Union Pacific (UNP) has seen significant share price strength recently, with returns of 48.6% over three years and 40.4% over five years. Despite this, a Discounted Cash Flow (DCF) analysis suggests the stock is undervalued by 16.0%, with an estimated intrinsic value of $315.65 compared to its current price of $265.00. Additionally, its P/E ratio of 22.03x is below its proprietary “Fair Ratio” of 25.42x, further indicating potential undervaluation.
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Is Union Pacific (UNP) Still Attractive After Recent Share Price Strength?
Union Pacific (UNP) has seen significant share price strength recently, with returns of 48.6% over three years and 40.4% over five years. Despite this, a Discounted Cash Flow (DCF) analysis suggests the stock is undervalued by 16.0%, with an estimated intrinsic value of $315.65 compared to its current price of $265.00. Additionally, its P/E ratio of 22.03x is below its proprietary “Fair Ratio” of 25.42x, further indicating potential undervaluation.