with Union Pacific still carrying a consensus “Moderate Buy” rating. Union Pacific Corporation (NYSE:UNP) Given Consensus Rating of “Moderate Buy” by Brokerages
• Neutral Sentiment: Some coverage notes that rising intermodal volumes are affecting major railroads, but the article frames the trend as an industry-wide dynamic rather than a company-specific catalyst. Rising intermodal volume slows big four U.S. rail systems
• Negative Sentiment: A class action was certified against Union Pacific over alleged dumping of carcinogenic chemicals in Wichita neighborhoods, adding legal and reputational risk that could weigh on the stock. Lanier Law Firm: Class Action Certified Against Union Pacific for Dumping Carcinogenic Chemicals in Historically Black Wichita Neighborhoods

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Evercore restated an “outperform” rating and issued a $294.00 price target on shares of Union Pacific in a research note on Thursday, June 25th. UBS Group reissued a “neutral” rating and issued a $274.00 price objective (up from $253.00) on shares of Union Pacific in a research report on Friday, April 24th. Benchmark raised their target price on shares of Union Pacific from $275.00 to $300.00 and gave the stock a “buy” rating in a research note on Friday, April 24th. Royal Bank Of Canada reaffirmed an “outperform” rating and set a $289.00 target price (up from $273.00) on shares of Union Pacific in a report on Friday, April 24th. Finally, JPMorgan Chase & Co. upped their price target on shares of Union Pacific from $267.00 to $275.00 and gave the company a “neutral” rating in a research note on Friday, April 24th. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $283.11.

Union Pacific Price Performance

The firm has a market cap of $167.73 billion, a P/E ratio of 23.27, a PEG ratio of 2.97 and a beta of 0.96. The company has a debt-to-equity ratio of 1.53, a current ratio of 0.92 and a quick ratio of 0.73. The company’s 50-day moving average is $267.68 and its two-hundred day moving average is $252.28.

Union Pacific (NYSE:UNP) last released its earnings results on Thursday, April 23rd. The railroad operator reported $2.93 EPS for the quarter, beating the consensus estimate of $2.86 by $0.07. Union Pacific had a net margin of 29.20% and a return on equity of 39.58%. The firm had revenue of $6.22 billion for the quarter, compared to analyst estimates of $6.12 billion. During the same period last year, the firm earned $2.70 EPS. The business’s quarterly revenue was up 3.2% compared to the same quarter last year. Sell-side analysts anticipate that Union Pacific Corporation will post 12.55 EPS for the current fiscal year.

Union Pacific Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Friday, May 29th were paid a $1.38 dividend. This represents a $5.52 dividend on an annualized basis and a yield of 2.0%. The ex-dividend date of this dividend was Friday, May 29th. Union Pacific’s dividend payout ratio (DPR) is 45.47%.

Insider Buying and Selling at Union Pacific

In other Union Pacific 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 transaction of $7,442,691.12. Following the completion of the sale, the executive vice president directly owned 61,102 shares in the company, valued at $16,605,079.52. This represents a 30.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Eric J. Gehringer sold 2,991 shares of the company’s stock in a transaction on Wednesday, June 3rd. The stock was sold at an average price of $263.96, for a total value of $789,504.36. Following the sale, the executive vice president owned 43,012 shares of the company’s stock, valued at $11,353,447.52. The trade was a 6.50% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 32,378 shares of company stock worth $8,781,595 over the last three months. Corporate insiders own 0.22% of the company’s stock.

Institutional Trading of Union Pacific

Institutional investors and hedge funds have recently modified their holdings of the business. Rachor Investment Advisory Services LLC acquired a new position in Union Pacific during the fourth quarter worth about $25,000. Tucker Asset Management LLC bought a new stake in shares of Union Pacific during the 4th quarter valued at approximately $25,000. SWAN Capital LLC grew its holdings in shares of Union Pacific by 2,575.0% during the 4th quarter. SWAN Capital LLC now owns 107 shares of the railroad operator’s stock valued at $25,000 after purchasing an additional 103 shares during the last quarter. High Point Wealth Management LLC bought a new stake in shares of Union Pacific during the 4th quarter valued at approximately $26,000. Finally, Saranac Partners Ltd acquired a new position in Union Pacific during the 3rd quarter worth approximately $27,000. 80.38% of the stock is currently owned by institutional investors.

About Union Pacific

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.