Citizens JMP analyst reiterated a Market Perform rating on Western Union Co. (NYSE: WU).

The analyst commented, “We maintain our Market Perform rating on shares of Western Union as we still do not see a visible path to meaningful growth nearly three years into the Evolve 2025 program. The company reported 1Q results yesterday, with Adjusted EPS of $0.41, in line with consensus and slightly above our $0.37 estimate. The upside was entirely driven by a lower tax rate in the quarter. Although the company continues to see year-over-year growth in its digital platform, there has not been material progress to date in returning to top-line growth ~2.5 years after the launch of Evolve 2025. We also note that 2025 guidance includes the upside from the company's Eurobridge acquisition, limiting the organic growth outlook, and limited EPS growth even with strong cost-cutting, material share repurchases, and favorable tax dynamics. Management also noted that macroeconomic stresses and uncertainties are leading to less visibility into achieving this year’s revenue guidance. Given these trends, offset by WU’s strong cash flow generation and quick pace of capital returns to shareholders, we see shares as fairly valued at ~5x 2025E EBITDA and an ~9% dividend yield.”

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Shares of Western Union Co. closed at $10.11 yesterday.