Street View: Union Pacific to see muted growth on softer US freight demand

U.S. railroad operator Union Pacific UNP.N reported fourth-quarter results below analysts' estimates on Tuesday, as volatile freight demand and sustained macroeconomic pressures strained its operations
Median PT of 27 brokerages tracking the stock is $263 - data compiled by LSEG

RAIL INFLATION TICKING UP
TD Cowen (cuts PT to $255 from $257) notes co's 2026 outlook reflects a muted economic environment with continued industrial softness, but adds that higher natural gas prices to drive coal demand; coal carloadings are up 20% YTD with more winter weather events on the horizon
JP Morgan (cuts PT to $265 from $270) says volume growth will remain challenging in 2026 as weakness across key sectors, such as auto and housing, pressures demand; adds that prices of commodities, such as natural gas and domestic coal, will drive end markets and pricing

Citigroup (raises PT to $270 from $265) notes UNP does not expect significant economic upswing, as industrial production, housing starts and auto sales face pressure; adds that "rail inflation is ticking up again" and "price may not be a driver" of margin improvement in 2026