Unifirst Corporation $UNF Stock Position Cut by Hsbc Holdings PLC

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 lowered its holdings in shares of Unifirst Corporation (NYSE:UNF - Free Report) by 57.1% in the first quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm 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 as of its most recent SEC filing.

A number of other large investors have also recently bought and sold shares of UNF. Northern Trust Corp boosted its stake in Unifirst by 5.0% during the 4th quarter. Northern Trust Corp now owns 263,322 shares of the textile maker's stock worth $45,052,000 after purchasing an additional 12,598 shares during the period. Algert Global LLC boosted its stake in Unifirst by 27.7% during the 4th quarter. Algert Global LLC now owns 1,943 shares of the textile maker's stock worth $332,000 after purchasing an additional 422 shares during the period. Cetera Investment Advisers lifted its stake in shares of Unifirst by 3.1% in the 4th quarter. Cetera Investment Advisers now owns 2,231 shares of the textile maker's stock worth $382,000 after acquiring an additional 68 shares during the period. Cubist Systematic Strategies LLC acquired a new stake in shares of Unifirst in the 4th quarter worth $1,428,000. Finally, Deutsche Bank AG lifted its stake in shares of Unifirst by 53.6% in the 4th quarter. Deutsche Bank AG now owns 13,169 shares of the textile maker's stock worth $2,253,000 after acquiring an additional 4,593 shares during the period. Institutional investors and hedge funds own 78.17% of the company's stock.

Wall Street Analysts Forecast Growth

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

Unifirst Stock Performance

NYSE:UNF traded down $2.88 during mid-day trading on Tuesday, hitting $171.69. 15,980 shares of the company's stock traded hands, compared to its average volume of 127,460. The firm's 50 day simple moving average is $174.89 and its 200 day simple moving average is $182.32. Unifirst Corporation has a 1 year low of $156.34 and a 1 year high of $243.70. The company has a market cap of $3.18 billion, a PE ratio of 21.09 and a beta of 0.86.

Unifirst (NYSE:UNF - Get Free Report) last issued its quarterly earnings results on Wednesday, July 2nd. The textile maker reported $2.13 EPS for the quarter, topping analysts' consensus estimates 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 the consensus estimate of $614.50 million. During the same period in the previous year, the firm posted $2.20 earnings per share. The company's quarterly revenue was up 1.2% compared to the same quarter last year. Unifirst has set its FY 2025 guidance at 7.600-8.00 EPS. On average, research analysts expect that Unifirst Corporation will post 7.71 earnings per share for the current fiscal year.

Unifirst Announces Dividend

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

Unifirst Company Profile

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.