Union Pacific Corp

Find Ratings Reports
UNP : NYSE : Services
$105.5 up 1.48 | 1.42%
Today's Range: 103.8348 - 105.89
Avg. Daily Volume: 3838000.0
03/28/17 - 4:02 PM ET

Financial Analysis


UNION PACIFIC CORP's gross profit margin for the fourth quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. Even though sales decreased, the net income has increased, representing an increase to the bottom line. UNION PACIFIC CORP has weak liquidity. Currently, the Quick Ratio is 0.71 which shows a lack of ability to cover short-term cash needs. The company's liquidity has decreased from the same period last year.

During the same period, stockholders' equity ("net worth") has remained virtually unchanged only decreasing by 3.71% from the same quarter last year. Overall, the key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q4 FY16 Q4 FY15
Net Sales ($mil)5168.05208.0
EBITDA ($mil)2485.02435.0
EBIT ($mil)1965.01918.0
Net Income ($mil)1144.01117.0


Balance Sheet Q4 FY16 Q4 FY15
Cash & Equiv. ($mil)1337.01391.0
Total Assets ($mil)55718.054600.0
Total Debt ($mil)15007.014201.0
Equity ($mil)19932.020702.0


Profitability Q4 FY16 Q4 FY15
Gross Profit Margin48.0846.75
EBITDA Margin48.0846.75
Operating Margin38.0236.83
Sales Turnover0.360.4
Return on Assets7.598.73
Return on Equity21.2323.05
Debt Q4 FY16 Q4 FY15
Current Ratio0.991.29
Debt/Capital0.430.41
Interest Expense174.0164.0
Interest Coverage11.2911.7


Share Data Q4 FY16 Q4 FY15
Shares outstanding (mil)815.82849.21
Div / share0.610.55
EPS1.391.31
Book value / share24.4324.38
Institutional Own % n/a n/a
Avg Daily Volume3828545.04297887.0

Valuation


BUY. This stock's P/E ratio indicates a premium compared to an average of 20.32 for the Road & Rail industry and a discount compared to the S&P 500 average of 26.33. For additional comparison, its price-to-book ratio of 4.25 indicates a premium versus the S&P 500 average of 2.93 and a premium versus the industry average of 3.82. The price-to-sales ratio is well above both the S&P 500 average and the industry average, indicating a premium. Upon assessment of these and other key valuation criteria, UNION PACIFIC CORP proves to trade at a premium to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
UNP 20.45 Peers 20.32   UNP 11.26 Peers 10.97

Average. An average P/E ratio can signify an industry neutral price for a stock and an average growth expectation.

UNP is trading at a valuation on par with its peers.

 

Average. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

UNP is trading at a valuation on par to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
UNP 16.49 Peers 21.70   UNP 1.85 Peers 2.21

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

UNP is trading at a discount to its peers.

 

Discount. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

UNP trades at a discount to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
UNP 4.25 Peers 3.82   UNP -7.47 Peers 0.61

Premium. A higher price-to-book ratio makes a stock less attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

UNP is trading at a premium to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, UNP is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
UNP 4.25 Peers 3.59   UNP -8.59 Peers -5.25

Premium. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

UNP is trading at a premium to its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

UNP significantly trails its peers on the basis of sales growth

 

 

Latest Stock Upgrades/Downgrades