Zacks Research Expects Stronger Earnings for Western Union

The Western Union Company (NYSE:WU) – Analysts at Zacks Research lifted their Q3 2026 earnings estimates for shares of Western Union in a research note issued on Monday, October 5th. Zacks Research analyst Team now forecasts that the credit services provider will post earnings per share of $0.35 for the quarter, up from their prior forecast of $0.34. Zacks Research currently has a “Hold” rating on the stock. The consensus estimate for Western Union’s current full-year earnings is $1.29 per share. Zacks Research also issued estimates for Western Union’s Q1 2027 earnings at $0.34 EPS, Q2 2027 earnings at $0.37 EPS, FY2027 earnings at $1.54 EPS, Q2 2028 earnings at $0.41 EPS and FY2028 earnings at $1.64 EPS.

Western Union (NYSE:WU) last issued 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). The company had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $1.02 billion. Western Union had a net margin of 9.79% and a return on equity of 50.89%. The company’s quarterly revenue was down 1.3% on a year-over-year basis. During the same period last year, the business posted $0.37 earnings per share. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS.

Other equities analysts also recently issued research reports about the company. Citigroup reissued a “neutral” rating on shares of Western Union in a research report on Thursday, September 24th. Morgan Stanley dropped their price objective on Western Union from $7.00 to $6.00 and set an “underweight” rating for the company in a report on Friday, July 31st. Barclays cut their price target on shares of Western Union from $7.00 to $6.00 and set an “underweight” rating on the stock in a report on Friday, July 31st. Susquehanna reduced their price objective on Western Union from $10.00 to $8.00 and set a “neutral” rating on the stock in a research note on Friday, July 31st. Finally, Royal Bank Of Canada reaffirmed a “sector perform” rating and set a $8.00 price target on shares of Western Union in a report on Friday, October 2nd. Seven analysts have rated the stock with a Hold rating and seven have assigned a Sell rating to the stock. Based on data from MarketBeat, the stock currently has a consensus rating of “Reduce” and a consensus target price of $7.36.

Western Union Trading Down 0.4%

NYSE:WU opened at $6.11 on Thursday. The company has a market capitalization of $1.91 billion, a PE ratio of 4.97 and a beta of 0.51. Western Union has a 52-week low of $5.87 and a 52-week high of $10.35. The stock has a fifty day simple moving average of $6.83 and a 200-day simple moving average of $7.82. The company has a quick ratio of 1.12, a current ratio of 1.12 and a debt-to-equity ratio of 2.95.

Hedge Funds Weigh In On Western Union

A number of hedge funds have recently modified their holdings of WU. Miramontes Capital LLC grew its stake in Western Union by 99.8% in the second quarter. Miramontes Capital LLC now owns 95,436 shares of the credit services provider’s stock valued at $735,000 after purchasing an additional 47,667 shares in the last quarter. Engineers Gate Manager LP grew its stake in Western Union by 467.6% in the 2nd quarter. Engineers Gate Manager LP now owns 1,699,841 shares of the credit services provider’s stock valued at $13,089,000 after buying an additional 1,400,369 shares during the last quarter. Nykredit A S acquired a new position in shares of Western Union during the 2nd quarter worth about $51,000. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new position in Western Union during the second quarter worth $977,000. Finally, AlphaGrep UK Ltd acquired a new stake in Western Union in the 2nd quarter worth $104,000. 91.81% of the stock is owned by institutional investors and hedge funds.

Western Union Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Wednesday, September 30th. Stockholders of record on Wednesday, September 16th were given a $0.2350 dividend. This represents a $0.94 dividend on an annualized basis and a dividend yield of 15.4%. The ex-dividend date of this dividend was Wednesday, September 16th. Western Union’s dividend payout ratio is 76.42%.

Western Union News Summary

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

• Positive Sentiment: Publix partnership renewed: Western Union and Publix extended their more than two-decade relationship, preserving access to money transfers, money orders and bill-payment services at Publix locations across the Southeast. The agreement supports WU’s retail distribution network and customer reach. Western Union and Publix Extend Relationship to Serve Growing Communities Across the Southeast
• Positive Sentiment: Higher earnings forecasts: Zacks Research raised its estimates for Western Union’s third-quarter 2026 EPS to $0.35 from $0.34, first- and second-quarter 2027 EPS to $0.34 and $0.37, respectively, and full-year 2027 EPS to $1.54 from $1.53. Its full-year 2028 forecast also increased to $1.64 from $1.63. The revisions suggest slightly improved expectations, although the changes are small.
• Neutral Sentiment: Zacks maintained a “Hold” rating on WU. Its current-year consensus EPS estimate remains $1.29, indicating analysts see limited near-term catalysts despite the incremental forecast increases.
• Negative Sentiment: Dividend sustainability concerns: A 247WallSt. report examining companies whose dividends may exceed their earnings could weigh on income-focused investors’ sentiment toward Western Union. Such concerns are particularly relevant given WU’s high payout expectations and weaker recent earnings performance. When Dividends Cost More Than Earnings: 6 Stocks in Danger

Western Union Company Profile

Western Union Company (NYSE: WU) is a global provider of money movement and payment services. The company enables consumers and businesses to send and receive money through digital platforms, retail locations and account-based services. Its offerings include domestic and international money transfers, bill payments, money orders and related payment solutions.

Western Union serves customers across a broad international network spanning more than 200 countries and territories. Consumers can access its services through the Western Union website and mobile application, as well as through a network of agent locations and other retail partners.