ScoreWhy is Union Pacific Corp. ?
1
High Management Efficiency with a high ROCE of 20.47%
2
Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.65 times
- Low ability to service debt as the company has a high Debt to EBITDA ratio of 2.65 times
3
Poor long term growth as Operating profit has grown by an annual rate 3.81% of over the last 5 years
4
Positive results in Jun 25
- OPERATING CASH FLOW(Y) Highest at USD 9,856 MM
- RAW MATERIAL COST(Y) Fallen by -1.55% (YoY)
- DIVIDEND PER SHARE(HY) Highest at USD 12.1
5
With ROCE of 20.31%, it has a very expensive valuation with a 5.87 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of 1.00%, its profits have risen by 5.4% ; the PEG ratio of the company is 6
6
Underperformed the market in the last 1 year
- The stock has generated a return of 1.00% in the last 1 year, much lower than market (S&P 500) returns of 14.11%
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Union Pacific Corp. should be less than 10%
- Overall Portfolio exposure to Construction should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Construction)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Union Pacific Corp. for you?
Low Risk, Low Return
Absolute
Risk Adjusted
Volatility
Union Pacific Corp.
31.01%
0.14
22.45%
S&P 500
21.51%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
4.64%
EBIT Growth (5y)
4.61%
EBIT to Interest (avg)
7.40
Debt to EBITDA (avg)
2.65
Net Debt to Equity (avg)
1.97
Sales to Capital Employed (avg)
0.50
Tax Ratio
23.33%
Dividend Payout Ratio
45.41%
Pledged Shares
0
Institutional Holding
90.71%
ROCE (avg)
20.47%
ROE (avg)
45.61%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
37
Industry P/E
Price to Book Value
14.40
EV to EBIT
30.20
EV to EBITDA
24.07
EV to Capital Employed
6.05
EV to Sales
12.09
PEG Ratio
4.58
Dividend Yield
1.26%
ROCE (Latest)
20.04%
ROE (Latest)
38.65%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bearish
Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Bullish
Dow Theory
No Trend
No Trend
OBV
No Trend
Mildly Bullish
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend14What is working for the Company
OPERATING CASH FLOW(Y)
Highest at USD 10,263 MM
INTEREST COVERAGE RATIO(Q)
Highest at 1,086.58
RAW MATERIAL COST(Y)
Fallen by 1.53% (YoY
CASH AND EQV(HY)
Highest at USD 3,160 MM
DEBT-EQUITY RATIO
(HY)
Lowest at 140.54 %
DIVIDEND PER SHARE(HY)
Highest at USD 12.56
NET SALES(Q)
Highest at USD 6,864 MM
OPERATING PROFIT(Q)
Highest at USD 3,401 MM
PRE-TAX PROFIT(Q)
Highest at USD 2,555 MM
NET PROFIT(Q)
Highest at USD 1,993 MM
EPS(Q)
Highest at USD 3.36
-5What is not working for the Company
ROCE(HY)
Lowest at 39.7%
DIVIDEND PAYOUT RATIO(Y)
Lowest at 41.13%
INVENTORY TURNOVER RATIO(HY)
Lowest at 16.37 times
OPERATING PROFIT MARGIN(Q)
Lowest at 49.55 %
Here's what is working for Union Pacific Corp.
Operating Cash Flow
Highest at USD 10,263 MM and Grown
In each year in the last three yearsMOJO Watch
The company has generated higher cash revenues from business operations
Operating Cash Flows (USD MM)
Interest Coverage Ratio
Highest at 1,086.58
in the last five periodsMOJO Watch
The company's ability to manage interest payments is improving
Operating Profit to Interest
Net Sales
Highest at USD 6,864 MM
in the last five periodsMOJO Watch
Near term sales trend is positive
Net Sales (USD MM)
Operating Profit
Highest at USD 3,401 MM
in the last five periodsMOJO Watch
Near term Operating Profit trend is positive
Operating Profit (USD MM)
Pre-Tax Profit
Highest at USD 2,555 MM
in the last five periodsMOJO Watch
Near term Pre-Tax Profit trend is positive
Pre-Tax Profit (USD MM)
Net Profit
Highest at USD 1,993 MM
in the last five periodsMOJO Watch
Near term Net Profit trend is positive
Net Profit (USD MM)
EPS
Highest at USD 3.36
in the last five periodsMOJO Watch
Increasing profitability; company has created higher earnings for shareholders
EPS (USD)
Cash and Eqv
Highest at USD 3,160 MM
in the last six Semi-Annual periodsMOJO Watch
Short Term liquidity is improving
Cash and Cash Equivalents
Debt-Equity Ratio
Lowest at 140.54 %
in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend per share
Highest at USD 12.56
in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Raw Material Cost
Fallen by 1.53% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at USD 646 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for Union Pacific Corp.
Operating Profit Margin
Lowest at 49.55 %
in the last five periodsMOJO Watch
Company's profit margin has deteriorated
Operating Profit to Sales
Inventory Turnover Ratio
Lowest at 16.37 times
in the last five Semi-Annual periodsMOJO Watch
Company's pace of selling inventory has slowed
Inventory Turnover Ratio
Dividend Payout Ratio
Lowest at 41.13%
in the last five yearsMOJO Watch
Company is distributing lower proportion of profits generated as dividend
DPR (%)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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