Analysts are weighing in on how Union Pacific Corporation (NYSE:UNP), might perform in the near term. Wall Street analysts have a much less favorable assessment of the stock, with a mean rating of 2.2. The stock is rated as buy by 11 analysts, with 9 outperform and 7 hold rating. The rating score is on a scale of 1 to 5 where 1 stands for strong buy and 5 stands for strong sell.
For the current quarter, the 25.00 analysts offering adjusted EPS forecast have a consensus estimate of $1.19 a share, which would compare with $1.38 in the same quarter last year. They have a high estimate of $1.29 and a low estimate of $1.13. Revenue for the period is expected to total nearly $4.80B from $5.43B the year-ago period.
For the full year, 30.00 Wall Street analysts forecast this company would deliver earnings of 5.14 per share, with a high estimate of $5.40 and a low estimate of $4.80. It had reported earnings per share of $5.49 in the corresponding quarter of the previous year. Revenue for the period is expected to total nearly $19.94B versus 21.81B in the preceding year.
The analysts project the company to maintain annual growth of around 7.77% percent over the next five years as compared to an average growth rate of 7.91% percent expected for its competitors in the same industry.
Among the 25 analysts Data provided by Thomson/First Call tracks, the 12-month average price target for UNP is $91.00 but some analysts are projecting the price to go as high as $100.00. If the optimistic analysts are correct, that represents a 13 percent upside potential from the recent closing price of $88.54. Some sell-side analysts, particularly the bearish ones, have called for $55.00 price targets on shares of Union Pacific Corporation (NYSE:UNP).
In the last reported results, the company reported earnings of $1.38 per share, while analysts were calling for share earnings of $1.35. It was an earnings surprise of 2.20%percent. In the matter of earnings surprises, the term Cockroach Effect is often implied. Cockroach Effect is a market theory that suggests that when a company reveals bad news to the public, there may be many more related negative events that have yet to be revealed. In the case of earnings surprises, if a company is suggesting a negative earnings surprise it means there are more to come.
Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates railroads in the United States. It offers freight transportation services for agricultural products, including grains, commodities produced from grains, and food and beverage products; automotive products, such as finished vehicles and automotive parts; and chemicals comprising industrial chemicals, plastics, fertilizers, petroleum and liquid petroleum gases, crude oil, and soda ash. The company also provides transportation services for coal and petroleum coke; industrial products consisting of construction products, minerals, consumer goods, metals, lumber, paper, and other miscellaneous products; and intermodal import and export containers and trailers. Union Pacific Corporations rail network includes 32,084 route miles linking the Pacific Coast and Gulf Coast ports with the Midwest and eastern United States gateways. The company was founded in 1862 and is headquartered in Omaha, Nebraska.