Is Union Pacific Corporation (UNP) a Good Long-Term Bet?
Diamond Hill Capital Management, an investment advisor, released its “Large Cap Strategy” second quarter 2022 investor letter. A copy of the same can be downloaded here. Despite a challenging second quarter, the fund outperformed the Russell 1000 Index. Favorable stock selection in the technology and consumer discretionary sectors contributed positively to the fund’s performance in the quarter. In addition, you can check the top 5 holdings of the fund to know its best choices in 2022.
Diamond Hill Capital Management discussed stocks like Union Pacific Corporation (NYSE:UNP) in the second quarter 2022 investor letter. Headquartered in Omaha, Nebraska, Union Pacific Corporation (NYSE:UNP) is a railroad business operator. On October 3, 2022, Union Pacific Corporation (NYSE:UNP) stock closed at $200.26 per share. One-month return of Union Pacific Corporation (NYSE:UNP) was -10.57%, and its shares lost 2.55% of their value over the last 52 weeks. Union Pacific Corporation (NYSE:UNP) has a market capitalization of $125.058 billion.
Here is what Diamond Hill Capital Management specifically said about Union Pacific Corporation (NYSE:UNP) in its Q2 2022 investor letter:
"Union Pacific Corporation (NYSE:UNP) is a large railroad company that carries freight across the western US and between Canada and Mexico. It transports a variety of industrial goods, raw materials and containerized freight between major US ports, industrial hubs and international gateways. The goods that Union Pacific and other railroads transport are fundamental inputs in the economy and are resilient to long-term trends in the business cycle. We believe Union Pacific offers a compelling investment opportunity as its substantial infrastructure investments, relative cost advantages, limited leverage and the essential nature of the products it delivers provides the company with what we believe is one of the widest moats in the transportation sector. We also like that Union Pacific has a shareholder-oriented management team that is focused on growing earnings while returning capital to shareholders."
Photo by Acton Crawford on Unsplash
Union Pacific Corporation (NYSE:UNP) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 65 hedge fund portfolios held Union Pacific Corporation (NYSE:UNP) at the end of the second quarter which was 89 in the previous quarter.
We discussed Union Pacific Corporation (NYSE:UNP) in another article and shared the list of dividend stocks with over 2% yield. In addition, please check out our hedge fund investor letters Q2 2022 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.
