UPDATE: Goldman Sachs Raises PT on The Western Union Company Following 1Q Revenue/EPS
In a report published Wednesday, Goldman Sachs analyst Julio C. Quinteros Jr. reiterated a Sell rating on The Western Union Company (NYSE: WU), and slightly raised the price target from $12.00 to $13.00.
In the report, Quinteros noted, “WU reported 1Q revenue/EPS of $1.325bn/$0.37 versus our $1.329bn/$0.31 and the Street's forecast of $1.345bn/$0.32. The key variances versus our model included better margins due to expense timing and higher stock buyback results. WU reaffirmed guidance for low single-digit sales declines in constant currency (GS at -1.3%) and EPS between $1.33-$1.43. Reflecting better 1Q, share buyback benefit, and modestly higher revenues we are raising our 2013-2015 EPS forecasts to $1.43/$1.51/$1.58. Reflecting our revised estimates and a slightly higher multiple, we are raising our 12-month price target $13 (from $12), which implies a CY13 P/E multiple of 9.1X (from 8.9X).”
The Western Union Company closed on Tuesday at $14.81.
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