Railroad operator Union Pacific Corporation (
) on Friday received some mixed commentary from analysts at
Jefferies & Co.
The firm maintained its "Buy" rating on UNP and lifted its price
target from $142 to $149. That new target suggests a 19% upside to
the stock's Thursday closing price of $125.34.
A Jefferies analyst commented, "UNP continued its streak of
upside earnings on strong core pricing and OR improvement despite
the coal headwinds. We continue to see the pricing opportunity,
relatively easier coal comps, and energy-related opportunities
fueling growth going forward. UNP remains our top pick."
However, the firm cut its fourth quarter earnings estimate for
the company from $2.32 to $2.24 per share, its full-year 2012
estimate from $8.46 to $8.32, and its 2013 estimate from $9.83 to
Union Pacific shares were mostly flat in premarket trading
The Bottom Line
Shares of Union Pacific (
) have a 1.91% dividend yield, based on last night's closing stock
price of $125.34. The stock has technical support in the $115-$118
price area. If the stock can firm up, we see overhead resistance
around the all-time highs of $129 a share.
Union Pacific Corporation (
) is not recommended at this time, holding a Dividend.com DARS™
Rating of 3.4 out of 5 stars.
Be sure to visit our complete recommended list of the
Best Dividend Stocks
, as well as a detailed explanation of
our ratings system here