Western Union (NYSE:WU) Reaches New 52-Week Low – Time to Sell?

by · The Cerbat Gem

Shares of The Western Union Company (NYSE:WU – Get Free Report) hit a new 52-week low on Thursday. The company traded as low as $6.09 and last traded at $6.0950, with a volume of 8122158 shares. The stock had previously closed at $6.22.

Analyst Upgrades and Downgrades

A number of research firms have commented on WU. JPMorgan Chase & Co. reduced their target price on Western Union from $9.00 to $8.00 and set an “underweight” rating for the company in a report on Monday, July 13th. Susquehanna lowered their price target on shares of Western Union from $10.00 to $8.00 and set a “neutral” rating on the stock in a research note on Friday, July 31st. Royal Bank Of Canada cut their price target on shares of Western Union from $9.00 to $8.00 and set a “sector perform” rating for the company in a report on Friday, July 31st. Citigroup reiterated a “neutral” rating on shares of Western Union in a research note on Thursday. Finally, Morgan Stanley decreased their price objective on shares of Western Union from $7.00 to $6.00 and set an “underweight” rating on the stock in a report on Friday, July 31st. Six analysts have rated the stock with a Hold rating and eight have issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Strong Sell” and an average target price of $7.45.

Read Our Latest Report on WU

Western Union Price Performance

The company has a debt-to-equity ratio of 2.95, a current ratio of 1.12 and a quick ratio of 1.12. The firm has a market capitalization of $1.93 billion, a PE ratio of 5.02 and a beta of 0.50. The company has a 50-day moving average price of $7.19 and a 200-day moving average price of $8.02.

Western Union (NYSE:WU – Get Free Report) last announced its earnings results on Thursday, July 30th. The credit services provider reported $0.31 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.11). The firm had revenue of $1.01 billion during the quarter, compared to analyst estimates of $1.02 billion. Western Union had a net margin of 9.79% and a return on equity of 50.89%. The company’s revenue for the quarter was down 1.3% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.37 EPS. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. Sell-side analysts forecast that The Western Union Company will post 1.29 EPS for the current year.

Western Union Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, September 30th. Shareholders of record on Wednesday, September 16th will be issued a $0.2350 dividend. The ex-dividend date is Wednesday, September 16th. This represents a $0.94 annualized dividend and a yield of 15.2%. Western Union’s payout ratio is 76.42%.

Institutional Investors Weigh In On Western Union

Hedge funds have recently made changes to their positions in the business. Miramontes Capital LLC lifted its position in Western Union by 99.8% during the second quarter. Miramontes Capital LLC now owns 95,436 shares of the credit services provider’s stock worth $735,000 after buying an additional 47,667 shares during the period. Engineers Gate Manager LP grew its holdings in Western Union by 467.6% in the second quarter. Engineers Gate Manager LP now owns 1,699,841 shares of the credit services provider’s stock valued at $13,089,000 after purchasing an additional 1,400,369 shares during the period. Nykredit A S acquired a new position in Western Union during the second quarter worth approximately $51,000. VIRGINIA RETIREMENT SYSTEMS ET Al acquired a new position in Western Union during the second quarter worth approximately $977,000. Finally, AlphaGrep UK Ltd purchased a new position in Western Union during the second quarter worth approximately $104,000. Institutional investors and hedge funds own 91.81% of the company’s stock.

Western Union Company Profile

(Get Free Report)

Western Union Company (NYSE:WU) is a global provider of money movement and payment services. The company enables consumers and businesses to send and receive money across borders and within individual markets through digital platforms, mobile applications and a network of retail agent locations.

Its services include consumer money transfers, international remittances, bill payments and money orders. Customers can typically initiate transfers online, through the Western Union app or at participating retail locations, with recipients able to collect funds in cash or receive them through eligible bank accounts, digital wallets or other payment methods, depending on the destination market.

Western Union traces its origins to 1851, when it was established as a telegraph company in the United States.

Read More