Western Union’s (WU) “Underweight” Rating Reiterated at Cantor Fitzgerald

Cantor Fitzgerald reissued their underweight rating on shares of Western Union (NYSE:WU) in a research report report published on Monday,Benzinga reports. They currently have a $6.00 price target on the credit services provider’s stock.

A number of other research analysts have also recently issued reports on the company. Wolfe Research reaffirmed an “underperform” rating and issued a $8.00 price target on shares of Western Union in a report on Friday, July 31st. Weiss Ratings lowered shares of Western Union from a “hold (c-)” rating to a “sell (d+)” rating in a report on Thursday, October 8th. Citigroup reissued a “neutral” rating on shares of Western Union in a report on Thursday, September 24th. New Street Research restated a “reduce” rating on shares of Western Union in a research report on Thursday, August 13th. Finally, Morgan Stanley dropped their target price on shares of Western Union from $7.00 to $6.00 and set an “underweight” rating for the company in a research note on Friday, July 31st. Seven research analysts have rated the stock with a Hold rating and seven have issued a Sell rating to the company’s stock. According to MarketBeat.com, Western Union has an average rating of “Reduce” and a consensus target price of $6.95.

Western Union Stock Down 3.2%

NYSE WU opened at $6.72 on Monday. The firm has a market cap of $2.10 billion, a PE ratio of 4.85 and a beta of 0.56. Western Union has a one year low of $5.87 and a one year high of $10.35. The stock’s 50 day simple moving average is $6.41 and its 200 day simple moving average is $7.97. The company has a debt-to-equity ratio of 3.24, a current ratio of 1.16 and a quick ratio of 1.16.

Western Union (NYSE:WU) last released its quarterly earnings results on Wednesday, November 4th. The credit services provider reported $0.42 earnings per share for the quarter, beating analysts’ consensus estimates of $0.34 by $0.08. The firm had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $1.02 billion. Western Union had a return on equity of 49.12% and a net margin of 8.32%. The business’s revenue was down 2.3% on a year-over-year basis. During the same period last year, the firm posted $0.47 EPS. As a group, sell-side analysts forecast that Western Union will post 1.31 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Western Union

A number of institutional investors and hedge funds have recently made changes to their positions in the company. Bank of America Corp DE increased its position in Western Union by 43.5% in the first quarter. Bank of America Corp DE now owns 3,838,382 shares of the credit services provider’s stock worth $33,509,000 after purchasing an additional 1,163,577 shares during the period. BlackRock Inc. bought a new stake in Western Union during the 2nd quarter worth about $241,806,000. Bessemer Group Inc. lifted its position in Western Union by 52.6% during the 1st quarter. Bessemer Group Inc. now owns 520,779 shares of the credit services provider’s stock valued at $4,547,000 after purchasing an additional 179,423 shares during the period. Connor Clark & Lunn Investment Management Ltd. acquired a new position in Western Union during the 2nd quarter valued at about $11,248,000. Finally, Engineers Gate Manager LP lifted its position in Western Union by 467.6% during 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 purchasing an additional 1,400,369 shares during the period. Institutional investors own 91.81% of the company’s stock.

Trending Headlines about Western Union

These are some of the WU headlines that stood out recently:

• Neutral Sentiment: Ending the transaction avoids proceeding under California’s conditional approval requirements, which Western Union said were unacceptable and could affect its business model, agent relationships and long-term strategy. However, the company also loses the acquisition’s potential scale and growth benefits. Western Union termination announcement
• Negative Sentiment: California’s Department of Financial Protection and Innovation granted conditional approval, but the required conditions reportedly prompted the termination. The regulatory obstacle leaves WU without the planned acquisition and raises uncertainty about its ability to expand through this deal. Zacks article on the terminated deal
• Negative Sentiment: Intermex rejects WU’s termination notice, says it has met its obligations and is demanding that the merger proceed. It has reserved the right to seek specific performance and substantial damages, creating potential litigation costs and financial exposure for WU. Reuters report on Intermex’s response

Western Union Company Profile

Western Union is a global payments company that provides cross-border, cross-currency money transfers and other financial services. Customers can send and receive money through the company’s digital platforms and its network of agent locations, as well as use services such as bill payments where available. The company also offers payment and foreign-exchange solutions to businesses and organizations. Its services reach customers in more than 200 countries and territories, combining online and mobile options with in-person access through local agents.