Western Union (NYSE:WU) Updates FY 2026 Earnings Guidance

Western Union (NYSE:WU) updated its FY 2026 earnings guidance on Thursday. The company provided earnings per share guidance of 1.250-1.350 for the period, compared to the consensus estimate of 1.750. The company issued revenue guidance of $4.2 billion-$4.3 billion, compared to the consensus revenue estimate of $4.3 billion.

Analysts Set New Price Targets

WU has been the subject of a number of analyst reports. Susquehanna lowered their price target on shares of Western Union from $10.00 to $8.00 and set a “neutral” rating for the company in a report on Friday. Monness Crespi & Hardt reissued a “sell” rating and set a $6.00 price objective on shares of Western Union in a research note on Friday. Royal Bank Of Canada decreased their price objective on Western Union from $9.00 to $8.00 and set a “sector perform” rating on the stock in a research report on Friday. Wolfe Research reiterated an “underperform” rating and issued a $8.00 target price on shares of Western Union in a report on Friday. Finally, Barclays cut their target price on Western Union from $7.00 to $6.00 and set an “underweight” rating on the stock in a research report on Friday. Six investment analysts have rated the stock with a Hold rating and seven have assigned a Sell rating to the company. Based on data from MarketBeat.com, Western Union currently has a consensus rating of “Strong Sell” and an average price target of $7.77.

Western Union Trading Down 17.4%

NYSE WU traded down $1.33 during trading on Friday, hitting $6.36. The stock had a trading volume of 55,598,955 shares, compared to its average volume of 8,237,142. Western Union has a one year low of $6.27 and a one year high of $10.35. The stock has a 50 day simple moving average of $7.80 and a 200 day simple moving average of $8.74. The stock has a market capitalization of $1.99 billion, a price-to-earnings ratio of 5.17, a P/E/G ratio of 0.98 and a beta of 0.46. The company has a debt-to-equity ratio of 2.88, a quick ratio of 1.11 and a current ratio of 1.11.

Western Union (NYSE:WU) last issued its quarterly earnings results on Thursday, July 30th. The credit services provider reported $0.31 earnings per share for the quarter, missing the consensus estimate of $0.42 by ($0.11). The business had revenue of $1.01 billion during the quarter, compared to analysts’ expectations of $1.02 billion. Western Union had a return on equity of 50.66% and a net margin of 9.79%.The company’s quarterly revenue was down 1.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.37 earnings per share. Western Union has set its FY 2026 guidance at 1.250-1.350 EPS. Sell-side analysts predict that Western Union will post 1.74 earnings per share for the current year.

Western Union Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 30th. Investors of record on Tuesday, June 16th were issued a $0.235 dividend. The ex-dividend date was Tuesday, June 16th. This represents a $0.94 dividend on an annualized basis and a dividend yield of 14.8%. Western Union’s payout ratio is presently 76.42%.

Key Western Union News

Here are the key news stories impacting Western Union this week:

• Positive Sentiment: Management is targeting $50 million in annualized cost reductions by year-end, while continued growth in digital services and artificial intelligence initiatives could support profitability. Consumer Services revenue increased 4% and Branded Digital revenue rose 7%, with digital transactions up 25%. Western Union targets $50 million cost reduction and guides 2026 adjusted EPS
• Neutral Sentiment: Unusually heavy options activity saw investors acquire 37,963 call options, about 764% above average volume. The activity may signal speculative interest or expectations of a rebound, but it does not necessarily indicate sustained buying demand for the stock.
• Neutral Sentiment: Western Union continues working with regulators on its planned Intermex acquisition. However, the transaction’s delay has postponed expected synergies and leaves the deal’s timing uncertain. Western Union pursues AI savings as falling migration hits revenue
• Negative Sentiment: Second-quarter adjusted EPS was $0.31, below the $0.43 analyst consensus, while revenue of approximately $1.01 billion also fell short of estimates. Revenue declined about 1% year over year, net income dropped 37%, and operating margin narrowed to 13% from 19%. Consumer Money Transfer revenue fell 2%, reflecting weakness in the Americas retail business. Western Union reports second quarter 2026 results
• Negative Sentiment: Western Union lowered its full-year 2026 adjusted EPS outlook to $1.25–$1.35, well below the roughly $1.75 consensus estimate. Revenue guidance of $4.2–$4.3 billion also indicates limited growth, increasing concerns about the company’s recovery prospects.
• Negative Sentiment: Analysts cut their price targets: Susquehanna reduced its target from $10 to $8 and RBC lowered its target from $9 to $8. Both firms retained neutral or sector-perform ratings, signaling limited conviction despite the targets remaining above the current trading level.

Institutional Investors Weigh In On Western Union

Several hedge funds have recently modified their holdings of the business. Virtu Financial LLC purchased a new stake in Western Union in the fourth quarter valued at about $451,000. Compound Planning Inc. purchased a new stake in Western Union during the 4th quarter worth approximately $161,000. Corient Private Wealth LLC raised its holdings in shares of Western Union by 64.7% in the fourth quarter. Corient Private Wealth LLC now owns 45,641 shares of the credit services provider’s stock worth $425,000 after buying an additional 17,928 shares during the last quarter. Mercer Global Advisors Inc. ADV lifted its stake in shares of Western Union by 5.3% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 177,765 shares of the credit services provider’s stock worth $1,655,000 after buying an additional 9,017 shares during the period. Finally, Beacon Pointe Advisors LLC grew its holdings in shares of Western Union by 4.2% during the fourth quarter. Beacon Pointe Advisors LLC now owns 112,951 shares of the credit services provider’s stock valued at $1,052,000 after buying an additional 4,533 shares during the last quarter. Hedge funds and other 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.