Western Union (NYSE:WU) Issues Earnings Results

Western Union (NYSE:WU - Get Free Report) posted its quarterly earnings data on Tuesday. The credit services provider reported $0.40 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.02), Zacks reports. Western Union had a net margin of 22.19% and a return on equity of 96.90%. Western Union updated its FY 2025 guidance to 1.750-1.850 EPS.

Western Union Stock Down 5.5 %

Shares of Western Union stock traded down $0.62 during midday trading on Friday, reaching $10.60. 8,265,573 shares of the company's stock traded hands, compared to its average volume of 5,684,605. The company has a market cap of $3.58 billion, a price-to-earnings ratio of 3.88, a price-to-earnings-growth ratio of 1.54 and a beta of 0.85. Western Union has a 52 week low of $10.04 and a 52 week high of $14.19. The company's 50 day simple moving average is $10.60 and its 200 day simple moving average is $11.26. The company has a debt-to-equity ratio of 3.04, a quick ratio of 1.10 and a current ratio of 1.20.

Western Union Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Monday, March 17th will be paid a $0.235 dividend. This represents a $0.94 dividend on an annualized basis and a yield of 8.87%. The ex-dividend date of this dividend is Monday, March 17th. Western Union's dividend payout ratio (DPR) is presently 34.43%.

Analysts Set New Price Targets

Several research analysts have issued reports on the company. UBS Group dropped their price target on Western Union from $13.50 to $12.00 and set a "neutral" rating on the stock in a report on Thursday, October 24th. Morgan Stanley decreased their target price on Western Union from $10.00 to $9.00 and set an "underweight" rating for the company in a research report on Wednesday. StockNews.com raised Western Union from a "sell" rating to a "hold" rating in a research report on Friday, October 25th. Susquehanna decreased their price objective on Western Union from $13.00 to $12.00 and set a "neutral" rating for the company in a research report on Wednesday. Finally, Barclays lowered their price objective on shares of Western Union from $11.00 to $10.00 and set an "underweight" rating on the stock in a research report on Friday, December 13th. Three analysts have rated the stock with a sell rating and nine have issued a hold rating to the company. According to data from MarketBeat, Western Union currently has a consensus rating of "Hold" and an average target price of $12.11.

Western Union declared that its board has authorized a share repurchase plan on Friday, December 13th that allows the company to buyback $1.00 billion in outstanding shares. This buyback authorization allows the credit services provider to reacquire up to 27.5% of its stock through open market purchases. Stock buyback plans are often a sign that the company's management believes its shares are undervalued.

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.