-0.85%
8.66%
6.77%
0.43%
1.58%
1.32%
38.11%
AI Spotlight on UNP
Company Description
Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States.The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, and other agricultural users; petroleum, and liquid petroleum gases; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.As of December 31, 2021, its rail network included 32,452 route miles connecting Pacific Coast and Gulf Coast ports with the Midwest and Eastern United States gateways.
The company was founded in 1862 and is headquartered in Omaha, Nebraska.
Market Data
| Last Price | 247.79 |
| Change Percentage | -0.85% |
| Open | 248.67 |
| Previous Close | 249.92 |
| Market Cap ( Millions) | 150224 |
| Volume | 2986541 |
| Year High | 258.66 |
| Year Low | 218.55 |
| M A 50 | 235.18 |
| M A 200 | 237.64 |
Financial Ratios
| FCF Yield | 3.92% |
| Dividend Yield | 2.13% |
| ROE | 41.12% |
| Debt / Equity | 190.15% |
| Net Debt / EBIDTA | 249.17% |
| Price To Book | 8.86 |
| Price Earnings Ratio | 22.19 |
| Price To FCF | 25.49 |
| Price To sales | 6.19 |
| EV / EBITDA | 14.53 |
News
- 06:00 - Industrial Stocks Are About to Break Out. Trane Technologies, Union Pacific, and 3 Others to Own.
- Jan -29 - Hop On Board This Dirt Cheap Value Stock to Help Boost Your Passive Income Stream in 2025 and Beyond
- Jan -28 - Big Tech Troubles: 2 Disruption-Resistant Dividend Stocks To Own 'Forever'
- Jan -26 - Wide Moat Dividends: Why We're Loading Up On Union Pacific
- Jan -24 - Union Pacific Analysts Increase Their Forecasts After Q4 Results
- Jan -23 - Union Pacific Corporation (UNP) Q4 2024 Earnings Call Transcript
- Jan -23 - Union Pacific Surges 5% After Crushing Earnings--But Can the Rally Last?
- Jan -23 - Union Pacific Stock Surges as Earnings Top Expectations, Thanks to Falling Fuel Costs
- Jan -23 - Union Pacific's Q4 Earnings Beat Estimates & Revenues Lag
- Jan -23 - Why UNP Stock Is Climbing Today
- Jan -23 - Union Pacific Posts Mixed Quarterly Results; Railroad Firm on Track to Meet Investor Day Targets
- Jan -23 - Union Pacific (UNP) Reports Q4 Earnings: What Key Metrics Have to Say
- Jan -23 - Union Pacific Stock Is Rising. Strong Earnings Trump Light Revenue.
- Jan -23 - Union Pacific: Q4 Net Income Climbs 7%
- Jan -23 - Union Pacific (UNP) Tops Q4 Earnings Estimates
- Jan -23 - Union Pacific delivers 7% more profit as investors get good view of industry with CSX also reporting
- Jan -23 - Union Pacific (UNP) Tops Q4 Earnings Estimates
- Jan -23 - Railroad operator Union Pacific's quarterly profit rises 7%
- Jan -23 - Union Pacific's quarterly profit rises on higher volumes, pricing
- Jan -23 - Union Pacific (NYSE:UNP) Reports Q4 In Line With Expectations
Business Breakdown
Expected Mid-Term Growth
Segment n°1 -> Industrial
Expected Growth : 4.5 %
What the company do ?
The Industrial segment of Union Pacific Corporation provides logistics and transportation services to industrial companies, including energy, chemical, and construction materials industries.
Why we expect these perspectives ?
Union Pacific's 4.5% growth in the Industrial segment is driven by increasing demand for chemicals, plastics, and energy products, supported by a strong US economy and growing exports. Additionally, investments in digitalization and operational efficiency have improved productivity, allowing the company to capitalize on rising volumes and pricing power.
Segment n°2 -> Bulk
Expected Growth : 4.8 %
What the company do ?
Bulk from Union Pacific Corporation refers to the transportation of large quantities of goods, such as coal, grain, and minerals, in railcars, providing efficient and cost-effective logistics solutions.
Why we expect these perspectives ?
Union Pacific's 4.8% bulk segment growth is driven by increased demand for coal, agricultural products, and industrial chemicals. Strong economic growth, rising industrial production, and favorable weather conditions also contribute to this growth. Additionally, the company's efforts to improve operational efficiency and increase capacity have enabled it to capitalize on these trends.
Segment n°3 -> Premium
Expected Growth : 5.2 %
What the company do ?
Union Pacific Corporation's Premium service offers expedited freight transportation with guaranteed delivery times, increased visibility, and priority handling for high-value or time-sensitive shipments.
Why we expect these perspectives ?
Union Pacific Corporation's 5.2% growth is driven by increasing demand for freight transportation, particularly in the energy and industrial sectors. Additionally, the company's efforts to improve operational efficiency, invest in digitalization, and expand its intermodal business are contributing to its growth. Furthermore, the ongoing economic recovery and rising consumer spending are also supporting the company's growth momentum.
Segment n°4 -> Other Subsidiary
Expected Growth : 4.2 %
What the company do ?
Other Subsidiary from Union Pacific Corporation includes companies like Union Pacific Railroad, Union Pacific Distribution Services, and others that provide logistics and transportation services.
Why we expect these perspectives ?
