Union Pacific Corporation (NYSE:UNP) Raises Dividend to $1.42 Per Share

Union Pacific Corporation (NYSE:UNP) announced a quarterly dividend on Wednesday, July 29th. Investors of record on Monday, August 31st will be given a dividend of 1.42 per share by the railroad operator on Wednesday, September 30th. This represents a c) dividend on an annualized basis and a yield of 1.9%. The ex-dividend date of this dividend is Monday, August 31st. This is a 2.9% increase from Union Pacific’s previous quarterly dividend of $1.38.

Union Pacific has raised its dividend payment by an average of 0.1%per year over the last three years and has raised its dividend every year for the last 18 years. Union Pacific has a payout ratio of 43.1% indicating that its dividend is sufficiently covered by earnings. Equities research analysts expect Union Pacific to earn $13.86 per share next year, which means the company should continue to be able to cover its $5.52 annual dividend with an expected future payout ratio of 39.8%.

Union Pacific Stock Performance

NYSE:UNP opened at $292.55 on Thursday. The firm has a market capitalization of $173.80 billion, a PE ratio of 23.69, a price-to-earnings-growth ratio of 3.01 and a beta of 0.96. The company has a quick ratio of 0.82, a current ratio of 0.99 and a debt-to-equity ratio of 1.40. Union Pacific has a 12-month low of $210.84 and a 12-month high of $315.99. The firm has a 50-day moving average price of $276.61 and a 200 day moving average price of $259.90.

Union Pacific (NYSE:UNP) last released its quarterly earnings data on Thursday, July 23rd. The railroad operator reported $3.41 earnings per share for the quarter, beating analysts’ consensus estimates of $3.26 by $0.15. Union Pacific had a return on equity of 38.46% and a net margin of 28.85%.The company had revenue of $6.86 billion for the quarter, compared to the consensus estimate of $6.72 billion. During the same period in the previous year, the business earned $3.03 earnings per share. The company’s quarterly revenue was up 11.5% on a year-over-year basis. Research analysts anticipate that Union Pacific will post 12.9 earnings per share for the current fiscal year.

Wall Street Analyst Weigh In

UNP has been the subject of several recent analyst reports. Citizens Jmp assumed coverage on Union Pacific in a research note on Wednesday, July 15th. They set an “outperform” rating and a $350.00 price objective for the company. BMO Capital Markets reiterated a “market perform” rating and set a $320.00 target price (up from $285.00) on shares of Union Pacific in a research report on Friday, July 24th. Benchmark lifted their price target on shares of Union Pacific from $325.00 to $335.00 and gave the company a “buy” rating in a report on Friday, July 24th. TD Cowen restated a “buy” rating and issued a $325.00 price target (up from $282.00) on shares of Union Pacific in a research report on Friday, July 24th. Finally, Citigroup raised their price target on Union Pacific from $326.00 to $349.00 and gave the company a “buy” rating in a report on Friday, July 24th. Two equities research analysts have rated the stock with a Strong Buy rating, thirteen have given a Buy rating and seven have issued a Hold rating to the stock. According to data from MarketBeat.com, Union Pacific currently has an average rating of “Moderate Buy” and a consensus price target of $320.89.

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.