Brokerages Set The Western Union Company (NYSE:WU) Price Target at $12.63

Shares of The Western Union Company (NYSE:WU) have been given an average rating of “Reduce” by the ten brokerages that are covering the firm, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating and eight have issued a hold rating on the company. The average 1 year target price among brokerages that have issued ratings on the stock in the last year is $12.63.

Several equities analysts have recently issued reports on WU shares. UBS Group reduced their price target on shares of Western Union from $13.50 to $12.00 and set a “neutral” rating for the company in a report on Thursday, October 24th. StockNews.com raised shares of Western Union from a “sell” rating to a “hold” rating in a report on Friday, October 25th. Keefe, Bruyette & Woods reduced their price target on shares of Western Union from $13.00 to $12.00 and set a “market perform” rating for the company in a report on Monday, December 9th. Finally, Barclays reduced their price target on shares of Western Union from $11.00 to $10.00 and set an “underweight” rating for the company in a report on Friday, December 13th.

Western Union Stock Up 1.0 %

WU stock opened at $10.37 on Thursday. The company has a debt-to-equity ratio of 3.96, a current ratio of 1.10 and a quick ratio of 1.10. Western Union has a 1-year low of $10.19 and a 1-year high of $14.19. The firm has a fifty day moving average price of $10.75 and a two-hundred day moving average price of $11.50. The firm has a market cap of $3.50 billion, a price-to-earnings ratio of 5.32, a PEG ratio of 1.51 and a beta of 0.85.

Western Union (NYSE:WU) last released its earnings results on Wednesday, October 23rd. The credit services provider reported $0.46 earnings per share for the quarter, beating the consensus estimate of $0.44 by $0.02. Western Union had a net margin of 16.07% and a return on equity of 120.39%. The firm had revenue of $1.04 billion during the quarter, compared to analyst estimates of $1.03 billion. During the same quarter in the previous year, the firm earned $0.43 earnings per share. The firm’s revenue for the quarter was down 5.6% compared to the same quarter last year. Research analysts predict that Western Union will post 1.77 EPS for the current year.

Western Union Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, December 31st. Investors of record on Monday, December 23rd were issued a $0.235 dividend. This represents a $0.94 annualized dividend and a yield of 9.06%. The ex-dividend date was Monday, December 23rd. Western Union’s payout ratio is currently 48.21%.

Western Union announced that its board has authorized a stock repurchase program on Friday, December 13th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the credit services provider to reacquire up to 27.5% of its shares through open market purchases. Shares repurchase programs are usually a sign that the company’s leadership believes its stock is undervalued.

Institutional Investors Weigh In On Western Union

Institutional investors and hedge funds have recently bought and sold shares of the business. True Wealth Design LLC acquired a new stake in Western Union in the 3rd quarter valued at about $25,000. Quarry LP lifted its holdings in Western Union by 52.9% in the 2nd quarter. Quarry LP now owns 2,588 shares of the credit services provider’s stock valued at $32,000 after acquiring an additional 895 shares during the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in Western Union by 89.3% during the 2nd quarter. Northwestern Mutual Wealth Management Co. now owns 3,226 shares of the credit services provider’s stock worth $39,000 after buying an additional 1,522 shares during the period. Abich Financial Wealth Management LLC raised its holdings in Western Union by 31.1% during the 2nd quarter. Abich Financial Wealth Management LLC now owns 4,316 shares of the credit services provider’s stock worth $53,000 after buying an additional 1,024 shares during the period. Finally, Tompkins Financial Corp acquired a new stake in Western Union during the 3rd quarter worth about $60,000. 91.81% of the stock is owned by institutional investors and hedge funds.

Western Union Company Profile

The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices.