Hsbc Holdings PLC Sells 2,638 Shares of Unifirst Corporation $UNF

Key Points

• Hsbc Holdings PLC reduced its stake in Unifirst Corporation by 57.1%, selling 2,638 shares, leaving them with 1,986 shares valued at $349,000.
• Unifirst reported an earnings per share (EPS) of $2.13 for the last quarter, exceeding analysts' expectations by $0.04, despite revenue falling short of forecasts.
• The company declared a quarterly dividend of $0.35 per share, with an annualized yield of 0.8%, reflecting a dividend payout ratio of 17.20%.

Hsbc Holdings PLC lessened its holdings in shares of Unifirst Corporation (NYSE:UNF - Free Report) by 57.1% during the 1st quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The institutional investor owned 1,986 shares of the textile maker's stock after selling 2,638 shares during the period. Hsbc Holdings PLC's holdings in Unifirst were worth $349,000 at the end of the most recent quarter.

Several other institutional investors have also modified their holdings of the business. Cetera Investment Advisers lifted its holdings in shares of Unifirst by 3.1% during the 4th quarter. Cetera Investment Advisers now owns 2,231 shares of the textile maker's stock valued at $382,000 after purchasing an additional 68 shares in the last quarter. GAMMA Investing LLC lifted its stake in Unifirst by 59.9% in the 1st quarter. GAMMA Investing LLC now owns 227 shares of the textile maker's stock valued at $39,000 after acquiring an additional 85 shares in the last quarter. DAVENPORT & Co LLC lifted its stake in Unifirst by 1.1% in the 1st quarter. DAVENPORT & Co LLC now owns 7,613 shares of the textile maker's stock valued at $1,325,000 after acquiring an additional 86 shares in the last quarter. Fifth Third Bancorp lifted its stake in Unifirst by 88.7% in the 1st quarter. Fifth Third Bancorp now owns 266 shares of the textile maker's stock valued at $46,000 after acquiring an additional 125 shares in the last quarter. Finally, Wealth Enhancement Advisory Services LLC lifted its stake in Unifirst by 8.9% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 1,827 shares of the textile maker's stock valued at $313,000 after acquiring an additional 150 shares in the last quarter. Institutional investors own 78.17% of the company's stock.

Unifirst Stock Down 0.5%

Shares of NYSE:UNF traded down $0.89 during midday trading on Friday, hitting $178.07. The stock had a trading volume of 91,611 shares, compared to its average volume of 75,527. Unifirst Corporation has a 12 month low of $156.34 and a 12 month high of $243.70. The business's 50-day simple moving average is $175.17 and its 200-day simple moving average is $182.79. The company has a market cap of $3.30 billion, a P/E ratio of 21.88 and a beta of 0.86.

Unifirst (NYSE:UNF - Get Free Report) last released its earnings results on Wednesday, July 2nd. The textile maker reported $2.13 earnings per share for the quarter, beating the consensus estimate of $2.09 by $0.04. Unifirst had a net margin of 6.18% and a return on equity of 7.35%. The business had revenue of $610.78 million during the quarter, compared to analysts' expectations of $614.50 million. During the same period last year, the business earned $2.20 earnings per share. The firm's revenue was up 1.2% on a year-over-year basis. Unifirst has set its FY 2025 guidance at 7.600-8.00 EPS. As a group, equities analysts predict that Unifirst Corporation will post 7.71 earnings per share for the current year.

Unifirst Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Friday, September 26th. Investors of record on Friday, September 5th will be paid a $0.35 dividend. The ex-dividend date of this dividend is Friday, September 5th. This represents a $1.40 annualized dividend and a dividend yield of 0.8%. Unifirst's dividend payout ratio (DPR) is currently 17.20%.

Analyst Upgrades and Downgrades

Several equities research analysts have commented on the company. UBS Group cut their target price on Unifirst from $196.00 to $194.00 and set a "neutral" rating on the stock in a research note on Monday, June 30th. Barclays set a $152.00 target price on Unifirst and gave the company an "underweight" rating in a research note on Monday, June 30th. Robert W. Baird set a $197.00 target price on Unifirst in a research note on Monday, June 30th. Finally, JPMorgan Chase & Co. assumed coverage on Unifirst in a research note on Monday, July 14th. They issued an "underweight" rating and a $175.00 target price on the stock. Two research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Reduce" and a consensus price target of $179.50.

About Unifirst

UniFirst Corporation provides workplace uniforms and protective work wear clothing in the United States, Europe, and Canada. The company operates through U.S. and Canadian Rental and Cleaning, Manufacturing, Specialty Garments Rental and Cleaning, and First Aid segments. It designs, manufactures, personalizes, rents, cleans, delivers, and sells a range of uniforms and protective clothing, including shirts, pants, jackets, coveralls, lab coats, smocks, and aprons; and specialized protective wear, such as flame resistant and high visibility garments.