Union Pacific (UNP) got here out with quarterly earnings of $2.69 per share, beating the Zacks Consensus Estimate of $2.50 per share. This compares to earnings of $2.67 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of seven.60%. 1 / 4 in the past, it was anticipated that this railroad would submit earnings of $2.56 per share when it really produced earnings of $2.71, delivering a shock of 5.86%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates thrice.
Union Pacific
The sustainability of the inventory’s instant value motion based mostly on the recently-released numbers and future earnings expectations will largely rely on administration’s commentary on the earnings name.
Union Pacific shares have misplaced about 5.6% because the starting of the yr versus the S&P 500’s achieve of 6.3%.
What’s Subsequent for Union Pacific?
Whereas Union Pacific has underperformed the market to date this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any simple solutions to this key query, however one dependable measure that may assist traders tackle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified currently.
Empirical analysis reveals a powerful correlation between near-term inventory actions and tendencies in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested score device just like the Zacks Rank, which has a formidable observe file of harnessing the facility of earnings estimate revisions.
Forward of this earnings release, the estimate revisions pattern for Union Pacific: combined. Whereas the magnitude and path of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in keeping with the market within the close to future. You’ll be able to see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Will probably be fascinating to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $2.71 on $6.16 billion in revenues for the approaching quarter and $11.01 on $24.89 billion in revenues for the present fiscal yr.
Traders needs to be aware of the truth that the outlook for the business can have a fabric affect on the efficiency of the inventory as nicely. By way of the Zacks Trade Rank, Transportation – Rail is at present within the backside 35% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
Expeditors Worldwide (EXPD), one other inventory within the broader Zacks Transportation sector, has but to report outcomes for the quarter ended March 2024. The outcomes are anticipated to be launched on Could 7.
This logistics companies supplier is predicted to submit quarterly earnings of $1.10 per share in its upcoming report, which represents a year-over-year change of -24.1%. The consensus EPS estimate for the quarter has been revised 0.7% greater during the last 30 days to the present stage.
Expeditors Worldwide’s revenues are anticipated to be $2.17 billion, down 16.2% from the year-ago quarter.
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Union Pacific Corporation (UNP) : Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.
