Western Union (NYSE:WU) Hits New 1-Year Low – Here’s Why

The Western Union Company (NYSE:WU) hit a new 52-week low on Tuesday . The company traded as low as $7.05 and last traded at $7.0740, with a volume of 9724039 shares changing hands. The stock had previously closed at $7.12.

Analyst Upgrades and Downgrades

Separately, Weiss Ratings cut Western Union from a “hold (c-)” rating to a “sell (d+)” rating in a research report on Friday, June 5th. Seven research analysts have rated the stock with a Hold rating and six have assigned a Sell rating to the company’s stock. According to data from MarketBeat, Western Union presently has an average rating of “Reduce” and a consensus price target of $8.82.

Western Union Price Performance

The firm has a market capitalization of $2.21 billion, a PE ratio of 5.20, a PEG ratio of 0.91 and a beta of 0.46. The firm’s fifty day simple moving average is $8.40 and its 200-day simple moving average is $9.04. The company has a quick ratio of 1.11, a current ratio of 1.11 and a debt-to-equity ratio of 2.88.

Western Union (NYSE:WU) last released its quarterly earnings data on Friday, April 24th. The credit services provider reported $0.25 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.40 by ($0.15). Western Union had a net margin of 10.88% and a return on equity of 55.94%. The business had revenue of $963.50 million during the quarter, compared to the consensus estimate of $1.06 billion. During the same period last year, the company posted $0.41 earnings per share. The business’s revenue was down .1% compared to the same quarter last year. Western Union has set its FY 2026 guidance at 1.750-1.850 EPS. On average, research analysts forecast that The Western Union Company will post 1.76 earnings per share for the current fiscal year.

Western Union Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th will be given a dividend of $0.235 per share. The ex-dividend date of this dividend is Tuesday, June 16th. This represents a $0.94 annualized dividend and a dividend yield of 13.3%. Western Union’s dividend payout ratio (DPR) is 69.12%.

Insider Activity

In other news, insider Giovanni Angelini sold 6,000 shares of the firm’s stock in a transaction dated Tuesday, April 28th. The shares were sold at an average price of $9.47, for a total transaction of $56,820.00. Following the sale, the insider owned 311,292 shares of the company’s stock, valued at $2,947,935.24. This trade represents a 1.89% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Benjamin Carlton Adams sold 19,924 shares of Western Union stock in a transaction that occurred on Friday, May 1st. The stock was sold at an average price of $9.23, for a total transaction of $183,898.52. Following the completion of the sale, the insider owned 234,689 shares of the company’s stock, valued at $2,166,179.47. This represents a 7.83% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 3.29% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Western Union

A number of large investors have recently added to or reduced their stakes in WU. Wilmington Savings Fund Society FSB raised its stake in Western Union by 606.7% during the 3rd quarter. Wilmington Savings Fund Society FSB now owns 3,265 shares of the credit services provider’s stock valued at $26,000 after buying an additional 2,803 shares during the last quarter. Salomon & Ludwin LLC boosted its stake in shares of Western Union by 1,546.5% in the 4th quarter. Salomon & Ludwin LLC now owns 3,326 shares of the credit services provider’s stock worth $31,000 after buying an additional 3,124 shares during the last quarter. Fifth Third Bancorp grew its holdings in shares of Western Union by 67.0% in the fourth quarter. Fifth Third Bancorp now owns 3,331 shares of the credit services provider’s stock worth $31,000 after acquiring an additional 1,336 shares during the period. Caitong International Asset Management Co. Ltd grew its holdings in shares of Western Union by 179.6% in the fourth quarter. Caitong International Asset Management Co. Ltd now owns 3,341 shares of the credit services provider’s stock worth $31,000 after acquiring an additional 2,146 shares during the period. Finally, Ascentis Independent Advisors purchased a new stake in Western Union during the first quarter valued at $30,000. Institutional investors own 91.81% of the company’s stock.

Western Union Company Profile

Western Union Company (NYSE: WU) is a global leader in cross-border, cross-currency money movement and payments. The company enables individuals and businesses to send and receive money through a variety of channels, including its vast agent network, online platforms, and mobile applications. Core services include person-to-person money transfers, business-to-business cross-border payments, bill payment services and prepaid card programs.

Through its digital offerings, Western Union provides customers with the ability to initiate transfers via its website and mobile app, as well as track transactions in real time.