Street View: Union Pacific's positive momentum to continue despite headwinds
** U.S. railroad operator Union Pacific UNP.N reported its Q2 profit above Wall Street estimates on Thursday, as strong pricing and increased volumes more than offset reduced fuel surcharge and business-mix headwinds
** Median PT of 29 brokerages covering UNP stock is $266 - LSEG data
ALL ROADS LEAD TO GROWTH IN DALLAS
** Goldman Sachs ("buy," PT: $278) says demand remains a question, but looks for improvement in H2
** "While UNP's volume outlook remains uncertain/challenged in some markets, the company continues to mitigate softness by driving efficiencies into the network," says Goldman Sachs
** Bernstein ("outperform," PT: $277) says volume visibility remains limited, but profit should see positive momentum from strong service/efficiency and healthy pricing
** J.P.Morgan ("neutral," PT: $265) says business-mix and price/cost headwinds are largely cyclical and will improve over time
** Brokerage says UNP has an opportunity to outline and quantify a unique growth story at its Investor Day in Dallas on Sept. 18-19
** RBC ("outperform," PT: $275) says strong underlying fundamentals, particularly around margin improvement give a nice set-up to co's Investor Day
Reporting by Reshma Rockie George in Bengaluru
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