TD Waterhouse Canada Inc. has reduced its holdings in Union Pacific Corporation (NYSE: UNP) by 13.8% during the second quarter of 2023, as reported in its recent 13F filing with the Securities and Exchange Commission. Following the sale of 17,809 shares, the financial institution now owns 111,648 shares of the railroad operator, valued at approximately $26.28 million.
Several other hedge funds have also adjusted their positions in Union Pacific. Pines Wealth Management LLC increased its stake by 1.7% during the same quarter, bringing its total ownership to 2,520 shares worth $595,000. Similarly, Titleist Asset Management LLC raised its holdings by 1.1%, now possessing 4,004 shares valued at $946,000.
Further movements include Five Oceans Advisors, which increased its position by 3.9% to hold 1,183 shares worth $272,000, and St. Johns Investment Management Company LLC, which lifted its holdings by 1.6% to 3,012 shares valued at $693,000. Additionally, Schubert & Co. boosted its stake by 1.9%, now owning 2,511 shares valued at $578,000. Overall, institutional investors and hedge funds own approximately 80.38% of Union Pacific’s stock.
Union Pacific’s stock opened at $220.97 on Wednesday, reflecting a market capitalization of $131.07 billion. The company maintains a price-to-earnings (PE) ratio of 18.77 and a price-to-earnings-growth (PEG) ratio of 2.27. The stock has fluctuated between a fifty-two week low of $204.66 and a high of $256.84. Key financial metrics include a debt-to-equity ratio of 1.75, a current ratio of 0.75, and a quick ratio of 0.60. The 50-day moving average stands at $224.36, while the two-hundred-day moving average is $224.79.
Union Pacific Announces Upcoming Dividend
Union Pacific has also announced a quarterly dividend, set to be paid on December 30, 2023. Shareholders of record on December 5, 2023 will receive a dividend of $1.38 per share, with an ex-dividend date also on December 5. This translates to an annualized dividend of $5.52 and a dividend yield of 2.5%. The company’s dividend payout ratio (DPR) is currently 46.90%.
Analyst Ratings and Future Outlook
Recent evaluations from equity research analysts indicate varied sentiments towards Union Pacific’s stock. Weiss Ratings reaffirmed a “hold (C+)” rating on October 8, 2023. In contrast, Jefferies Financial Group upgraded Union Pacific from “hold” to “buy” on July 25, 2023, raising its price target from $250.00 to $285.00. BMO Capital Markets reduced its target price from $277.00 to $275.00, maintaining an “outperform” rating.
Furthermore, Loop Capital shifted its rating from “sell” to “hold,” increasing its price target from $214.00 to $227.00. Lastly, TD Cowen decreased its price target from $258.00 to $257.00, while keeping a “buy” rating. Currently, one analyst has given a Strong Buy rating, while sixteen analysts have rated the stock as a Buy, and eleven have issued a Hold rating. According to data from MarketBeat, Union Pacific holds an average rating of “Moderate Buy” with a target price of $261.63.
Union Pacific Corporation, through its subsidiary, operates the Union Pacific Railroad Company in the United States, providing transportation services for a range of commodities, including agricultural products, industrial chemicals, and finished automobiles. The company’s diverse operations position it as a significant player in the railroad industry, impacting various sectors of the economy.
