Research
Research Alert: Union Pacific Posts Q1 Eps Beat On Pricing Strength And Operational Gains
CFRA, an independent research provider, has providedwith the following research alert. Analysts at CFRA have summarized their opinion as follows:Union Pacific reported Q1 adjusted EPS of $2.93, up 8.5% Y/Y and beat consensus by $0.07, while revenue rose 3% to $6.217B despite carloads declining 1% to 2.083M units. The results demonstrate UNP's ability to drive earnings growth through pricing discipline and operational efficiency. Record operational metrics, including 11% improvement in terminal dwell and 9% increase in freight car velocity, validate our positive view on UNP's technology investments translating into efficiency gains. Management maintained 2026 guidance for mid-single-digit EPS growth and approximately $3.3B in capital expenditures. Segment performance showed divergent trends with Bulk revenue up 10% led by strong coal demand, while Premium declined 5% on continued intermodal weakness. FCF rebounded 35% Y/Y to $631M reflecting improved operational performance. We think the Norfolk Southern merger remains a key catalyst as the company advances through the regulatory process.
$UNP