Union Pacific Q2 Net Income Decreases

Union Pacific shares have fallen 18 percent since the beginning of the year, while the Standard & Poor’s 500 index has climbed nearly 3 percent. During the same quarter last year, the company posted $1.43 earnings per share. The heightened volatility saw the trading volume jump to 5,072,596 shares.

Stifel Nicolaus analyst John Larkin said he expects Union Pacific to cut costs over the next few months and be ready to deliver double-digit profit growth on a regular basis once shipping volume improves. Analysts at RBC Capital reiterated a “buy” rating on shares of Union Pacific in a research note on Saturday, July 11th. The Analysts at the ratings agency lowers the price target from $121 per share to $112 per share. The company has a market cap of $85,839 million and there are 878,781,000 shares in outstanding. However, the declining fuel prices led to a net positive benefit for Union Pacific as its fuel bill declined $357 million.

A sharp decline in coal shipments drove down Union Pacific’s second-quarter profit by 7 percent, and executives predicted that the railroad would fall short of expectations for the year because the challenging conditions will continue. The stock’s 50-day moving average is $98.70 and its 200-day moving average is $109.16.

Both operating expenses and income fell during the quarter: the latter decreased 11 percent to $1.95 billion, while the former decreased 9 percent to $3.48 billion.

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Stockholders of record on Friday, May 29th were paid a dividend of $0.55 per share. The ex-dividend date was Wednesday, May 27th.

Now the company Insiders own 0.2% of Union Pacific Corporation Company shares. Union Pacific Railroad Company (UPRR) is a Class I railroad operating in the United States.

Along with the coal declines, shipments of industrial products fell 13 per cent and agricultural shipments fell 7 per cent.

Union Pacific Corporation ( UNP ), based in Omaha, NE, is the largest railroad in North America providing rail transportation services across 23 states in the U.S. Union Pacific also connects with Canada’s rail systems and is the only railroad, serving all the six major gateways to Mexico. The Company transports bulk commodities, merchandise freight and intermodal traffic.