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Union Pacific (UNP) Gains But Lags Market: What You Should Know
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Union Pacific (UNP - Free Report) closed at $208.66 in the latest trading session, marking a +1.54% move from the prior day. The stock lagged the S&P 500's daily gain of 1.89%. At the same time, the Dow added 1%, and the tech-heavy Nasdaq gained 10%.
Coming into today, shares of the railroad had lost 1.51% in the past month. In that same time, the Transportation sector gained 3.2%, while the S&P 500 gained 2.3%.
Union Pacific will be looking to display strength as it nears its next earnings release, which is expected to be January 24, 2023. On that day, Union Pacific is projected to report earnings of $2.75 per share, which would represent year-over-year growth of 3.38%. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 8.54% from the year-ago period.
Any recent changes to analyst estimates for Union Pacific should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.39% higher within the past month. Union Pacific is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Union Pacific has a Forward P/E ratio of 17.6 right now. This represents a discount compared to its industry's average Forward P/E of 17.89.
Also, we should mention that UNP has a PEG ratio of 1.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Rail was holding an average PEG ratio of 1.96 at yesterday's closing price.
The Transportation - Rail industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Union Pacific (UNP) Gains But Lags Market: What You Should Know
Union Pacific (UNP - Free Report) closed at $208.66 in the latest trading session, marking a +1.54% move from the prior day. The stock lagged the S&P 500's daily gain of 1.89%. At the same time, the Dow added 1%, and the tech-heavy Nasdaq gained 10%.
Coming into today, shares of the railroad had lost 1.51% in the past month. In that same time, the Transportation sector gained 3.2%, while the S&P 500 gained 2.3%.
Union Pacific will be looking to display strength as it nears its next earnings release, which is expected to be January 24, 2023. On that day, Union Pacific is projected to report earnings of $2.75 per share, which would represent year-over-year growth of 3.38%. Our most recent consensus estimate is calling for quarterly revenue of $6.22 billion, up 8.54% from the year-ago period.
Any recent changes to analyst estimates for Union Pacific should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.39% higher within the past month. Union Pacific is currently a Zacks Rank #3 (Hold).
Valuation is also important, so investors should note that Union Pacific has a Forward P/E ratio of 17.6 right now. This represents a discount compared to its industry's average Forward P/E of 17.89.
Also, we should mention that UNP has a PEG ratio of 1.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Transportation - Rail was holding an average PEG ratio of 1.96 at yesterday's closing price.
The Transportation - Rail industry is part of the Transportation sector. This industry currently has a Zacks Industry Rank of 34, which puts it in the top 14% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.