The Western Union Company [NYSE:WU]: Analyst Rating and Earnings
Equities traders oftentimes stay updated on what leading stock market analysts say about a potential stock purchase. When it comes to The Western Union Company [WU], the most recently available average analyst rating is from the quarter that ends in December. On average, stock market experts give WU an Hold rating. Its stock price has been found in the range of 16.42 to 21.37. This is compared to its latest closing price of $19.17.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for The Western Union Company [WU] is sitting at 3.25. This is compared to 1 month ago, when its average rating was 3.25.
For the quarter ending in Dec-18 The Western Union Company [WU] generated $1.4 billion in sales. That’s 2.45% lower than the average estimate of $1.44 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Keep looking out for the next-scheduled quarterly financial results that this company is expected to put out, which is slated to occur on Tue 7 May (In 21 Days).
Fundamental Analysis of The Western Union Company [WU]
Now let’s turn to look at profitability: with a current Operating Margin for The Western Union Company [WU] sitting at +17.42 and its Gross Margin at +36.02, this company’s Net Margin is now 15.20%. These measurements indicate that The Western Union Company [WU] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 34.26, and its Return on Invested Capital has reached 32.20%. Its Return on Assets is 9.35.
Similarly, its Total Debt to Total Capital is 109.92, while its Total Debt to Total Assets stands at 38.17.
What about valuation? This company’s Enterprise Value to EBITDA is 8.83 and its Total Debt to EBITDA Value is 2.48. The Enterprise Value to Sales for this firm is now 1.96, and its Total Debt to Enterprise Value stands at 0.34.
Shifting the focus to workforce efficiency, The Western Union Company [WU] earns $464,417 for each employee under its payroll. Similarly, this company’s Total Asset Turnover is 0.61.
The Western Union Company [WU] has 442.80M shares outstanding, amounting to a total market cap of $8.52B. Its stock price has been found in the range of 16.42 to 21.37. At its current price, it has moved by -9.97% from its 52-week high, and it has moved 17.17% from its 52-week low.
This stock’s Beta value is currently 0.94, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 63.91. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is The Western Union Company [WU] a Reliable Buy?
Shares of The Western Union Company [WU], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.