The company has 29.66
B in debt with debt to equity (D/E) ratio of 1.72, which is OK given its current industry classification.
What is the right price you would pay to acquire a share of Union Pacific? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the
future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our
stock advisor page.
What is happening with Union Pacific this year
Annual and quarterly reports issued by Union Pacific are formal
financial statements that are published yearly and quarterly and sent to Union stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the
Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as Union Pacific often view their annual report as an effective marketing tool to disseminate their perspective on company
future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.
Union Pacific Gross Profit
Union Pacific Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Union Pacific previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Union Pacific Gross Profit growth over the last 10 years. Please check Union Pacific's
gross profit and other
fundamental indicators for more details.
Breaking it down a bit more
Earning per share calculations of Union Pacific is based on official Zacks consensus of 8 analysts regarding Union Pacific's future annual earnings. Given the historical accuracy of 97.03%, the future earnings per share of the company is estimated to be 8.0422 with the lowest and highest values of 7.85 and 8.15, respectively. Please note that this consensus of annual earnings estimates for the firm is an estimate of EPS before non-recurring items and including employee stock options expenses.
Is Union a risky opportunity?
Let's check the volatility. Union is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Union (NYSE:UNP) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. obtaining a share of an Union Pacific stock makes you a part-owner of that company.
Union Pacific Current Consensus
Here is the recent trade recommendation based on an ongoing consensus estimate among financial analysis covering Union Pacific. The Union consensus assessment is calculated by taking the average estimates from all of the analysts covering Union Pacific
| Strong Buy | 14 | 70.0 |
| Buy | 1 | 5.0 |
| Hold | 5 | 25.0 |
| Sell | 0 | 0.0 |
| Strong Sell | 0 | 0.0 |
Anything left for Union Pacific after the decline?
The variance is down to 2.91 as of today. As of the 21st of January, Union Pacific has the Risk Adjusted Performance of 0.057,
coefficient of variation of 1894.69, and Semi Deviation of 1.85. In relation to
fundamental indicators, the
technical analysis model makes it possible for you to check existing technical drivers of Union Pacific, as well as the relationship between them. In other words, you can use this information to find out if the company will indeed mirror its model of past prices and volume data, or the prices will eventually revert. We were able to interpolate nineteen
technical drivers for Union Pacific, which can be compared to its competition. Please validate
Union Pacific coefficient of variation,
maximum drawdown, as well as the
relationship between the Maximum Drawdown and
skewness to decide if Union Pacific is priced more or less accurately, providing market reflects its prevalent price of 207.9 per share. Given that Union Pacific has
jensen alpha of
(0.05), we advise you to double-check Union Pacific's current market performance to make sure the company can sustain itself at a future point.
Our Conclusion on Union Pacific
Although some companies under the railroads industry are still a bit expensive, Union Pacific may offer a potential longer-term growth to insiders. In closing, as of the 21st of January 2021, our analysis shows that Union Pacific almost mirrors the market. The firm is
fairly valued and projects
below average probability of financial unrest for the next 2 years. Our ongoing 30 days 'Buy-Sell' recommendation on the firm is
Buy.
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectEditorial Staff
Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Union Pacific. Please refer to our
Terms of Use for any information regarding our disclosure principles.
Would you like to provide feedback on the content of this article?
You can get in touch with us directly or send us a quick note via email to
editors@macroaxis.com
