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Union Pacific NYSE:UNP Stock Report

Last Price


Market Cap







03 Jul, 2022


Company Financials +
UNP fundamental analysis
Snowflake Score
Future Growth2/6
Past Performance3/6
Financial Health2/6

UNP Stock Overview

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States.

Union Pacific Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Union Pacific
Historical stock prices
Current Share PriceUS$215.26
52 Week HighUS$278.94
52 Week LowUS$195.68
1 Month Change-4.49%
3 Month Change-17.20%
1 Year Change-4.21%
3 Year Change26.60%
5 Year Change98.67%
Change since IPO2,059.35%

Recent News & Updates

Jun 27

Union Pacific: A Worthy Core Portfolio Forever Holding

Since being added in 2010 to our family portfolio, Union Pacific's common shares have outperformed its industry, sector, and market. Union Pacific arguably presents the highest quality business model of the North American freight rail oligopoly. The stock’s combined shareholder yields outperformed the rising 10-Year Treasury, and the company benefits from superior executive management performance. Valuation multiples suggest a premium stock price, and downside risk is average at best because of under-coverage of short- and long-term debt levels, typical of a railroad. Nonetheless, as a wide-moat, fundamentally sound, high-margin dividend-payer, Union Pacific should be a core forever holding in any quality stock portfolio.

Jun 14

Union Pacific Corporation Now A Buy

The shares have dropped massively in price since I last reviewed them, and they're now cheap enough to be compelling. As you know, the company has an unassailable "moat", and the financial performance has been (mostly) impressive. For those who want to enhance their returns further while reducing their risk, I recommend selling put options.

Jun 10
Does Union Pacific (NYSE:UNP) Have A Healthy Balance Sheet?

Does Union Pacific (NYSE:UNP) Have A Healthy Balance Sheet?

Legendary fund manager Li Lu (who Charlie Munger backed) once said, 'The biggest investment risk is not the volatility...

Jun 08

Union Pacific: A Closer Look At Opportunities And Headwinds

Union Pacific lowered its operating efficiency estimates as it continues to struggle with supply chain problems and inflationary headwinds. Like its peers, the railroad needs to improve operations to service demand. The company continues to be in a good spot to improve its earnings despite economic headwinds. Even if economic indicators continue to deteriorate, UNP investors should add on weakness to benefit from its ability to reward shareholders with high dividend growth and buybacks.

Shareholder Returns

UNPUS TransportationUS Market

Return vs Industry: UNP exceeded the US Transportation industry which returned -35.2% over the past year.

Return vs Market: UNP exceeded the US Market which returned -21.2% over the past year.

Price Volatility

Is UNP's price volatile compared to industry and market?
UNP volatility
UNP Average Weekly Movement3.6%
Transportation Industry Average Movement8.7%
Market Average Movement8.1%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.3%

Stable Share Price: UNP is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.

Volatility Over Time: UNP's weekly volatility (4%) has been stable over the past year.

About the Company

186230,189Lance Fritz

Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, and other agricultural users; petroleum, and liquid petroleum gases; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers. As of December 31, 2021, its rail network included 32,452 route miles connecting Pacific Coast and Gulf Coast ports with the Midwest and Eastern United States gateways.

Union Pacific Fundamentals Summary

How do Union Pacific's earnings and revenue compare to its market cap?
UNP fundamental statistics
Market CapUS$135.19b
Earnings (TTM)US$6.81b
Revenue (TTM)US$22.66b


P/E Ratio


P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
UNP income statement (TTM)
Cost of RevenueUS$9.49b
Gross ProfitUS$13.17b
Other ExpensesUS$6.36b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Jul 21, 2022

Earnings per share (EPS)10.85
Gross Margin58.11%
Net Profit Margin30.06%
Debt/Equity Ratio268.4%

How did UNP perform over the long term?

See historical performance and comparison



Current Dividend Yield


Payout Ratio
We’ve recently updated our valuation analysis.


Is UNP undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score


Valuation Score 3/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for UNP?

Other financial metrics that can be useful for relative valuation.

UNP key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue7.4x
Enterprise Value/EBITDA14x
PEG Ratio3.1x

Price to Earnings Ratio vs Peers

How does UNP's PE Ratio compare to its peers?

UNP PE Ratio vs Peers
The above table shows the PE ratio for UNP vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average18.8x
NSC Norfolk Southern
UPS United Parcel Service
ODFL Old Dominion Freight Line
UNP Union Pacific

Price-To-Earnings vs Peers: UNP is expensive based on its Price-To-Earnings Ratio (19.8x) compared to the peer average (18.8x).

Price to Earnings Ratio vs Industry

How does UNP's PE Ratio compare vs other companies in the US Transportation Industry?

