Union Pacific Corporation Is a Buy; Strong Momentum from Option Traders

 Union Pacific Corporation Is a Buy; Strong Momentum from Option Traders

In today’s session Union Pacific Corporation (UNP) registered an unusually high (565) contracts volume of call trades. Someone, most probably a professional was a very active buyer of the October, 2016 call, expecting serious UNP increase. With 565 contracts traded and 12294 open interest for the Oct, 16 contract, it seems this is a quite bullish bet. The option with symbol: UNP161021C00097500 closed last at: $1.89 or 13.3% down. About 1.11M shares traded hands. Union Pacific Corporation (NYSE:UNP) has risen 23.16% since March 3, 2016 and is uptrending. It has outperformed by 14.82% the S&P500.

Analysts await Union Pacific Corporation (NYSE:UNP) to report earnings on October, 27. They expect $1.39 earnings per share, down 7.33% or $0.11 from last year’s $1.5 per share. UNP’s profit will be $1.18B for 17.71 P/E if the $1.39 EPS becomes a reality. After $1.17 actual earnings per share reported by Union Pacific Corporation for the previous quarter, Wall Street now forecasts 18.80% EPS growth.

Union Pacific Corporation (NYSE:UNP) Ratings Coverage

Out of 21 analysts covering Union Pacific Corporation (NYSE:UNP), 13 rate it a “Buy”, 1 “Sell”, while 7 “Hold”. This means 62% are positive. Union Pacific Corporation has been the topic of 44 analyst reports since July 24, 2015 according to StockzIntelligence Inc. On Thursday, June 16 the stock rating was initiated by Oppenheimer with “Perform”. The firm has “Overweight” rating given on Friday, June 3 by Morgan Stanley. The rating was maintained by S&P Research with “Buy” on Friday, October 23. The rating was maintained by RBC Capital Markets with “Outperform” on Friday, January 22. Scotia Capital downgraded Union Pacific Corporation (NYSE:UNP) on Monday, June 20 to “Sector Perform” rating. Stephens upgraded Union Pacific Corporation (NYSE:UNP) on Tuesday, September 8 to “Overweight” rating. The firm earned “Equal-Weight” rating on Tuesday, February 23 by Morgan Stanley. Cowen & Co maintained the stock with “Outperform” rating in Thursday, January 21 report. Atlantic Securities initiated the stock with “Overweight” rating in Thursday, August 11 report. The company was maintained on Friday, January 22 by Deutsche Bank.

According to Zacks Investment Research, “Union Pacific Corp. consists of one reportable segment, rail transportation, and the company’s other product lines. The rail segment includes the operations of the corporation’s wholly owned subsidiary, Union Pacific Railroad Company and Union Pacific Railroad Company’s subsidiaries and rail affiliates. The company’s other operations include the trucking product line, as well as the other product lines that include technology, self-insurance activities, corporate holding company operations, and all appropriate consolidating entries.”

Insitutional Activity: The institutional sentiment decreased to 0.84 in Q2 2016. Its down 0.17, from 1.01 in 2016Q1. The ratio fall, as 81 funds sold all Union Pacific Corporation shares owned while 481 reduced positions. 84 funds bought stakes while 388 increased positions. They now own 620.30 million shares or 4.45% less from 649.16 million shares in 2016Q1.
Moreover, Ci Glob Inc has 1.44% invested in Union Pacific Corporation (NYSE:UNP) for 603,074 shares. The Montana-based First Interstate Natl Bank has invested 1.35% in Union Pacific Corporation (NYSE:UNP). Hartline Inv accumulated 1.02% or 32,392 shares. High Point Commercial Bank & Tru holds 0.01% of its portfolio in Union Pacific Corporation (NYSE:UNP) for 400 shares. Trb Advsr Lp last reported 15,000 shares in the company. Stonebridge Capital Advsrs Lc has invested 0.29% of its portfolio in Union Pacific Corporation (NYSE:UNP). Wunderlich Cap Managemnt last reported 16,762 shares in the company. The Massachusetts-based Appleton Prns Incorporated Ma has invested 0.31% in Union Pacific Corporation (NYSE:UNP). Quantitative Systematic Strategies Lc owns 3,122 shares or 0.13% of their US portfolio. Edinburgh Partners Ltd holds 0.01% of its portfolio in Union Pacific Corporation (NYSE:UNP) for 758 shares. Northeast Inv has 2.41% invested in the company for 274,252 shares. Palo Cap accumulated 0.32% or 10,574 shares. Bridgeway Cap Mgmt accumulated 3,170 shares or 0% of the stock. Perkins Coie Tru Comm has invested 0.92% of its portfolio in Union Pacific Corporation (NYSE:UNP). Aberdeen Asset Public Limited Co Uk has 318,699 shares for 0.1% of their US portfolio.

Insider Transactions: Since June 3, 2016, the stock had 0 insider buys, and 3 selling transactions for $1.65 million net activity. The insider KNIGHT ROBERT M JR sold 10,000 shares worth $952,415. 2,500 shares with value of $213,650 were sold by DUREN DIANE K on Friday, June 3.

Union Pacific Corporation operates through its principal operating company, Union Pacific Railroad Company. The company has a market cap of $83.62 billion. Union Pacific Railroad Company links approximately 20 states in the western two-thirds of the country by rail, providing link in the supply chain. It has a 19.19 P/E ratio. The Company’s business mix includes agricultural products, automotive, chemicals, coal, industrial products and intermodal.

UNP Company Profile

Union Pacific Corporation, incorporated on February 3, 1969, operates through its principal operating company, Union Pacific Railroad Company. Union Pacific Railroad Company links approximately 20 states in the western two-thirds of the country by rail, providing link in the supply chain. The Company’s business mix includes agricultural products, automotive, chemicals, coal, industrial products and intermodal. The Firm operates from West Coast and Gulf Coast ports to eastern gateways, connects with Canada’s rail systems and serves approximately six Mexico gateways. The Firm is a Class I railroad operating in the United States. The Company’s network includes approximately 32,080 route miles, linking Pacific Coast and Gulf Coast ports with the Midwest and Eastern United States gateways and providing several corridors to Mexican gateways. It owns approximately 26,060 miles and operates on the remainder pursuant to trackage rights or leases. It serves the western two-thirds of the country and maintains coordinated schedules with other rail carriers for the handling of freight to and from the Atlantic Coast, the Pacific Coast, the Southeast, the Southwest, Canada and Mexico. Export and import traffic is moved through Gulf Coast and Pacific Coast ports and across the Mexican and Canadian borders.

More recent Union Pacific Corporation (NYSE:UNP) news were published by: Prnewswire.com which released: “Union Pacific Corporation Invites You to Join Its Third Quarter 2016 Earnings …” on September 22, 2016. Also Seekingalpha.com published the news titled: “Why Union Pacific Is Set To Go Lower” on September 27, 2016. Finance.Yahoo.com‘s news article titled: “Union Pacific Corporation Announces Results to Date of Exchange Offers and …” with publication date: September 16, 2016 was also an interesting one.

Receive News & Ratings Via Email - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings with our FREE daily email newsletter.

Tags: , ,

Related posts

Leave a Comment