Railroad operator Union Pacific Corporation (
) on Thursday posted mixed third quarter earnings results, as
margins widened but shipments of coal continued to decline.
The Omaha-based company reported third quarter net income of
$1.04 billion, or $2.19 per share, compared with $904 million, or
$1.85 per share, in the year-ago period.
Revenue rose 4% from last year to $5.34 billion.
On average, Wall Street analysts expected a slightly smaller
profit of $2.18 per share, albeit on higher revenue of $5.39
CEO Jack Koraleski commented, "Despite a 12% decline in coal
volumes and significantly weaker steel and scrap-metal markets, we
generated best-ever financial results across the board. We achieved
solid core pricing gains, managed our network efficiently and
delivered on the benefits of our diverse franchise with growth in
Union Pacific shares rose $2.09, or +1.7%, in morning trading
The Bottom Line
Shares of Union Pacific (
) have a 1.94% dividend yield, based on last night's closing stock
price of $123.73. 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.
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, as well as a detailed explanation of
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