Western Union (NYSE:WU) Posts Earnings Results, Misses Estimates By $0.02 EPS

Western Union (NYSE:WU) issued its quarterly earnings data on Tuesday. The credit services provider reported $0.40 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.42 by ($0.02), Zacks reports. Western Union had a net margin of 16.07% and a return on equity of 120.39%. Western Union updated its FY 2025 guidance to 1.750-1.850 EPS.

Western Union Stock Up 1.2 %

Shares of NYSE:WU opened at $10.40 on Wednesday. The company has a fifty day simple moving average of $10.61 and a 200 day simple moving average of $11.27. The firm has a market cap of $3.51 billion, a PE ratio of 5.33, a price-to-earnings-growth ratio of 1.40 and a beta of 0.85. Western Union has a 12-month low of $10.04 and a 12-month high of $14.19. The company has a current ratio of 1.10, a quick ratio of 1.10 and a debt-to-equity ratio of 3.96.

Western Union Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, March 31st. Shareholders of record on Monday, March 17th will be issued a $0.235 dividend. This represents a $0.94 dividend on an annualized basis and a yield of 9.04%. Western Union’s dividend payout ratio is currently 48.21%.

Analyst Ratings Changes

Several equities research analysts have issued reports on the stock. Morgan Stanley decreased their price target on shares of Western Union from $10.00 to $9.00 and set an “underweight” rating on the stock in a research note on Wednesday. Barclays decreased their target price on shares of Western Union from $11.00 to $10.00 and set an “underweight” rating on the stock in a research report on Friday, December 13th. Keefe, Bruyette & Woods cut their price target on Western Union from $13.00 to $12.00 and set a “market perform” rating for the company in a report on Monday, December 9th. StockNews.com raised Western Union from a “sell” rating to a “hold” rating in a research note on Friday, October 25th. Finally, UBS Group dropped their target price on Western Union from $13.50 to $12.00 and set a “neutral” rating for the company in a research note on Thursday, October 24th. Three analysts have rated the stock with a sell rating and nine have issued a hold rating to the company. Based on data from MarketBeat, the stock has a consensus rating of “Hold” and a consensus target price of $12.22.

Western Union declared that its board has approved a stock buyback plan on Friday, December 13th that allows the company to buyback $1.00 billion in shares. This buyback authorization allows the credit services provider to repurchase up to 27.5% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its stock is undervalued.

Western Union Company Profile

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.