Union Pacific (NYSE:UNP – Get Free Report) and Saia (NASDAQ:SAIA – Get Free Report) are both industrials companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, valuation, earnings, risk, dividends, profitability and analyst recommendations.
Valuation and Earnings
This table compares Union Pacific and Saia”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Union Pacific | $24.51 billion | 7.10 | $7.14 billion | $12.35 | 23.72 |
| Saia | $3.39 billion | 2.86 | $255.04 million | $10.36 | 35.16 |
Institutional and Insider Ownership
80.4% of Union Pacific shares are held by institutional investors. 0.2% of Union Pacific shares are held by insiders. Comparatively, 0.3% of Saia shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Volatility and Risk
Union Pacific has a beta of 0.96, meaning that its share price is 4% less volatile than the S&P 500. Comparatively, Saia has a beta of 2.14, meaning that its share price is 114% more volatile than the S&P 500.
Profitability
This table compares Union Pacific and Saia’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Union Pacific | 28.85% | 38.46% | 10.45% |
| Saia | 8.19% | 10.21% | 7.48% |
Analyst Recommendations
This is a summary of current ratings for Union Pacific and Saia, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Union Pacific | 0 | 7 | 13 | 2 | 2.77 |
| Saia | 1 | 7 | 13 | 0 | 2.57 |
Union Pacific currently has a consensus target price of $320.89, suggesting a potential upside of 9.53%. Saia has a consensus target price of $449.67, suggesting a potential upside of 23.46%. Given Saia’s higher possible upside, analysts clearly believe Saia is more favorable than Union Pacific.
Summary
Union Pacific beats Saia on 10 of the 14 factors compared between the two stocks.
About Union Pacific
Union Pacific Corporation, through its subsidiary, Union Pacific Railroad Company, operates in the railroad business in the United States. The company offers transportation services for grain and grain products, fertilizers, food and refrigerated products, and coal and renewables to grain processors, animal feeders, ethanol producers, renewable biofuel producers, and other agricultural users; and construction products, industrial chemicals, plastics, forest products, specialized products, metals and ores, petroleum, liquid petroleum gases, soda ash, and sand, as well as finished automobiles, automotive parts, and merchandise in intermodal containers. Union Pacific Corporation was founded in 1862 and is headquartered in Omaha, Nebraska.
About Saia
Saia, Inc., together with its subsidiaries, operates as a transportation company in North America. The company provides less-than-truckload services for shipments between 100 and 10,000 pounds; and other value-added services, including non-asset truckload, expedited, and logistics services. It also offers other value-added services, including non-asset truckload, expedited, and logistics services. As of December 31, 2022, it operated 191 owned and leased facilities; and owned approximately 6,200 tractors and 20,800 trailers. The company operates 194 terminals. The company was formerly known as SCS Transportation, Inc. and changed its name to Saia, Inc. in July 2006. Saia, Inc. was founded in 1924 and is headquartered in Johns Creek, Georgia.
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