|Company name||Union Pacific Corporation|
|Live stock price||[stckqut]UNP[/stckqut]|
|P/E compared to competitors||Good|
|Confident Investor Rating||Fair|
|Target stock price (TWCA growth scenario)||$177.53|
|Target stock price (averages with growth)||$235.79|
|Target stock price (averages with no growth)||$195.58|
|Target stock price (manual assumptions)||$163.52|
The following company description is from Google Finance: http://www.google.com/finance?q=unp
Union Pacific Corporation (UPC) owns transportation companies. Its principal operating company, Union Pacific Railroad Company, links 23 states in the western 66% of the country. Union Pacific Railroad Company’s business mix includes agricultural products, automotive, chemicals, energy, industrial products and intermodal. Union Pacific Railroad Company connects with Canada’s rail systems and is the railroad serving six gateways to Mexico. Union Pacific Railroad Company (UPRR) is a Class I railroad operating in the United States. In June 2012, the Company’s wholly owned subsidiary, PS Technology (PST), acquired the Yard Control Systems division of Ansaldo STS USA.
Confident Investor comments: At this time, I think that a Confident Investor can cautiously invest in this stock as long as the price is correct. Most of the fundamentals of this company are good but there are some concerns.
If you would like to understand how to evaluate companies like I do on this site, please read my book, The Confident Investor.
For owners of my book, The Confident Investor I offer the following analysis (you must be logged in to this site as a book owner in order to see the following analysis). If you have registered and cannot see the balance of this article, make sure you are logged in and refresh your browser.
In order to assist you in using the techniques of this book, the values that I used when calculating the Manual pricing above were:
Stock price at the time of the calculation: $157.32
Current EPS (TTM): $8.79
Future EPS Calc: $15.49
Future Stock Price Calc: $263.34
Target stock price: $163.52
I hope that this makes you a better investor. [/s2If]