Should You Invest in Western Union Company (WU) Now?

Western Union Company (NYSE: WU) has a higher price-to-earnings ratio of 8.00x compared to its average ratio, The 36-month beta value for WU is at 0.86. Analysts have varying views on the stock, with 0 analysts rating it as a “buy,” 4 rating it as “overweight,” 10 as “hold,” and 7 as “sell.”

The public float for WU is 337.18M, and currently, shorts hold a 6.12% of that float. The average trading volume for WU on April 30, 2024 was 4.52M shares.

WU) stock’s latest price update

Western Union Company (NYSE: WU)’s stock price has increased by 0.30 compared to its previous closing price of 13.47. However, the company has seen a 1.58% increase in its stock price over the last five trading sessions. Zacks Investment Research reported 2024-04-26 that Western Union (WU) expects adjusted operating margin to be between 19% and 21% in 2024.

WU’s Market Performance

Western Union Company (WU) has seen a 1.58% rise in stock performance for the week, with a -3.36% decline in the past month and a 7.14% surge in the past quarter. The volatility ratio for the week is 3.20%, and the volatility levels for the past 30 days are at 2.17% for WU. The simple moving average for the past 20 days is 1.42% for WU’s stock, with a 7.59% simple moving average for the past 200 days.

Analysts’ Opinion of WU

BMO Capital Markets, on the other hand, stated in their research note that they expect to see WU reach a price target of $12. The rating they have provided for WU stocks is “Market Perform” according to the report published on December 05th, 2023.

UBS gave a rating of “Neutral” to WU, setting the target price at $14 in the report published on October 20th of the previous year.

WU Trading at 0.69% from the 50-Day Moving Average

After a stumble in the market that brought WU to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -4.77% of loss for the given period.

Volatility was left at 2.17%, however, over the last 30 days, the volatility rate increased by 3.20%, as shares sank -1.67% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading +3.29% upper at present.

During the last 5 trading sessions, WU rose by +1.58%, which changed the moving average for the period of 200-days by +10.38% in comparison to the 20-day moving average, which settled at $13.31. In addition, Western Union Company saw 13.34% in overturn over a single year, with a tendency to cut further gains.

Insider Trading

Reports are indicating that there were more than several insider trading activities at WU starting from Murphy Timothy P., who purchase 10,000 shares at the price of $12.85 back on Feb 26 ’24. After this action, Murphy Timothy P. now owns 56,205 shares of Western Union Company, valued at $128,499 using the latest closing price.

Stock Fundamentals for WU

Current profitability levels for the company are sitting at:

  • 0.18 for the present operating margin
  • 0.36 for the gross margin

The net margin for Western Union Company stands at 0.14. The total capital return value is set at 0.27. Equity return is now at value 129.78, with 7.58 for asset returns.

Based on Western Union Company (WU), the company’s capital structure generated 0.86 points at debt to capital in total, while cash flow to debt ratio is standing at 0.29. The debt to equity ratio resting at 6.38. The interest coverage ratio of the stock is 7.56.

Currently, EBITDA for the company is 1.0 billion with net debt to EBITDA at 1.42. When we switch over and look at the enterprise to sales, we see a ratio of 1.37. The receivables turnover for the company is 2.4for trailing twelve months and the total asset turnover is 0.54.

Conclusion

In conclusion, Western Union Company (WU) has had a better performance lately. Opinion on the stock among analysts is bearish, with some giving it a “sell” rating and others a “hold”. It is worth mentioning that the stock is currently trading in close proximity to its 50-day moving average and its 52-week high.

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