WU Relative Valuation
WU's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, WU is overvalued; if below, it's undervalued.
Historical Valuation
Western Union Co (WU) is now in the Undervalued zone, suggesting that its current forward PE ratio of 5.08 is considered Undervalued compared with the five-year average of 8.09. The fair price of Western Union Co (WU) is between 12.77 to 18.61 according to relative valuation methord. Compared to the current price of 8.93 USD , Western Union Co is Undervalued By 30.06%.
Relative Value
Fair Zone
12.77-18.61
Current Price：8.93
30.06%
Undervalued
5.08
PE
1Y
3Y
5Y
Trailing
Forward
4.61
EV/EBITDA
Western Union Co. (WU) has a current EV/EBITDA of 4.61. The 5-year average EV/EBITDA is 6.45. The thresholds are as follows: Strongly Undervalued below 3.66, Undervalued between 3.66 and 5.06, Fairly Valued between 7.85 and 5.06, Overvalued between 7.85 and 9.24, and Strongly Overvalued above 9.24. The current Forward EV/EBITDA of 4.61 falls within the Undervalued range.
5.75
EV/EBIT
Western Union Co. (WU) has a current EV/EBIT of 5.75. The 5-year average EV/EBIT is 7.88. The thresholds are as follows: Strongly Undervalued below 4.65, Undervalued between 4.65 and 6.27, Fairly Valued between 9.49 and 6.27, Overvalued between 9.49 and 11.11, and Strongly Overvalued above 11.11. The current Forward EV/EBIT of 5.75 falls within the Undervalued range.
0.70
PS
Western Union Co. (WU) has a current PS of 0.70. The 5-year average PS is 1.23. The thresholds are as follows: Strongly Undervalued below 0.46, Undervalued between 0.46 and 0.85, Fairly Valued between 1.62 and 0.85, Overvalued between 1.62 and 2.01, and Strongly Overvalued above 2.01. The current Forward PS of 0.70 falls within the Undervalued range.
4.31
P/OCF
Western Union Co. (WU) has a current P/OCF of 4.31. The 5-year average P/OCF is 7.20. The thresholds are as follows: Strongly Undervalued below 2.88, Undervalued between 2.88 and 5.04, Fairly Valued between 9.37 and 5.04, Overvalued between 9.37 and 11.53, and Strongly Overvalued above 11.53. The current Forward P/OCF of 4.31 falls within the Undervalued range.
4.17
P/FCF
Western Union Co. (WU) has a current P/FCF of 4.17. The 5-year average P/FCF is 12.23. The thresholds are as follows: Strongly Undervalued below -27.30, Undervalued between -27.30 and -7.53, Fairly Valued between 32.00 and -7.53, Overvalued between 32.00 and 51.76, and Strongly Overvalued above 51.76. The current Forward P/FCF of 4.17 falls within the Historic Trend Line -Fairly Valued range.
Western Union Co (WU) has a current Price-to-Book (P/B) ratio of 3.07. Compared to its 3-year average P/B ratio of 7.06 , the current P/B ratio is approximately -56.44% higher. Relative to its 5-year average P/B ratio of 16.73, the current P/B ratio is about -81.63% higher. Western Union Co (WU) has a Forward Free Cash Flow (FCF) yield of approximately 0.00%. Compared to its 3-year average FCF yield of 13.79%, the current FCF yield is approximately -100.00% lower. Relative to its 5-year average FCF yield of 13.19% , the current FCF yield is about -100.00% lower.
3.07
P/B
Median3y
7.06
Median5y
16.73
17.71
FCF Yield
Median3y
13.79
Median5y
13.19
Competitors Valuation Multiple
The average P/S ratio for WU's competitors is , providing a benchmark for relative valuation. Western Union Co Corp (WU) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of -0.33%, this premium appears unsustainable.
P/S
P/E
EV/EBITDA
EV/EBIT
P/S
Revenue Growth
Market Cap
Performance Decomposition
1Y
3Y
5Y
Market capitalization of WU decreased by 11.93% over the past 1 year. The primary factor behind the change was an increase in P/E Change from 2.84 to 3.85.
The secondary factor is the Revenue Growth, contributed -0.33%to the performance.
Overall, the performance of WU in the past 1 year is driven by P/E Change. Which is more unsustainable.
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FAQ
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