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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 $146.99 in the latest trading session, marking a +0.49% move from the prior day. This move lagged the S&P 500's daily gain of 1.09%. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, added 2.01%.
Prior to today's trading, shares of the railroad had lost 10.34% over the past month. This has lagged the Transportation sector's loss of 10.04% and the S&P 500's loss of 7.81% in that time.
Investors will be hoping for strength from UNP as it approaches its next earnings release, which is expected to be January 24, 2019. The company is expected to report EPS of $2.06, up 34.64% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.82 billion, up 6.74% from the year-ago period.
UNP's full-year Zacks Consensus Estimates are calling for earnings of $7.84 per share and revenue of $22.87 billion. These results would represent year-over-year changes of +35.41% and +7.7%, respectively.
It is also important to note the recent changes to analyst estimates for UNP. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.99% higher within the past month. UNP is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, UNP is holding a Forward P/E ratio of 18.65. This represents a premium compared to its industry's average Forward P/E of 18.05.
It is also worth noting that UNP currently has a PEG ratio of 1.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Transportation - Rail stocks are, on average, holding a PEG ratio of 1.5 based on yesterday's closing prices.
The Transportation - Rail industry is part of the Transportation sector. This group has a Zacks Industry Rank of 3, putting it in the top 1% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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 $146.99 in the latest trading session, marking a +0.49% move from the prior day. This move lagged the S&P 500's daily gain of 1.09%. Meanwhile, the Dow gained 0.97%, and the Nasdaq, a tech-heavy index, added 2.01%.
Prior to today's trading, shares of the railroad had lost 10.34% over the past month. This has lagged the Transportation sector's loss of 10.04% and the S&P 500's loss of 7.81% in that time.
Investors will be hoping for strength from UNP as it approaches its next earnings release, which is expected to be January 24, 2019. The company is expected to report EPS of $2.06, up 34.64% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $5.82 billion, up 6.74% from the year-ago period.
UNP's full-year Zacks Consensus Estimates are calling for earnings of $7.84 per share and revenue of $22.87 billion. These results would represent year-over-year changes of +35.41% and +7.7%, respectively.
It is also important to note the recent changes to analyst estimates for UNP. Recent revisions tend to reflect the latest near-term business trends. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
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 0.99% higher within the past month. UNP is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, UNP is holding a Forward P/E ratio of 18.65. This represents a premium compared to its industry's average Forward P/E of 18.05.
It is also worth noting that UNP currently has a PEG ratio of 1.75. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Transportation - Rail stocks are, on average, holding a PEG ratio of 1.5 based on yesterday's closing prices.
The Transportation - Rail industry is part of the Transportation sector. This group has a Zacks Industry Rank of 3, putting it in the top 1% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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.