• Goldman Sachs sets a price target of $267 for Union Pacific Corporation (NYSE:UNP), indicating a potential increase of 14.81%.
• Union Pacific reported a record net income of $7.1 billion and an EPS increase of 8% to $11.98.
• The company distributed $5.9 billion through dividends and share repurchases, showcasing its commitment to shareholder returns.

Union Pacific Corporation (NYSE:UNP) is a major player in the railroad industry, providing freight transportation services across the United States. The company is known for its extensive rail network, which spans 23 states and connects with Canada and Mexico. Union Pacific competes with other rail giants like Norfolk Southern and CSX Corporation.

Goldman Sachs recently set a price target of $267 for Union Pacific Corporation (NYSE:UNP), suggesting a potential increase of 14.81% from its current price of $232.55. This optimistic outlook is supported by Union Pacific's strong financial performance in 2025. The company reported a record net income of $7.1 billion, a 6% increase from the previous year, and an EPS rise of 8% to $11.98.

Union Pacific's freight revenue, excluding fuel surcharge, grew by 3%, setting a new full-year record. The company also improved its operating ratio by 60 basis points to 59.3%, indicating better efficiency. These achievements highlight Union Pacific's ability to generate consistent revenue and manage costs effectively.

In terms of shareholder returns, Union Pacific distributed $5.9 billion through dividends and share repurchases, a 25% increase from 2024. This demonstrates the company's commitment to returning value to its shareholders, which is an attractive feature for investors.

Despite these successes, Union Pacific faced some challenges in the fourth quarter of 2025. Operating revenue decreased by 1% compared to 2024, with freight revenue declining by 1% due to a 4% drop in volume. The company continues to navigate a competitive market environment, but its strong financial foundation and strategic initiatives position it well for future growth.