Western Union (WU) Stock Trades Up, Here Is Why

What Happened?

Shares of money transfer company Western Union (NYSE:WU) jumped 11.2% in the afternoon session after the company reported third-quarter earnings that surpassed analyst expectations for both profit and revenue. 

The global money transfer provider posted adjusted earnings of $0.47 per share, beating the analyst consensus of $0.43. Revenue for the quarter was $1.03 billion, which was flat compared to the previous year but came in slightly ahead of Wall Street's estimates. Furthermore, the company's full-year revenue guidance was also 1% above what analysts had forecasted, signaling a positive outlook. These better-than-expected results appeared to boost investor confidence in the company's performance.

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What Is The Market Telling Us

Western Union’s shares are not very volatile and have only had 9 moves greater than 5% over the last year. Moves this big are rare for Western Union and indicate this news significantly impacted the market’s perception of the business.

The biggest move we wrote about over the last year was about 2 months ago when the stock gained 3.1% on the news that the company's CEO, Devin McGranahan, purchased 176,500 shares, signaling strong insider confidence. The transaction, which took place on August 21st, amounted to a substantial $1.50 million investment. This move was further supported by a recent purchase from Chief Financial Officer Matthew Cagwin, who invested $146,300 in the company's stock. Insider buying of this magnitude is often seen by investors as a bullish signal, suggesting that top executives believe the company is undervalued or poised for positive developments. The vote of confidence from management comes as Western Union faces pressure from short-sellers, with one investor recently disclosing a significant short position based on the belief that the business is in "terminal decline.".

Western Union is down 13.5% since the beginning of the year, and at $9.03 per share, it is trading 22.3% below its 52-week high of $11.62 from March 2025. Investors who bought $1,000 worth of Western Union’s shares 5 years ago would now be looking at an investment worth $422.16.

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