Union Pacific (UNP) closed at USD 224.72 in the last trading session, a movement of + 0.52% compared to the previous day. The stock trailed the S&P 500’s daily gain of 0.75%.
Today railroad shares are down 0.62% over the past month. At the same time, the transportation sector lost 4.85% while the S&P 500 gained 2.91%.
Investors will be hoping for strength from UNP as it nears its next earnings release, which is expected on July 22, 2021. In this report, analysts expect UNP to post earnings of $ 2.38 per share. This would mean a growth of 42.51% compared to the previous year. Our latest consensus estimate is for quarterly revenue of $ 5.21 billion, up 22.67% from the same period last year.
For the full year, our Zacks Consensus Estimates suggest analysts expect earnings of $ 9.60 per share and revenue of $ 21.18 billion. These sums would mean a change of +17.22% and +8.43% respectively compared to the previous year.
Investors might also note the recent changes in analyst estimates for UNP. These most recent revisions typically reflect developments in short-term business trends. With this in mind, we can view positive valuation revisions as a sign of optimism about the company’s business outlook.
Research has shown that these estimate revisions correlate directly with short-term stock price dynamics. To take advantage of this, we developed the Zacks Rank, a proprietary model that takes these estimation changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from # 1 (Strong Buy) to # 5 (Strong Sell), has had impressive, externally audited outperformance, with # 1 stocks achieving an average annual return of + 25% since 1988 In the last 30 days, our consensus EPS forecast has increased by 0.38%. UNP currently has a Zacks rank of # 3 (Hold).
In terms of valuation, UNP is currently trading with a forward P / E of 23.3. This rating marks a premium over the industry’s average forward P / E of 23.18.
Investors should also note that UNP currently has a PEG ratio of 2.33. This popular metric is similar to the widely known P / E ratio, except that the PEG ratio also takes into account the company’s expected earnings growth rate. At yesterday’s close of trading, the transport and rail transport industry currently had an average PEG ratio of 2.33.
The transportation and rail industry is part of the transportation sector. This industry currently has a Zacks industry rank of 126, which makes it one of the top 50% of all over 250 industries.
Zacks Industry Rank measures the strength of our individual industry groups by measuring the average Zacks rank of each stock within the groups. Our research shows that the top-rated 50% of industries outperform the bottom half by a factor of 2 to 1.
Track all of these price action metrics and many more on Zacks.com.
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