Short Interest in UL Solutions Inc. (NYSE:ULS) Grows By 42.7%

Key Points

• UL Solutions Inc. (NYSE:ULS) saw a significant increase in short interest, rising by 42.7% in August, bringing the total to 3,310,000 shares, which is 5.4% of the company's stock.
• The company reported a quarterly earnings per share (EPS) of $0.52, exceeding analyst expectations and reflecting a 6.3% increase in revenue year-over-year.
• UL Solutions announced a quarterly dividend of $0.13, translating to an annual yield of 0.8%, with the payment date set for September 8th.

UL Solutions Inc. (NYSE:ULS - Get Free Report) was the recipient of a large increase in short interest in the month of August. As of August 15th, there was short interest totaling 3,310,000 shares, an increase of 42.7% from the July 31st total of 2,320,000 shares. Approximately 5.4% of the company's shares are sold short. Based on an average daily volume of 809,700 shares, the days-to-cover ratio is currently 4.1 days. Based on an average daily volume of 809,700 shares, the days-to-cover ratio is currently 4.1 days. Approximately 5.4% of the company's shares are sold short.

Analyst Upgrades and Downgrades

A number of equities analysts have recently commented on the company. JPMorgan Chase & Co. lifted their target price on UL Solutions from $64.00 to $70.00 and gave the stock an "overweight" rating in a report on Wednesday, August 6th. UBS Group dropped their price objective on UL Solutions from $72.00 to $70.00 and set a "neutral" rating for the company in a report on Wednesday, August 6th. Three analysts have rated the stock with a Buy rating and four have issued a Hold rating to the stock. According to data from MarketBeat.com, UL Solutions currently has a consensus rating of "Hold" and a consensus price target of $70.86.

UL Solutions Trading Down 2.2%

ULS stock traded down $1.49 during midday trading on Friday, reaching $66.85. The company's stock had a trading volume of 513,643 shares, compared to its average volume of 787,473. The company has a debt-to-equity ratio of 0.55, a quick ratio of 1.32 and a current ratio of 1.32. The stock has a fifty day simple moving average of $67.87 and a two-hundred day simple moving average of $64.29. UL Solutions has a 1 year low of $48.11 and a 1 year high of $74.15. The firm has a market capitalization of $13.43 billion, a price-to-earnings ratio of 41.27 and a beta of 0.97.

UL Solutions (NYSE:ULS - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $0.52 EPS for the quarter, beating the consensus estimate of $0.47 by $0.05. The firm had revenue of $776.00 million for the quarter, compared to analyst estimates of $771.55 million. UL Solutions had a return on equity of 37.33% and a net margin of 11.08%.The business's revenue for the quarter was up 6.3% on a year-over-year basis. During the same quarter last year, the firm posted $0.44 earnings per share. On average, equities research analysts predict that UL Solutions will post 1.69 EPS for the current year.

UL Solutions Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, September 8th. Stockholders of record on Friday, August 29th were paid a dividend of $0.13 per share. The ex-dividend date was Friday, August 29th. This represents a $0.52 annualized dividend and a dividend yield of 0.8%. UL Solutions's dividend payout ratio (DPR) is currently 32.10%.

Hedge Funds Weigh In On UL Solutions

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Cresset Asset Management LLC grew its stake in UL Solutions by 4.0% in the second quarter. Cresset Asset Management LLC now owns 4,174 shares of the company's stock valued at $304,000 after purchasing an additional 159 shares during the last quarter. PNC Financial Services Group Inc. grew its stake in UL Solutions by 28.2% in the second quarter. PNC Financial Services Group Inc. now owns 731 shares of the company's stock valued at $53,000 after purchasing an additional 161 shares during the last quarter. Parkside Financial Bank & Trust grew its stake in UL Solutions by 48.4% in the second quarter. Parkside Financial Bank & Trust now owns 524 shares of the company's stock valued at $38,000 after purchasing an additional 171 shares during the last quarter. KLP Kapitalforvaltning AS grew its stake in UL Solutions by 1.2% in the second quarter. KLP Kapitalforvaltning AS now owns 17,100 shares of the company's stock valued at $1,246,000 after purchasing an additional 200 shares during the last quarter. Finally, Hall Laurie J Trustee grew its stake in UL Solutions by 0.6% in the second quarter. Hall Laurie J Trustee now owns 56,405 shares of the company's stock valued at $4,110,000 after purchasing an additional 350 shares during the last quarter.

UL Solutions Company Profile

UL Solutions Inc provides safety science services worldwide. It operates through three segments: Industrial, Consumer, and Software and Advisory. The Industrial segment provides testing, inspection, and certification services across various end markets, including energy, industrial automation, engineered materials, and built environment, as well as stakeholders, such as manufacturers, building owners, end users, and regulators.