Union Pacific's Other Subsidiary segment's 4.2% growth is driven by increased demand for logistics and transportation services, strategic acquisitions, and investments in digitalization and technology. Additionally, the segment benefits from a diversified revenue stream, including fees from affiliates and joint ventures, as well as growth in its energy and industrial products business.
Segment n°5 -> Accessorial
Expected Growth : 4.0 %
What the company do ?
Accessorial from Union Pacific Corporation refers to additional services or fees charged to customers for special handling, storage, or other non-standard transportation services.
Why we expect these perspectives ?
Union Pacific's 4.0% accessorial growth is driven by increased demand for premium services, such as refrigeration and expedited shipping, as well as higher fuel surcharges. Additionally, the company's focus on operational efficiency and cost savings initiatives have contributed to the growth. Furthermore, the rise of e-commerce and the need for fast and reliable transportation have also boosted demand for accessorial services.
Segment n°6 -> Other
Expected Growth : 4.7 %
What the company do ?
The 'Other' segment from Union Pacific Corporation includes all non-railroad businesses, such as technology and logistics companies, and other investments.
Why we expect these perspectives ?
Union Pacific's 4.7% growth is driven by increased volumes in industrial products, particularly chemicals and plastics, as well as strength in premium merchandise and automotive shipments. Additionally, the company's efforts to improve operational efficiency and reduce costs have contributed to its growth.
Union Pacific Corporation Products
| Product Range | What is it ? |
|---|---|
| Agricultural Products | Union Pacific Corporation provides transportation services for agricultural products such as grains, soybeans, and corn. |
| Automotive Products | Union Pacific offers transportation services for automotive products such as finished vehicles, auto parts, and raw materials. |
| Chemicals | Union Pacific provides transportation services for chemicals such as hazardous materials, fertilizers, and plastics. |
| Coal | Union Pacific offers transportation services for coal, a key fuel source for electricity generation. |
| Construction Materials | Union Pacific provides transportation services for construction materials such as lumber, cement, and aggregates. |
| Energy Products | Union Pacific offers transportation services for energy products such as crude oil, refined petroleum products, and wind turbine components. |
| Food and Beverages | Union Pacific provides transportation services for food and beverages such as grains, sugar, and beer. |
| Forest Products | Union Pacific offers transportation services for forest products such as lumber, paper, and wood pulp. |
| Intermodal | Union Pacific provides intermodal transportation services for containers and trailers. |
| Metals and Minerals | Union Pacific offers transportation services for metals and minerals such as iron ore, copper, and steel. |
Union Pacific Corporation's Porter Forces
Threat Of Substitutes
Union Pacific Corporation has a moderate threat of substitutes due to the availability of alternative modes of transportation such as trucks and airplanes. However, the company's extensive rail network and efficient operations mitigate this threat to some extent.
Bargaining Power Of Customers
Union Pacific Corporation has a low bargaining power of customers due to its dominant position in the rail transportation industry. The company's large customer base and diversified revenue streams also reduce the bargaining power of individual customers.
Bargaining Power Of Suppliers
Union Pacific Corporation has a moderate bargaining power of suppliers due to its dependence on suppliers for fuel, equipment, and other essential materials. However, the company's large scale of operations and long-term contracts with suppliers mitigate this threat to some extent.
Threat Of New Entrants
Union Pacific Corporation has a low threat of new entrants due to the high barriers to entry in the rail transportation industry. The company's extensive rail network, large capital investments, and regulatory hurdles make it difficult for new entrants to compete effectively.
Intensity Of Rivalry
Union Pacific Corporation operates in a highly competitive industry with several major players. The company faces intense rivalry from other railroads, which can lead to pricing pressures and reduced market share.
Capital Structure
| Value | |
|---|---|
| Debt Weight | 69.80% |
| Debt Cost | 5.06% |
| Equity Weight | 30.20% |
| Equity Cost | 9.22% |
| WACC | 6.32% |
| Leverage | 231.13% |
Union Pacific Corporation : Quality Control
Union Pacific Corporation passed 5 out of 9 key points:
Historical Valuation
Price/Earnings Ratio
Margin Valuation
Peers Valuation
Competitors
| Company | Rational |
|---|---|
| NSC | Norfolk Southern Corporation, together with its subsidiaries, engages in the rail transportation of raw materials, intermediate products, and finished goods in the United States. The company transports agriculture, forest, and … |
| CNR.TO | Canadian National Railway Company, together with its subsidiaries, engages in the rail and related transportation business. The company's portfolio of goods includes petroleum and chemicals, grain and fertilizers, coal, metals … |
| CP.TO | Canadian Pacific Railway Limited, together with its subsidiaries, owns and operates a transcontinental freight railway in Canada and the United States. The company transports bulk commodities, including grain, coal, potash, … |
| WAB | Westinghouse Air Brake Technologies Corporation provides technology-based equipment, systems, and services for the freight rail and passenger transit industries worldwide. It operates through two segments, Freight and Transit. The Freight … |
| CSX | CSX Corporation, together with its subsidiaries, provides rail-based freight transportation services. The company offers rail services; and transportation of intermodal containers and trailers, as well as other transportation services, such … |
Peers Metrics
DCF BETA
Expected Cash-Flows
Scoring Insights
Peers Group Analysis
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Norfolk Southern
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CSX
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Union Pacific
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4
CN Rail
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5
Wabtec
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1-Year Total Return ->
6
