Market Overview

UPDATE: J.P. Morgan Reiterates Neutral Rating, $16 PT on Western Union Company

Share:

In a report published Monday, J.P. Morgan & Co. reiterated its Neutral rating and $16.00 price target on Western Union Company (NYSE: WU).

J.P. Morgan noted, “We rate WU shares Neutral as we attach value to the company's agent network, which provides its competitive advantage over peers and its investments in developing electronic channels. However we see limited near-term catalysts to boost EPS or valuation sentiment due to: (1) $1.3B spent on acquisitions away from the core on B2B firms (Custom House and Travelex) that added cyclicality and execution risk resulting in lower EPS. (2) Regulatory surprises that put WU's business at a temporary disadvantage leading to market share loss that could linger in certain corridors through year end. (3) The biggest risk to our thesis is more shareholder friendly capital deployment, but WU is already levered and committed to retiring 4-5% of shares out in FY12, so we do not see incremental capital deployment as an upside case this year.”

Western Union Company closed on Friday at $13.11.

Latest Ratings for WU

DateFirmActionFromTo
Nov 2019DowngradesBuyNeutral
Nov 2019MaintainsHold
Oct 2019MaintainsSell

View More Analyst Ratings for WU
View the Latest Analyst Ratings

Posted-In: J.P. Morgan & Co.Analyst Color Reiteration Analyst Ratings

 

Related Articles (WU)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
EGIEYGoldman SachsInitiates Coverage On
EQUEYGoldman SachsInitiates Coverage On
CIGGoldman SachsInitiates Coverage On
GLYCRoth CapitalInitiates Coverage On12.0
VZHSBCDowngrades65.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

UPDATE: Pfizer Raises Qtr. Dividend from $0.22 to $0.24/Share

UPDATE: Morgan Stanley Downgrades Baker Hughes to Equal-Weight on North America Deterioration