The Western Union Company (NYSE:WU) Given Consensus Recommendation of “Reduce” by Brokerages

The Western Union Company (NYSE:WU) has earned an average rating of “Reduce” from the ten brokerages that are covering the stock, MarketBeat Ratings reports. Two research analysts have rated the stock with a sell recommendation and eight have issued a hold recommendation on the company. The average 12 month price target among analysts that have issued a report on the stock in the last year is $12.63.

Several brokerages have recently issued reports on WU. StockNews.com raised shares of Western Union from a “sell” rating to a “hold” rating in a research note on Friday, October 25th. Keefe, Bruyette & Woods lowered their price objective on shares of Western Union from $13.00 to $12.00 and set a “market perform” rating for the company in a research note on Monday, December 9th. UBS Group lowered their price objective on shares of Western Union from $13.50 to $12.00 and set a “neutral” rating for the company in a research note on Thursday, October 24th. Finally, Barclays lowered their price objective on shares of Western Union from $11.00 to $10.00 and set an “underweight” rating for the company in a research note on Friday, December 13th.

Western Union Stock Performance

NYSE WU opened at $10.34 on Monday. The company has a debt-to-equity ratio of 3.96, a current ratio of 1.10 and a quick ratio of 1.10. Western Union has a 1 year low of $10.17 and a 1 year high of $14.19. The company has a market capitalization of $3.49 billion, a PE ratio of 5.30, a P/E/G ratio of 1.40 and a beta of 0.85. The company has a fifty day moving average of $10.64 and a two-hundred day moving average of $11.30.

Western Union declared that its board has authorized a stock repurchase program on Friday, December 13th that permits the company to buyback $1.00 billion in outstanding shares. This buyback authorization permits the credit services provider to reacquire up to 27.5% of its shares through open market purchases. Shares buyback programs are often a sign that the company’s board of directors believes its shares are undervalued.

Western Union Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 31st. Stockholders of record on Monday, December 23rd were given a dividend of $0.235 per share. This represents a $0.94 annualized dividend and a dividend yield of 9.09%. The ex-dividend date of this dividend was Monday, December 23rd. Western Union’s dividend payout ratio is 48.21%.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of WU. Foundry Partners LLC acquired a new position in shares of Western Union in the third quarter valued at $8,124,000. Kingsview Wealth Management LLC increased its stake in shares of Western Union by 293.3% in the third quarter. Kingsview Wealth Management LLC now owns 198,002 shares of the credit services provider’s stock valued at $2,362,000 after buying an additional 147,658 shares during the period. JPMorgan Chase & Co. increased its position in Western Union by 20.0% during the 3rd quarter. JPMorgan Chase & Co. now owns 1,698,559 shares of the credit services provider’s stock valued at $20,264,000 after purchasing an additional 283,479 shares during the period. Citigroup Inc. increased its position in Western Union by 19.0% during the 3rd quarter. Citigroup Inc. now owns 523,676 shares of the credit services provider’s stock valued at $6,247,000 after purchasing an additional 83,715 shares during the period. Finally, Orion Portfolio Solutions LLC acquired a new stake in Western Union during the 3rd quarter valued at approximately $734,000. Institutional investors own 91.81% of the company’s stock.

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.