#5 - Union Pacific (NYSE:UNP)
When you think about infrastructure stocks, it doesn’t get much more traditional than railroad stocks. And this has been a sector that has held up well despite the effects of the novel coronavirus. Union Pacific (NYSE:UNP) has reported lighter revenue in 2020 but is trending in the right direction.
Infrastructure stocks are not growth stocks, and Union Pacific is no exception. UNP stock is up only about 10% for the year and is down about 5% since September. Some of this was based on expectations for lower earnings. The company did manage to post a beat on revenue but fell short of analysts’ profit expectations.
Analysts offer a consensus price target that suggests a 7% drop in the stock. However, the most recent analyst opinions have the stock trading at levels that would have the stock climbing 10%. Any setback due to lockdown measures would likely have an impact on the stock, but UNP stock does pay a dividend. And while it’s looking likely that the company will end its consecutive years' streak of raising its dividend at seven, the dividend still looks well supported.
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.
Read More - Current Price
- $230.98
- Consensus Rating
- Moderate Buy
- Ratings Breakdown
- 12 Buy Ratings, 8 Hold Ratings, 0 Sell Ratings.
- Consensus Price Target
- $259.80 (12.5% Upside)
