UPDATE: Sterne Agee Upgrades Western Union as Momentum Builds Through Transition Year

In a report published Monday, Sterne Agee analyst Greg Smith upgraded the rating on The Western Union Company (NYSE: WU) from Neutral to Buy, and named a $22.00 price target.

In the report, Sterne Agee noted, “We are upgrading WU to Buy from Neutral as we see momentum building as the company moves through this transition year. We expect to see improving results for the remainder of 2013 and we expect investor optimism to build for 2014, a year in which both revenue and expense comps should be significantly easier, resulting in relatively strong EPS growth. We are establishing a $22 price target based on a 13x multiple on our 2014 EPS estimate.”

The Western Union Company closed on Friday at $18.41.