/Union%20Pacific%20Corp_%20logo%20on%20side%20of%20train%20car-by%20Joseph%20Creamer%20via%20Shutterstock.jpg)
Union Pacific Corporation (UNP), headquartered in Omaha, Nebraska, is a leading transportation company and one of the largest freight railroads in North America. With a market cap of $147.84 billion, Union Pacific provides efficient rail-based transportation solutions across various industries, serving businesses and supply chains throughout the U.S. and beyond. The company is scheduled to release its Q3 earnings before the market opens on Thursday, Oct. 24.
Ahead of the event, analysts expect UNP to report a profit of $2.75 per share, up 9.6% from $2.51 in the year-ago quarter. The company has consistently beat Wall Street's earnings estimates in the last four quarters.
Its adjusted earnings of $2.74 per share for the last quarter surpassed the consensus estimate by 1.5%. Union Pacific's earnings beat was fueled by operational efficiency and favorable pricing.
For fiscal 2024, analysts expect UNP to report EPS of $11.06, up 5.8% from $10.45 in fiscal 2023.
UNP stock is down 1.4% on a YTD basis, significantly underperforming the broader S&P 500 Index's ($SPX) 21.9% gains and the iShares Transportation Average ETF’s (IYT) 8.2% returns over the same time frame.
Union Pacific stock dipped marginally on Jul. 25 after the company reported Q2 revenue, which fell short of analyst forecasts. But UNP rebounded 2.1% the following day as investors reacted positively to the stronger-than-expected profit, driven by robust pricing power and increased volumes.
The consensus opinion on UNP stock is moderately optimistic, with an overall “Moderate Buy” rating. Of the 25 analysts covering the stock, 14 advise a “Strong Buy” rating, one suggests a “Moderate Buy,” and 10 suggest a “Hold.” UNP's average analyst price target is $262.96, indicating a potential upside of 8.5% from the current levels.
On the date of publication, Rashmi Kumari did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
