RDST Capital LLC Has $70.75 Million Holdings in Union Pacific Corporation $UNP

RDST Capital LLC cut its holdings in Union Pacific Corporation (NYSE:UNP) by 30.6% in the first quarter, according to the company in its most recent disclosure with the SEC. The institutional investor owned 291,615 shares of the railroad operator’s stock after selling 128,480 shares during the quarter. Union Pacific accounts for approximately 6.8% of RDST Capital LLC’s investment portfolio, making the stock its largest position. RDST Capital LLC’s holdings in Union Pacific were worth $70,752,000 at the end of the most recent quarter.

A number of other hedge funds also recently bought and sold shares of UNP. Capital World Investors grew its stake in shares of Union Pacific by 92.1% in the 4th quarter. Capital World Investors now owns 20,136,349 shares of the railroad operator’s stock worth $4,658,142,000 after buying an additional 9,655,306 shares in the last quarter. Norges Bank purchased a new stake in shares of Union Pacific during the 4th quarter valued at about $1,779,907,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its holdings in shares of Union Pacific by 72.7% in the 3rd 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 acquiring an additional 3,861,636 shares during the last quarter. Capital Research Global Investors grew its position in Union Pacific by 26.0% in the fourth quarter. Capital Research Global Investors now owns 10,980,904 shares of the railroad operator’s stock worth $2,540,105,000 after acquiring an additional 2,267,708 shares in the last quarter. Finally, Baupost Group LLC MA purchased a new position in Union Pacific in the third quarter worth about $353,658,000. Hedge funds and other institutional investors own 80.38% of the company’s stock.

Key Union Pacific News

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

• Positive Sentiment: Union Pacific and Norfolk Southern submitted additional customer protections to the Surface Transportation Board (STB), including expanded gateway pricing and temporary access to competing rail service if performance deteriorates. The commitments are intended to address shipper concerns and improve the merger’s chances of regulatory approval. Union Pacific, Norfolk Southern add new customer protections as STB merger review advances
• Positive Sentiment: Canadian National reportedly will not oppose the transaction under the revised arrangement, which would give CN access to certain shipper facilities facing fewer Class I railroad options. Reduced opposition may help the regulatory review advance. Canadian National won’t fight UP-NS merger under new deal
• Positive Sentiment: Robert W. Baird raised its Union Pacific price target to $344 from $311 and maintained an “outperform” rating, citing potential upside from the company’s operating outlook. Baird raises Union Pacific price target
• Positive Sentiment: Unusual options activity and recent analyst commentary point to continued investor interest in Union Pacific’s service-led growth strategy, margin improvement potential and standalone earnings prospects.
• Neutral Sentiment: Union Pacific’s second-quarter results exceeded expectations, with earnings of $3.41 per share and revenue of $6.86 billion. Revenue increased 11.5% year over year, providing fundamental support for the stock, although valuation remains elevated at roughly 24 times earnings.
• Negative Sentiment: The merger remains subject to STB approval, and the new customer guarantees could increase execution obligations and limit some of the anticipated financial benefits. Investors are also comparing UNP’s operating growth with Norfolk Southern’s more event-driven merger valuation, contributing to near-term uncertainty. Union Pacific, Norfolk Southern file supplemental information to STB on merger

Union Pacific Stock Down 1.6%

Shares of NYSE:UNP opened at $294.48 on Wednesday. The firm has a market capitalization of $174.94 billion, a PE ratio of 23.84, a price-to-earnings-growth ratio of 3.08 and a beta of 0.96. The business has a 50 day simple moving average of $276.08 and a two-hundred day simple moving average of $259.46. Union Pacific Corporation has a 1 year low of $210.84 and a 1 year high of $315.99. The company has a debt-to-equity ratio of 1.40, a current ratio of 0.99 and a quick ratio of 0.82.

Union Pacific (NYSE:UNP) last issued its quarterly earnings results on Thursday, July 23rd. The railroad operator reported $3.41 earnings per share for the quarter, topping the consensus estimate of $3.26 by $0.15. Union Pacific had a return on equity of 38.46% and a net margin of 28.85%.The firm had revenue of $6.86 billion for the quarter, compared to the consensus estimate of $6.72 billion. During the same period in the prior year, the business posted $3.03 earnings per share. The company’s revenue for the quarter was up 11.5% on a year-over-year basis. On average, equities analysts predict that Union Pacific Corporation will post 12.84 EPS for the current year.

Union Pacific Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, June 30th. Shareholders of record on Friday, May 29th were given a $1.38 dividend. This represents a $5.52 annualized dividend and a yield of 1.9%. The ex-dividend date of this dividend was Friday, May 29th. Union Pacific’s dividend payout ratio is 44.70%.

Analyst Upgrades and Downgrades

Several brokerages have weighed in on UNP. Susquehanna boosted their price objective on Union Pacific from $305.00 to $333.00 and gave the stock a “positive” rating in a research note on Tuesday, July 14th. Citigroup raised their price objective on Union Pacific from $326.00 to $349.00 and gave the company a “buy” rating in a research note on Friday, July 24th. Wells Fargo & Company reiterated an “overweight” rating and issued a $335.00 target price (up from $315.00) on shares of Union Pacific in a report on Friday. Robert W. Baird boosted their target price on Union Pacific from $311.00 to $344.00 and gave the company an “outperform” rating in a research report on Monday. Finally, JPMorgan Chase & Co. increased their price target on Union Pacific from $304.00 to $334.00 and gave the company a “neutral” rating in a report on Friday, July 24th. Two analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and seven have issued a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $320.89.

Insider Buying and Selling

In other Union Pacific news, EVP Eric J. Gehringer sold 2,991 shares of the 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 in the company, valued at $11,353,447.52. This trade represents a 6.50% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.22% of the stock is owned by company insiders.

Union Pacific 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.