Will Western Union (WU) break $20?

Posted September 16th, 2009 by Eric Cheshier
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The Western Union Company (Public, NYSE:WU) has been stealthily moving up since dropping down to the $10 level earlier this year.

Shares are up 58% in the last 6 months, and the question is, can WU shares break $20 and keep going?

Unfortunately, there is not a lot of news to report on WU. The latest news includes an acquisition of Custom House, a B2B payment provider out of British Columbia.

Other than that, not much to report. So we have to rely on Charts and Fundamentals to make a projection on whether the WU will break $20.

Fundamentally, the stock is looking great. Currently trading at a Forward P/E of 13.49, the stock is trading very cheap when compared to competitor Global Payments Inc (GPN) which is trading at 104 times earnings.

Looking at the chart, it looks like there is no downside in sight. The stock is gapping up, and I think it will reach pre-market-crash levels of $22-$25 in the next year.
 
Also, it helps that insiders bought back in February when the stock was at a low. The fact that the insiders haven't sold after making a +50% gain on the shares tells you that they think the share price is going to continue to climb.

Western Union facing a Scandal shortly .

On September 16th, 2009 adnan awadallah says:

For the last six years , Western Union has been trying to avert a scandal by blocking it in Italian Courts , the result is that Western Union , its CEO Christina A.Gold , and the General Counsel David L Schlapbach will be facing charges of corruption , prejury , lies under oath , and forgery .
This will probably have an effect on the WU stock .
Take a look at the insider trading of the Executives of Western Union , and you will see that they are selling .

Bold Accusations

On September 17th, 2009 Eric Cheshier says:

Adnan, Why do you think this? Do you have any evidence to back this up? The only recent insider trading I see at WU is insider buying earlier this year

Western Union heading South

On September 17th, 2009 adnan awadallah says:

I have proves supporting every word I say against Western Union , and time will show that I was right .
Western Union is a safe bet for all the analysts and Economic Astrologists that take it for granted .... not in this case , were the magic is turning against the magician .
Anybody interested in more details , it will be out soon .

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