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Auto and Industrial Shipping Push Union Pacific’s Q3 Profit up 51% (UNP)

Railroad operator Union Pacific Corporation (UNP) on Thursday said its third quarter profit rose 51% from last year, aided by higher automotive and industrial shipping volumes.

The Omaha-based company reported third quarter net income of $778 million, or $1.56 per share, compared with $514 million, or $1.01 per share, in the year-ago period.

Revenue surged 20% from last year to $4.4 billion.



On average, Wall Street analysts expected a smaller profit of $1.46 per share on lower revenue of $4.35 billion.

CEO Jim Young said that “Strong volume growth, pricing gains and operating efficiency combined to produce another record quarter for our company.”

Union Pacific shares fell $1.54, or -1.8%, in premarket trading Thursday.

The Bottom Line
Shares of Union Pacific (UNP) have a 1.54% dividend yield, based on last night’s closing stock price of $85.79. The stock has technical support in the $78-$80 price area. The stock is trading near all-time highs and has little overhead resistance.

Union Pacific Corporation (UNP) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

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