Price-To-Earnings vs Industry: UNP is expensive based on its Price-To-Earnings Ratio (19.8x) compared to the US Transportation industry average (9.5x)

Price to Earnings Ratio vs Fair Ratio

What is UNP's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

UNP PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio19.8x
Fair PE Ratio21.2x

Price-To-Earnings vs Fair Ratio: UNP is good value based on its Price-To-Earnings Ratio (19.8x) compared to the estimated Fair Price-To-Earnings Ratio (21.2x).

Share Price vs Fair Value

What is the Fair Price of UNP when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: UNP ($215.26) is trading below our estimate of fair value ($286.01)

Significantly Below Fair Value: UNP is trading below fair value by more than 20%.

Price to Earnings Growth Ratio

PEG Ratio: UNP is poor value based on its PEG Ratio (3.1x)

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Future Growth

How is Union Pacific forecast to perform in the next 1 to 3 years based on estimates from 24 analysts?

Future Growth Score


Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: UNP's forecast earnings growth (6.4% per year) is above the savings rate (1.9%).

Earnings vs Market: UNP's earnings (6.4% per year) are forecast to grow slower than the US market (13.6% per year).

High Growth Earnings: UNP's earnings are forecast to grow, but not significantly.

Revenue vs Market: UNP's revenue (4.1% per year) is forecast to grow slower than the US market (8.2% per year).

High Growth Revenue: UNP's revenue (4.1% per year) is forecast to grow slower than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: UNP's Return on Equity is forecast to be very high in 3 years time (65.4%).

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Past Performance

How has Union Pacific performed over the past 5 years?

Past Performance Score


Past Performance Score 3/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: UNP has high quality earnings.

Growing Profit Margin: UNP's current net profit margins (30.1%) are higher than last year (27%).

Past Earnings Growth Analysis

Earnings Trend: UNP's earnings have declined by 5.3% per year over the past 5 years.

Accelerating Growth: UNP's earnings growth over the past year (30.6%) exceeds its 5-year average (-5.3% per year).

Earnings vs Industry: UNP earnings growth over the past year (30.6%) underperformed the Transportation industry 83.9%.

Return on Equity

High ROE: Whilst UNP's Return on Equity (57.26%) is outstanding, this metric is skewed due to their high level of debt.

Discover strong past performing companies

Financial Health

How is Union Pacific's financial position?

Financial Health Score


Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: UNP's short term assets ($3.9B) do not cover its short term liabilities ($5.5B).

Long Term Liabilities: UNP's short term assets ($3.9B) do not cover its long term liabilities ($46.7B).

Debt to Equity History and Analysis

Debt Level: UNP's net debt to equity ratio (260.4%) is considered high.

Reducing Debt: UNP's debt to equity ratio has increased from 76.3% to 268.4% over the past 5 years.

Debt Coverage: UNP's debt is well covered by operating cash flow (29.2%).

Interest Coverage: UNP's interest payments on its debt are well covered by EBIT (8.4x coverage).

Balance Sheet

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What is Union Pacific current dividend yield, its reliability and sustainability?

Dividend Score


Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: UNP's dividend (2.42%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: UNP's dividend (2.42%) is low compared to the top 25% of dividend payers in the US market (4.25%).

Stability and Growth of Payments

Stable Dividend: UNP's dividends per share have been stable in the past 10 years.

Growing Dividend: UNP's dividend payments have increased over the past 10 years.

Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (42.6%), UNP's dividend payments are well covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: With its reasonable cash payout ratio (53.9%), UNP's dividend payments are covered by cash flows.

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How experienced are the management team and are they aligned to shareholders interests?


Average management tenure


Lance Fritz (59 yo)





Mr. Lance M. Fritz serves as Independent Director at Parker-Hannifin Corporation since January 27, 2021. Mr. Fritz serves as Chief Executive Officer, Chairman, and President of Union Pacific Corporation an...

CEO Compensation Analysis

Compensation vs Market: Lance's total compensation ($USD14.52M) is about average for companies of similar size in the US market ($USD13.43M).

Compensation vs Earnings: Lance's compensation has been consistent with company performance over the past year.

Leadership Team

Experienced Management: UNP's management team is considered experienced (2.2 years average tenure).

Board Members

Experienced Board: UNP's board of directors are considered experienced (5.9 years average tenure).


Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.

Top Shareholders

Company Information

Union Pacific Corporation's employee growth, exchange listings and data sources

Key Information

  • Name: Union Pacific Corporation
  • Ticker: UNP
  • Exchange: NYSE
  • Founded: 1862
  • Industry: Railroads
  • Sector: Transportation
  • Implied Market Cap: US$135.189b
  • Shares outstanding: 628.03m
  • Website:

Number of Employees


  • Union Pacific Corporation
  • 1400 Douglas Street
  • Omaha
  • Nebraska
  • 68179
  • United States


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/03 00:00
End of Day Share Price2022/07/01 00:00
Annual Earnings2021/12/31

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.