Zacks Research Predicts Reduced Earnings for Union Pacific

Union Pacific Co. (NYSE:UNP) – Analysts at Zacks Research reduced their Q3 2025 earnings per share (EPS) estimates for Union Pacific in a research report issued to clients and investors on Thursday, May 15th. Zacks Research analyst R. Department now forecasts that the railroad operator will post earnings of $2.95 per share for the quarter, down from their previous forecast of $2.98. The consensus estimate for Union Pacific’s current full-year earnings is $11.99 per share. Zacks Research also issued estimates for Union Pacific’s Q4 2025 earnings at $2.95 EPS, FY2025 earnings at $11.38 EPS, Q1 2026 earnings at $2.90 EPS, Q3 2026 earnings at $3.31 EPS and FY2027 earnings at $12.98 EPS.

Union Pacific (NYSE:UNP) last posted its earnings results on Thursday, April 24th. The railroad operator reported $2.70 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.73 by ($0.03). Union Pacific had a net margin of 27.82% and a return on equity of 41.12%. The company had revenue of $6.03 billion during the quarter, compared to analysts’ expectations of $6.11 billion. During the same quarter last year, the firm earned $2.69 EPS. Union Pacific’s revenue for the quarter was down .1% on a year-over-year basis.

Several other brokerages also recently weighed in on UNP. Bank of America raised their price target on Union Pacific from $256.00 to $262.00 and gave the stock a “buy” rating in a report on Friday, May 16th. Wells Fargo & Company lowered their price target on Union Pacific from $265.00 to $260.00 and set an “overweight” rating for the company in a report on Thursday, March 27th. Susquehanna lowered their price target on Union Pacific from $255.00 to $245.00 and set a “neutral” rating for the company in a report on Friday, April 25th. Loop Capital downgraded Union Pacific from a “hold” rating to a “sell” rating and lowered their price target for the stock from $265.00 to $200.00 in a report on Monday, February 3rd. Finally, Deutsche Bank Aktiengesellschaft initiated coverage on Union Pacific in a report on Friday, March 7th. They issued a “buy” rating and a $295.00 price target for the company. One investment analyst has rated the stock with a sell rating, six have issued a hold rating, fifteen have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $257.50.

Union Pacific Price Performance

UNP opened at $228.35 on Monday. The business’s 50-day moving average is $223.88 and its two-hundred day moving average is $233.63. Union Pacific has a 1 year low of $204.66 and a 1 year high of $258.07. The company has a debt-to-equity ratio of 1.76, a current ratio of 0.77 and a quick ratio of 0.62. The firm has a market capitalization of $136.43 billion, a PE ratio of 20.59, a price-to-earnings-growth ratio of 2.15 and a beta of 1.07.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. Geode Capital Management LLC lifted its holdings in Union Pacific by 12.6% in the fourth quarter. Geode Capital Management LLC now owns 14,430,581 shares of the railroad operator’s stock valued at $3,282,305,000 after acquiring an additional 1,616,895 shares during the period. Capital Research Global Investors lifted its holdings in Union Pacific by 14.3% in the fourth quarter. Capital Research Global Investors now owns 10,395,364 shares of the railroad operator’s stock valued at $2,370,559,000 after acquiring an additional 1,298,178 shares during the period. Norges Bank acquired a new position in Union Pacific in the fourth quarter valued at approximately $1,927,377,000. Franklin Resources Inc. lifted its holdings in Union Pacific by 5.0% in the fourth quarter. Franklin Resources Inc. now owns 7,686,387 shares of the railroad operator’s stock valued at $1,752,804,000 after acquiring an additional 363,937 shares during the period. Finally, Northern Trust Corp lifted its holdings in Union Pacific by 2.0% in the first quarter. Northern Trust Corp now owns 7,105,382 shares of the railroad operator’s stock valued at $1,678,575,000 after acquiring an additional 142,732 shares during the period. 80.38% of the stock is owned by institutional investors and hedge funds.

Union Pacific Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, June 30th. Shareholders of record on Friday, May 30th will be issued a $1.34 dividend. This represents a $5.36 dividend on an annualized basis and a yield of 2.35%. The ex-dividend date is Friday, May 30th. Union Pacific’s payout ratio is presently 48.29%.

About Union Pacific

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, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers.