Union Pacific Corp - Bull of the Day

We upgrade our recommendation for Union Pacific Corp (UNP) to Outperform, following its second quarter 2010 financial results, far ahead of the Zacks Consensus Estimates. The company generated record profit. This excellent performance was achieved through best-ever operating ratio, massive growth in business volume, cost control, and pricing gains.

An improving U.S. economy, massive surge in automotive shipments, and a sharp rebound in many of the company s end markets are expected to fuel future growth of Union Pacific. As the U.S. economy continues to grow gradually, demand for carriage also becomes robust and the momentum is expected to sustain in the long-run.

According to our view, Union pacific is better insulated against economic uncertainty as approximately 37.0% of its revenues are tied to less cyclical freight like agriculture and coal.
 
UNION PAC CORP (UNP): Free Stock Analysis Report
 
Zacks Investment Research