Western Union Valuation
| WU Stock | USD 11.06 0.20 1.84% |
At this time, the company appears to be undervalued. Western Union maintains a prevalent Real Value of $12.2 per share. The last-minute price of the company is $11.06. Our model calculates the value of Western Union from examining the company fundamentals such as Current Valuation of 3.39 B, return on asset of 0.0618, and Profit Margin of 0.16 % as well as analyzing its technical indicators and probability of bankruptcy. Key fundamental drivers impacting Western Union's valuation include:
Price Book 5.724 | Enterprise Value 3.4 B | Enterprise Value Ebitda 3.7143 | Price Sales 0.8887 | Forward PE 6.1087 |
Undervalued
Today
Please note that Western Union's price fluctuation is very steady at this time. Calculation of the real value of Western Union is based on 3 months time horizon. Increasing Western Union's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Western Union's intrinsic value may or may not be the same as its current market price of 11.06, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 11.06 | Real 12.2 | Target 13.17 | Hype 11.07 | Naive 11.28 |
The intrinsic value of Western Union's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Western Union's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Western Union Co helps investors to forecast how Western stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Western Union more accurately as focusing exclusively on Western Union's fundamentals will not take into account other important factors: Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use Western Union's intrinsic value based on its ongoing forecasts of Western Union's financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against Western Union's closest peers.
Western Union Cash |
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Western Valuation Trend
Western Union's real value is important for investors to make better decisions and a more accurate overall view of Western Union's financial worth over time. Using both Western Union's enterprise value as well as its market capitalization is the best way to gauge the value of the company and is usually enough for investors to make market timing conclusions.
Western Revenue by Product
Western Union Total Value Analysis
Western Union Co is at this time anticipated to have takeover value of 3.39 B with market capitalization of 3.74 B, debt of 2.67 B, and cash on hands of 1.29 B. Please note that takeover value may be misleading and is a subject to accounting mistakes. We encourage investors to methodically examine all of the Western Union fundamentals before making investment evaluation based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
3.39 B | 3.74 B | 2.67 B | 1.29 B |
Western Union Investor Information
About 94.0% of the company outstanding shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.25. Western Union last dividend was issued on the 16th of September 2024. Based on the analysis of Western Union's profitability, liquidity, and operating efficiency, Western Union Co is doing better financially today then in previous quarter. It has a moderate probability of reporting better financial numbers in December.| Current Value | Last Year | Change From Last Year | 10 Year Trend | ||||||
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| Operating Profit Margin | 0.24 | 0.1876 |
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| Total Cash From Operating Activities | 766.9 M | 783.1 M |
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| Operating Income | 1 B | 817.5 M |
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Western Union Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Western Union has an asset utilization ratio of 53.14 percent. This implies that the Company is making $0.53 for each dollar of assets. An increasing asset utilization means that Western Union Co is more efficient with each dollar of assets it utilizes for everyday operations.Western Union Ownership Allocation
Western Union Co retains a total of 337.8 Million outstanding shares. The majority of Western Union outstanding shares are owned by institutional investors. These institutions are usually referred to as non-private investors looking to purchase positions in Western Union to benefit from reduced commissions. Consequently, other corporate entities are subject to a different set of regulations than regular investors in Western Union Co. Please pay attention to any change in the institutional holdings of Western Union as this could imply that something significant has changed or is about to change at the company. On July 6, 2024, Representative Kathy Manning of US Congress acquired under $15k worth of Western Union's common stock.Western Union Profitability Analysis
The company generated the yearly revenue of 4.36 B. Reported Net Income was 626 M with gross profit of 1.85 B.Western Union Past Distributions to stockholders
About Western Union Valuation
The stock valuation mechanism determines Western Union's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Western Union based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Western Union. We calculate exposure to Western Union's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Western Union's related companies.| Last Reported | Projected for Next Year | ||
| Gross Profit | 1.7 B | 1.8 B | |
| Pretax Profit Margin | 0.17 | 0.23 | |
| Operating Profit Margin | 0.19 | 0.24 | |
| Net Profit Margin | 0.14 | 0.18 | |
| Gross Profit Margin | 0.34 | 0.46 |
A single share of Western Union represents a small ownership stake in the entity. As a stockholder of Western, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.
Western Union Dividends Analysis For Valuation
Dividend Yield is likely to gain to 0.08 in 2024, whereas Dividends Paid is likely to drop slightly above 336.5 M in 2024. . Earnings Yield is likely to gain to 0.15 in 2024, despite the fact that Retained Earnings are likely to grow to (369.6 M).
| Last Reported | Projected for Next Year | ||
| Dividends Paid | 349 M | 336.5 M | |
| Dividend Yield | 0.08 | 0.08 | |
| Dividend Payout Ratio | 0.56 | 0.51 | |
| Dividend Paid And Capex Coverage Ratio | 1.58 | 1.50 |
There are various types of dividends Western Union can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of Western shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from Western Union Co directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When Western pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of Western Union by the value of the dividends paid out.
Western Union Growth Indicators
Investing in growth stocks can be very risky. If the company such as Western Union does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
| Common Stock Shares Outstanding | 371.8 M | |
| Quarterly Earnings Growth Y O Y | 0.706 | |
| Forward Price Earnings | 6.1087 |
Western Union Current Valuation Indicators
Western Union's valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final Western Union's valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as Western Union, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use Western Union's valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes Western Union's worth.Additional Tools for Western Stock Analysis
When running Western Union's price analysis, check to measure Western Union's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Western Union is operating at the current time. Most of Western Union's value examination focuses on studying past and present price action to predict the probability of Western Union's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Western Union's price. Additionally, you may evaluate how the addition of Western Union to your portfolios can decrease your overall portfolio volatility.