The Western Union Company (NYSE:WU) Receives Consensus Rating of "Reduce" from Brokerages

The Western Union Company (NYSE:WU - Get Free Report) has been given a consensus rating of "Reduce" by the thirteen research firms that are currently covering the firm, Marketbeat.com reports. Three research analysts have rated the stock with a sell recommendation and ten 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 $12.20.

Several research analysts have recently issued reports on the stock. Keefe, Bruyette & Woods lowered their price target on shares of Western Union from $13.00 to $12.00 and set a "market perform" rating for the company in a report on Monday, December 9th. StockNews.com raised shares of Western Union from a "sell" rating to a "hold" rating in a research report on Friday, October 25th. Morgan Stanley reduced their price target on shares of Western Union from $10.00 to $9.00 and set an "underweight" rating for the company in a report on Wednesday. Susquehanna decreased their target price on Western Union from $13.00 to $12.00 and set a "neutral" rating for the company in a research report on Wednesday. Finally, JMP Securities reaffirmed a "market perform" rating on shares of Western Union in a research note on Thursday.

Western Union Stock Performance

Shares of NYSE WU traded up $0.20 during mid-day trading on Monday, reaching $11.21. 11,765,183 shares of the company were exchanged, compared to its average volume of 5,630,239. The stock has a market capitalization of $3.79 billion, a P/E ratio of 5.75, a P/E/G ratio of 1.40 and a beta of 0.85. The company has a quick ratio of 1.10, a current ratio of 1.10 and a debt-to-equity ratio of 3.96. Western Union has a twelve month low of $10.04 and a twelve month high of $14.19. The company's 50-day simple moving average is $10.61 and its 200-day simple moving average is $11.27.

Western Union (NYSE:WU - Get Free Report) last issued its quarterly earnings results on Tuesday, February 4th. The credit services provider reported $0.40 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $0.42 by ($0.02). Western Union had a return on equity of 120.39% and a net margin of 16.07%. As a group, research analysts predict that Western Union will post 1.77 earnings per share for the current year.

Western Union Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Investors of record on Monday, March 17th will be given a $0.235 dividend. The ex-dividend date is Monday, March 17th. This represents a $0.94 annualized dividend and a yield of 8.39%. Western Union's dividend payout ratio (DPR) is presently 48.21%.

Western Union announced that its board has approved a share repurchase program on Friday, December 13th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the credit services provider to buy up to 27.5% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company's management believes its stock is undervalued.

Institutional Trading of Western Union

Hedge funds have recently bought and sold shares of the stock. Foundry Partners LLC bought a new stake in Western Union in the 3rd quarter valued at $8,124,000. Kingsview Wealth Management LLC boosted its stake in shares of Western Union by 293.3% during the 3rd quarter. Kingsview Wealth Management LLC now owns 198,002 shares of the credit services provider's stock worth $2,362,000 after purchasing an additional 147,658 shares during the period. JPMorgan Chase & Co. grew its stake in shares of Western Union by 20.0% during the third quarter. JPMorgan Chase & Co. now owns 1,698,559 shares of the credit services provider's stock valued at $20,264,000 after buying an additional 283,479 shares during the last quarter. Citigroup Inc. increased its stake in Western Union by 19.0% in the third quarter. Citigroup Inc. now owns 523,676 shares of the credit services provider's stock worth $6,247,000 after purchasing an additional 83,715 shares during the period. Finally, Orion Portfolio Solutions LLC bought a new stake in Western Union during the 3rd quarter valued at about $734,000. Institutional investors own 91.81% of the company's stock.

Western Union Company Profile

The Western Union Company provides money movement and payment services worldwide. The company operates through Consumer Money Transfer and Consumer Services segments. The Consumer Money Transfer segment facilitates money transfers for international cross-border and intra-country transfers, primarily through a network of retail agent locations, as well as through websites and mobile devices.