Primecap Management Co. CA Invests $211 Million in Union Pacific Corporation $UNP

Primecap Management Co. CA purchased a new stake in Union Pacific Corporation (NYSE:UNP) in the 2nd quarter, according to its most recent disclosure with the SEC. The fund purchased 775,740 shares of the railroad operator’s stock, valued at approximately $211,001,000.

Other institutional investors have also modified their holdings of the company. Tiemann Investment Advisors LLC lifted its holdings in Union Pacific by 1.7% in the second quarter. Tiemann Investment Advisors LLC now owns 2,117 shares of the railroad operator’s stock worth $576,000 after acquiring an additional 35 shares during the last quarter. TFR Capital LLC. grew its holdings in shares of Union Pacific by 3.8% during the second quarter. TFR Capital LLC. now owns 979 shares of the railroad operator’s stock valued at $266,000 after purchasing an additional 36 shares during the last quarter. Key Financial Inc grew its holdings in shares of Union Pacific by 2.1% during the first quarter. Key Financial Inc now owns 1,821 shares of the railroad operator’s stock valued at $442,000 after purchasing an additional 38 shares during the last quarter. Members Trust Co raised its position in shares of Union Pacific by 2.5% during the 1st quarter. Members Trust Co now owns 1,573 shares of the railroad operator’s stock worth $382,000 after purchasing an additional 38 shares during the period. Finally, EJMK Ventures LLC raised its position in shares of Union Pacific by 4.0% during the 1st quarter. EJMK Ventures LLC now owns 1,016 shares of the railroad operator’s stock worth $247,000 after purchasing an additional 39 shares during the period. Institutional investors own 80.38% of the company’s stock.

Insiders Place Their Bets

In related news, EVP Eric J. Gehringer sold 2,991 shares of the firm’s stock in a transaction dated Wednesday, June 3rd. The stock was sold at an average price of $263.96, for a total transaction of $789,504.36. Following the completion of the transaction, the executive vice president owned 43,012 shares of the company’s stock, valued at $11,353,447.52. This trade represents a 6.50% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 0.22% of the stock is owned by corporate insiders.

Union Pacific Price Performance

Shares of NYSE:UNP opened at $310.11 on Wednesday. The stock has a market cap of $184.23 billion, a price-to-earnings ratio of 25.11, a PEG ratio of 3.16 and a beta of 0.96. The company has a debt-to-equity ratio of 1.40, a current ratio of 0.99 and a quick ratio of 0.82. Union Pacific Corporation has a 12 month low of $210.84 and a 12 month high of $315.99. The stock’s 50 day moving average price is $287.99 and its 200 day moving average price is $268.73.

Union Pacific (NYSE:UNP) last issued its quarterly earnings results on Thursday, July 23rd. The railroad operator reported $3.41 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $3.26 by $0.15. Union Pacific had a return on equity of 38.46% and a net margin of 28.85%.The firm had revenue of $6.86 billion during the quarter, compared to analyst estimates of $6.72 billion. During the same period last year, the company posted $3.03 EPS. The firm’s quarterly revenue was up 11.5% on a year-over-year basis. Equities research analysts anticipate that Union Pacific Corporation will post 12.93 earnings per share for the current fiscal year.

Union Pacific Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 30th. Stockholders of record on Monday, August 31st will be issued a $1.42 dividend. This represents a $5.68 annualized dividend and a dividend yield of 1.8%. This is a positive change from Union Pacific’s previous quarterly dividend of $1.38. The ex-dividend date is Monday, August 31st. Union Pacific’s payout ratio is currently 44.70%.

Analyst Upgrades and Downgrades

Several brokerages recently issued reports on UNP. Raymond James Financial reissued a “strong-buy” rating on shares of Union Pacific in a report on Monday, July 13th. Stephens upgraded Union Pacific to a “strong-buy” rating in a research note on Wednesday, July 8th. Benchmark increased their target price on Union Pacific from $325.00 to $335.00 and gave the stock a “buy” rating in a research report on Friday, July 24th. Weiss Ratings upgraded Union Pacific from a “buy (b-)” rating to a “buy (b)” rating in a research note on Friday, July 24th. Finally, Royal Bank Of Canada reissued an “outperform” rating and set a $339.00 price target (up from $289.00) on shares of Union Pacific in a report on Friday, July 24th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and six have issued a Hold rating to the company’s stock. According to data from MarketBeat, Union Pacific currently has an average rating of “Moderate Buy” and an average price target of $320.89.

Union Pacific Company Profile

Union Pacific Corporation (NYSE: UNP) is one of the largest freight railroad companies in the United States. Its principal operating subsidiary, Union Pacific Railroad, has roots that trace back to the Pacific Railway Act of 1862 and the construction of the first transcontinental rail link completed in 1869. The company is headquartered in Omaha, Nebraska, and operates as a holding company for rail transportation and related services.

Union Pacific’s core business is the movement of freight by rail across an extensive rail network serving the western two?thirds of the United States.