William Blair Analysts Cut Earnings Estimates for The Western Union Company (NYSE:WU)

The Western Union Company (NYSE:WU) – Investment analysts at William Blair lowered their Q1 2020 EPS estimates for The Western Union in a research note issued on Wednesday, February 12th. William Blair analyst R. Napoli now forecasts that the credit services provider will post earnings per share of $0.48 for the quarter, down from their prior forecast of $0.49. William Blair also issued estimates for The Western Union’s Q2 2020 earnings at $0.52 EPS, Q3 2020 earnings at $0.48 EPS, Q4 2020 earnings at $0.49 EPS, Q1 2021 earnings at $0.51 EPS, Q2 2021 earnings at $0.56 EPS, Q3 2021 earnings at $0.56 EPS and Q4 2021 earnings at $0.57 EPS.

The Western Union (NYSE:WU) last released its quarterly earnings data on Tuesday, February 11th. The credit services provider reported $0.38 earnings per share for the quarter, missing the consensus estimate of $0.43 by ($0.05). The company had revenue of $1.31 billion during the quarter, compared to the consensus estimate of $1.32 billion. The Western Union had a net margin of 21.07% and a negative return on equity of 475.84%. During the same quarter in the prior year, the company posted $0.49 earnings per share.

A number of other equities research analysts have also commented on WU. ValuEngine lowered The Western Union from a “hold” rating to a “sell” rating in a research report on Friday, January 10th. Credit Suisse Group began coverage on The Western Union in a research report on Thursday, January 23rd. They set an “underperform” rating and a $26.00 price target on the stock. Citigroup set a $20.50 price target on The Western Union and gave the stock a “sell” rating in a research report on Friday, November 1st. Deutsche Bank set a $25.00 price target on The Western Union and gave the stock a “hold” rating in a research report on Friday, November 1st. Finally, Guggenheim lowered The Western Union from a “buy” rating to a “neutral” rating in a research report on Tuesday, November 12th. They noted that the move was a valuation call. Eight research analysts have rated the stock with a sell rating, six have assigned a hold rating and one has given a buy rating to the stock. The company currently has an average rating of “Hold” and an average price target of $24.81.

NYSE WU opened at $26.24 on Thursday. The firm has a market cap of $11.86 billion, a PE ratio of 10.05, a price-to-earnings-growth ratio of 0.93 and a beta of 0.78. The Western Union has a one year low of $17.52 and a one year high of $28.44. The stock’s 50 day simple moving average is $27.04 and its 200 day simple moving average is $24.96. The company has a debt-to-equity ratio of 101.99, a current ratio of 0.96 and a quick ratio of 0.96.

Institutional investors and hedge funds have recently made changes to their positions in the business. Pacer Advisors Inc. lifted its stake in shares of The Western Union by 10.8% in the 3rd quarter. Pacer Advisors Inc. now owns 46,307 shares of the credit services provider’s stock valued at $1,073,000 after purchasing an additional 4,509 shares during the period. Wealthfront Advisers LLC lifted its stake in shares of The Western Union by 6.2% in the 3rd quarter. Wealthfront Advisers LLC now owns 47,934 shares of the credit services provider’s stock valued at $1,111,000 after purchasing an additional 2,802 shares during the period. DNB Asset Management AS lifted its stake in shares of The Western Union by 13.2% in the 3rd quarter. DNB Asset Management AS now owns 47,601 shares of the credit services provider’s stock valued at $1,103,000 after purchasing an additional 5,534 shares during the period. Sumitomo Mitsui DS Asset Management Company Ltd lifted its stake in shares of The Western Union by 9.0% in the 3rd quarter. Sumitomo Mitsui DS Asset Management Company Ltd now owns 37,485 shares of the credit services provider’s stock valued at $868,000 after purchasing an additional 3,109 shares during the period. Finally, Nisa Investment Advisors LLC lifted its stake in shares of The Western Union by 16.2% in the 3rd quarter. Nisa Investment Advisors LLC now owns 126,111 shares of the credit services provider’s stock valued at $2,922,000 after purchasing an additional 17,600 shares during the period.

In other The Western Union news, Director Roberto G. Mendoza sold 26,504 shares of the stock in a transaction on Friday, December 6th. The stock was sold at an average price of $26.94, for a total value of $714,017.76. Following the transaction, the director now directly owns 94,334 shares in the company, valued at approximately $2,541,357.96. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, CFO Rajesh K. Agrawal sold 24,553 shares of the stock in a transaction on Thursday, January 2nd. The shares were sold at an average price of $26.94, for a total value of $661,457.82. Following the completion of the transaction, the chief financial officer now owns 331,972 shares in the company, valued at $8,943,325.68. The disclosure for this sale can be found here. Insiders sold a total of 53,474 shares of company stock worth $1,440,420 over the last quarter. Corporate insiders own 1.33% of the company’s stock.

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 31st. Shareholders of record on Tuesday, March 17th will be given a $0.225 dividend. This represents a $0.90 dividend on an annualized basis and a yield of 3.43%. This is a positive change from The Western Union’s previous quarterly dividend of $0.20. The ex-dividend date of this dividend is Monday, March 16th. The Western Union’s dividend payout ratio (DPR) is presently 41.67%.

The Western Union Company Profile

The Western Union Company provides money movement and payment services worldwide. The company operates in two segments, Consumer-to-Consumer and Business Solutions. The Consumer-to-Consumer segment facilitates money transfers between two consumers, primarily through a network of third-party agents. This segment offers international cross-border transfers and intra-country transfers, as well as money transfer transactions through Websites and mobile devices.

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Earnings History and Estimates for The Western Union (NYSE:WU)

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