- Union Pacific‘s Earnings Per Share (EPS) for Q1 was $2.70, slightly missing the estimate of $2.73.
- Operating revenue remained flat at $6.03 billion, falling short of the $6.06 billion estimate.
- Freight revenue increased by 1.3% year-over-year, reaching $5.69 billion but was below the estimated $5.74 billion.
- Bulk freight revenue rose by 1% to $1.84 billion, just under the $1.85 billion estimate.
- Industrial freight revenue decreased by 1%, coming in at $2.08 billion, below the estimated $2.11 billion.
- Premium freight revenue saw a 4.6% increase, totaling $1.77 billion, slightly under the $1.78 billion estimate.
- Intermodal revenue surged by 10% to match the $1.19 billion estimate.
- The operating ratio remained unchanged at 60.7%, slightly above the expected 60.2%.
- Revenue per carload decreased by 4.9% year-over-year to $2,714, not meeting the $2,742 estimate.
- Revenue ton-miles increased by 2.7% to $104.01 billion, exceeding expectations of $102.73 billion.
- Fuel costs decreased by 8.4% year-over-year, amounting to $603 million but exceeded the estimated $594.4 million.
- Union Pacific affirmed its 2025 outlook with no changes to its long-term capital allocation strategy.
- The stock has 21 buy ratings, 9 hold ratings, and 1 sell rating by analysts.
Union Pacific on Smartkarma
Analysts on Smartkarma, like Baptista Research, are closely monitoring Union Pacific Corporation and providing valuable insights for investors. In their report titled “Union Pacific Corporation: Its Efforts Towards Volume Growth & Market Resilience! – Major Drivers,” Baptista Research delves into the company’s latest financial performance, acknowledging a mix of positive and challenging aspects. Union Pacific‘s solid financial growth, including $1.8 billion in quarterly net income and a 7% increase in earnings per share to $2.91, demonstrates its resilience amid changing market conditions.
In another report by Baptista Research, titled “Union Pacific Corporation: Expansion in Intermodal & Merchandise To Drive Growth! – Major Drivers,” the focus is on the company’s strategic progress and potential for growth. Key executives, led by CEO Jim Vena, emphasized the company’s efforts to enhance safety, service, and operational efficiency. While Union Pacific faces challenges due to external market conditions, its expansion in intermodal and merchandise operations is expected to be a major driver of future growth.
A look at Union Pacific Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 3 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.0 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Union Pacific Corporation, a leading rail transportation company, has a mixed outlook for the long term according to Smartkarma Smart Scores. With a Value score of 2, the company may not be considered undervalued. However, it shows strength in other areas, scoring a 3 in both Dividend and Growth categories, indicating moderate potential for income and expansion. Moreover, Union Pacific displays resilience with a score of 3, showcasing its ability to navigate challenging market conditions. The highest score of 4 in Momentum suggests a strong upward trend in the company’s performance.
Overall, Union Pacific‘s Smart Scores point towards a company with stable growth prospects, a decent dividend yield, and strong market momentum. As a key player in the transportation of various goods across major North American regions, Union Pacific‘s strategic rail network positions it well for continued success in the industry. With a balanced performance across key metrics, the company appears poised to capitalize on emerging opportunities while maintaining its position as a reliable transportation provider.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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