The Western Union Company (NYSE:WU) Stock Has Average Price Target of $7.45

Shares of The Western Union Company (NYSE:WU) have earned a consensus rating of “Strong Sell” from the fourteen analysts that are presently covering the firm, Marketbeat Ratings reports. Eight investment analysts have rated the stock with a sell recommendation and six have given a hold recommendation to the company. The average 12 month price objective among analysts that have covered the stock in the last year is $7.36.

A number of equities research analysts have commented on WU shares. Royal Bank Of Canada cut their target price on shares of Western Union from $9.00 to $8.00 and set a “sector perform” rating for the company in a research report on Friday, July 31st. Barclays dropped their price target on Western Union from $7.00 to $6.00 and set an “underweight” rating on the stock in a research note on Friday, July 31st. Zacks Research lowered Western Union from a “hold” rating to a “strong sell” rating in a report on Tuesday, August 4th. JPMorgan Chase & Co. reduced their price objective on Western Union from $9.00 to $8.00 and set an “underweight” rating for the company in a research report on Monday, July 13th. Finally, Morgan Stanley cut their price target on Western Union from $7.00 to $6.00 and set an “underweight” rating for the company in a research note on Friday, July 31st.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of WU. BlackRock Inc. purchased a new stake in shares of Western Union in the 2nd quarter worth $241,806,000. Capital Research Global Investors lifted its position in Western Union by 35.3% during the fourth quarter. Capital Research Global Investors now owns 10,407,960 shares of the credit services provider’s stock valued at $96,898,000 after purchasing an additional 2,716,385 shares in the last quarter. Allianz Asset Management GmbH grew its holdings in Western Union by 24.5% during the fourth quarter. Allianz Asset Management GmbH now owns 7,879,726 shares of the credit services provider’s stock valued at $73,360,000 after purchasing an additional 1,550,100 shares during the period. Dimensional Fund Advisors LP increased its position in Western Union by 15.1% in the first quarter. Dimensional Fund Advisors LP now owns 7,902,175 shares of the credit services provider’s stock worth $68,989,000 after buying an additional 1,039,604 shares in the last quarter. Finally, First Trust Advisors LP increased its position in Western Union by 19.4% in the first quarter. First Trust Advisors LP now owns 3,966,409 shares of the credit services provider’s stock worth $34,627,000 after buying an additional 645,451 shares in the last quarter. Hedge funds and other institutional investors own 91.81% of the company’s stock.

Western Union Price Performance

WU opened at $6.03 on Friday. The company’s 50-day simple moving average is $6.99 and its two-hundred day simple moving average is $7.90. The company has a debt-to-equity ratio of 2.95, a quick ratio of 1.12 and a current ratio of 1.12. The stock has a market capitalization of $1.88 billion, a P/E ratio of 4.90 and a beta of 0.51. Western Union has a 52-week low of $5.87 and a 52-week high of $10.35.

Western Union (NYSE:WU) last announced its quarterly earnings results on Thursday, July 30th. The credit services provider reported $0.31 EPS for the quarter, missing analysts’ consensus estimates of $0.42 by ($0.11). The company had revenue of $1.01 billion during the quarter, compared to the consensus estimate of $1.02 billion. Western Union had a return on equity of 50.89% and a net margin of 9.79%.The business’s revenue was down 1.3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $0.37 earnings per share. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. As a group, analysts predict that Western Union will post 1.29 EPS for the current year.

Western Union Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th were issued a dividend of $0.2350 per share. This represents a $0.94 dividend on an annualized basis and a yield of 15.6%. The ex-dividend date of this dividend was Wednesday, September 16th. Western Union’s dividend payout ratio is currently 76.42%.

About Western Union

Western Union Company (NYSE: WU) is a global provider of money movement and payment services. The company enables consumers and businesses to send and receive money through digital platforms, retail locations and account-based services. Its offerings include domestic and international money transfers, bill payments, money orders and related payment solutions.

Western Union serves customers across a broad international network spanning more than 200 countries and territories. Consumers can access its services through the Western Union website and mobile application, as well as through a network of agent locations and other retail partners.