SoFi shares rise as record revenue, member growth drive strong Q3 results
Investing.com - Benchmark has reiterated its Buy rating and $260.00 price target on Union Pacific (NYSE:UNP) following the railroad operator’s third-quarter performance. According to InvestingPro data, the stock is currently trading near its 52-week low at $216.85, with analysts’ targets ranging from $213 to $298, suggesting potential upside based on the company’s Fair Value metrics.
Union Pacific reported adjusted earnings per share of $3.08 for the third quarter, exceeding both Benchmark’s estimate and the consensus forecast of $2.99, driven by lower expenses and favorable below-the-line items. The company maintains impressive gross profit margins of 55.89%, with nine analysts recently revising their earnings estimates upward for the upcoming period.
The company achieved exceptional network fluidity during the quarter, setting records for velocity and dwell times while reaching a perfect score of 100 on its manifest service performance index (SPI) and improving safety metrics. As a prominent player in the Ground Transportation industry, Union Pacific has demonstrated strong financial discipline, maintaining dividend payments for 55 consecutive years. For deeper insights into Union Pacific’s performance metrics and industry position, check out the comprehensive Pro Research Report available on InvestingPro.
Union Pacific has gathered over 400 letters of support from customers for its proposed merger, along with backing from numerous unions after guaranteeing job security for all unionized employees, with plans to file its merger application with the Surface Transportation Board by early December following a November 14 shareholder vote.
Benchmark noted that while regulatory approval will face challenges under the STB’s stricter 2001 merger rules, favorable commentary from the current administration could create an opportune environment for the proposed combination.
In other recent news, Union Pacific’s third-quarter 2025 results have met expectations, with strong operational execution and service levels noted by BMO Capital. Despite these positive results, BMO Capital lowered its price target for Union Pacific to $275, maintaining an Outperform rating. Meanwhile, BofA Securities also adjusted its price target to $260, reflecting a revised valuation multiple on 2026 estimated earnings, while still keeping a Buy rating. In a related development, TD Cowen increased its price target for Union Pacific to $258, citing potential synergies from a unified operation with Norfolk Southern. Additionally, BMO Capital reiterated its Outperform rating and $277 price target after a meeting with Union Pacific’s senior leadership, highlighting the company’s strong operating margins and free cash flow conversion. Separately, CSX Corp’s CEO, Joe Hinrichs, was dismissed last month due to concerns over his handling of a potential merger approach from Union Pacific. The CSX board believed Hinrichs did not adequately pursue the merger opportunity, leading to his ousting. These developments provide a snapshot of recent activities and analyst perspectives surrounding Union Pacific.
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