Western Union (NYSE:WU – Free Report) had its price objective decreased by Royal Bank Of Canada from $9.00 to $8.00 in a report issued on Friday,Benzinga reports. Royal Bank Of Canada currently has a sector perform rating on the credit services provider’s stock.
A number of other research firms have also recently issued reports on WU. Morgan Stanley reduced their price objective on Western Union from $7.00 to $6.00 and set an “underweight” rating for the company in a research report on Friday. Susquehanna dropped their target price on Western Union from $10.00 to $8.00 and set a “neutral” rating on the stock in a research report on Friday. Monness Crespi & Hardt reaffirmed a “sell” rating and set a $6.00 price target on shares of Western Union in a research note on Friday. Citigroup reduced their price target on Western Union from $9.50 to $8.50 and set a “neutral” rating for the company in a report on Friday, July 17th. Finally, Weiss Ratings cut Western Union from a “hold (c-)” rating to a “sell (d+)” rating in a research note on Friday, June 5th. Six investment analysts have rated the stock with a Hold rating and seven have issued a Sell rating to the company’s stock. According to data from MarketBeat.com, Western Union presently has a consensus rating of “Strong Sell” and an average target price of $7.77.
Check Out Our Latest Stock Report on WU
Western Union Stock Down 17.4%
Western Union (NYSE:WU – Get Free Report) last released its earnings results on Thursday, July 30th. The credit services provider reported $0.31 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.11). Western Union had a return on equity of 50.66% and a net margin of 9.79%.The company had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $1.02 billion. During the same quarter in the previous year, the company earned $0.37 EPS. The firm’s quarterly revenue was down 1.3% compared to the same quarter last year. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. On average, research analysts predict that Western Union will post 1.74 EPS for the current fiscal year.
Western Union Dividend Announcement
The company also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th were issued a dividend of $0.235 per share. This represents a $0.94 annualized dividend and a dividend yield of 14.8%. The ex-dividend date of this dividend was Tuesday, June 16th. Western Union’s dividend payout ratio is currently 76.42%.
Institutional Inflows and Outflows
A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Capital Research Global Investors grew its position in shares of Western Union by 35.3% in the fourth quarter. Capital Research Global Investors now owns 10,407,960 shares of the credit services provider’s stock valued at $96,898,000 after purchasing an additional 2,716,385 shares during the last quarter. Vanguard Group Inc. lifted its position in shares of Western Union by 3.5% during the 4th quarter. Vanguard Group Inc. now owns 34,471,400 shares of the credit services provider’s stock worth $320,929,000 after purchasing an additional 1,171,810 shares during the last quarter. Bessemer Group Inc. lifted its position in shares of Western Union by 52.6% during the 1st quarter. Bessemer Group Inc. now owns 520,779 shares of the credit services provider’s stock worth $4,547,000 after purchasing an additional 179,423 shares during the last quarter. Hsbc Holdings PLC boosted its stake in Western Union by 221.6% during the 4th quarter. Hsbc Holdings PLC now owns 520,789 shares of the credit services provider’s stock valued at $4,851,000 after purchasing an additional 358,877 shares during the period. Finally, Fideuram Intesa Sanpaolo Private Banking S.P.A. bought a new stake in Western Union during the 4th quarter valued at approximately $3,234,000. 91.81% of the stock is currently owned by institutional investors and hedge funds.
Trending Headlines about Western Union
Here are the key news stories impacting Western Union this week:
- Positive Sentiment: Management is targeting $50 million in annualized cost reductions by year-end, while continued growth in digital services and artificial intelligence initiatives could support profitability. Consumer Services revenue increased 4% and Branded Digital revenue rose 7%, with digital transactions up 25%. Western Union targets $50 million cost reduction and guides 2026 adjusted EPS
- Neutral Sentiment: Unusually heavy options activity saw investors acquire 37,963 call options, about 764% above average volume. The activity may signal speculative interest or expectations of a rebound, but it does not necessarily indicate sustained buying demand for the stock.
- Neutral Sentiment: Western Union continues working with regulators on its planned Intermex acquisition. However, the transaction’s delay has postponed expected synergies and leaves the deal’s timing uncertain. Western Union pursues AI savings as falling migration hits revenue
- Negative Sentiment: Second-quarter adjusted EPS was $0.31, below the $0.43 analyst consensus, while revenue of approximately $1.01 billion also fell short of estimates. Revenue declined about 1% year over year, net income dropped 37%, and operating margin narrowed to 13% from 19%. Consumer Money Transfer revenue fell 2%, reflecting weakness in the Americas retail business. Western Union reports second quarter 2026 results
- Negative Sentiment: Western Union lowered its full-year 2026 adjusted EPS outlook to $1.25–$1.35, well below the roughly $1.75 consensus estimate. Revenue guidance of $4.2–$4.3 billion also indicates limited growth, increasing concerns about the company’s recovery prospects.
- Negative Sentiment: Analysts cut their price targets: Susquehanna reduced its target from $10 to $8 and RBC lowered its target from $9 to $8. Both firms retained neutral or sector-perform ratings, signaling limited conviction despite the targets remaining above the current trading level.
About Western Union
Western Union Company (NYSE: WU) is a global leader in cross-border, cross-currency money movement and payments. The company enables individuals and businesses to send and receive money through a variety of channels, including its vast agent network, online platforms, and mobile applications. Core services include person-to-person money transfers, business-to-business cross-border payments, bill payment services and prepaid card programs.
Through its digital offerings, Western Union provides customers with the ability to initiate transfers via its website and mobile app, as well as track transactions in real time.
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