Western Union (NYSE:WU) Posts Earnings Results, Beats Estimates By $0.05 EPS

Western Union (NYSE:WU) released its quarterly earnings results on Wednesday. The credit services provider reported $0.45 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.40 by $0.05, Briefing.com reports. The business had revenue of $1.05 billion during the quarter, compared to the consensus estimate of $1.01 billion. Western Union had a return on equity of 120.76% and a net margin of 14.12%. The firm’s quarterly revenue was up 1.2% on a year-over-year basis. During the same period in the previous year, the company posted $0.43 EPS. Western Union updated its FY24 guidance to $1.70-1.80 EPS and its FY 2024 guidance to 1.700-1.800 EPS.

Western Union Trading Up 1.3 %

WU opened at $13.47 on Friday. The company has a market cap of $4.56 billion, a P/E ratio of 7.97, a PEG ratio of 4.70 and a beta of 0.85. The company has a current ratio of 1.01, a quick ratio of 1.03 and a debt-to-equity ratio of 6.38. The company’s 50 day moving average is $13.43 and its 200-day moving average is $12.62. Western Union has a 1-year low of $10.37 and a 1-year high of $14.19.

Western Union Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Friday, March 29th. Shareholders of record on Friday, March 15th were given a $0.235 dividend. This represents a $0.94 dividend on an annualized basis and a yield of 6.98%. The ex-dividend date of this dividend was Thursday, March 14th. Western Union’s dividend payout ratio is presently 55.62%.

Insider Buying and Selling

In related news, Director Timothy P. Murphy bought 10,000 shares of the firm’s stock in a transaction on Monday, February 26th. The shares were purchased at an average price of $12.85 per share, with a total value of $128,500.00. Following the completion of the purchase, the director now owns 56,205 shares in the company, valued at approximately $722,234.25. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. 0.85% of the stock is owned by corporate insiders.

Institutional Trading of Western Union

Hedge funds and other institutional investors have recently made changes to their positions in the company. Ronald Blue Trust Inc. increased its holdings in Western Union by 134.8% in the third quarter. Ronald Blue Trust Inc. now owns 1,956 shares of the credit services provider’s stock valued at $26,000 after purchasing an additional 1,123 shares during the period. Cary Street Partners Investment Advisory LLC bought a new position in shares of Western Union during the third quarter worth about $29,000. MCF Advisors LLC acquired a new position in shares of Western Union in the first quarter worth approximately $30,000. GHP Investment Advisors Inc. boosted its holdings in Western Union by 92.2% in the third quarter. GHP Investment Advisors Inc. now owns 2,366 shares of the credit services provider’s stock valued at $31,000 after acquiring an additional 1,135 shares during the last quarter. Finally, Venturi Wealth Management LLC increased its position in Western Union by 500.5% during the 1st quarter. Venturi Wealth Management LLC now owns 2,312 shares of the credit services provider’s stock valued at $32,000 after purchasing an additional 1,927 shares during the period. 91.81% of the stock is currently owned by institutional investors.

Analyst Ratings Changes

A number of brokerages have recently issued reports on WU. William Blair reissued a “market perform” rating on shares of Western Union in a research report on Wednesday, February 7th. JPMorgan Chase & Co. increased their target price on shares of Western Union from $13.00 to $14.00 and gave the stock an “underweight” rating in a research report on Thursday. Evercore ISI lifted their price target on shares of Western Union from $14.00 to $15.00 and gave the company an “in-line” rating in a research report on Thursday. Wolfe Research reiterated an “underperform” rating on shares of Western Union in a research note on Thursday, January 4th. Finally, Monness Crespi & Hardt initiated coverage on Western Union in a research note on Wednesday, March 20th. They set a “neutral” rating on the stock. Three equities research analysts have rated the stock with a sell rating and nine have given a hold rating to the company’s stock. According to MarketBeat.com, Western Union presently has a consensus rating of “Hold” and a consensus target price of $13.45.

About Western Union

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.