Short Interest in Unilever PLC (NYSE:UL) Expands By 56.0%

Key Points

• Short interest in Unilever PLC increased by 56.0% in August, totaling 4,260,000 shares, which indicates a growing concern among investors.
• The company has announced a quarterly dividend of $0.5175 per share, representing a 3.2% yield based on an annualized basis, an increase from its previous dividend.
• Analysts have mixed views on Unilever, with ratings varying from Strong Buy to Sell, but the consensus rating is "Moderate Buy" with a target price of $73.00.

Unilever PLC (NYSE:UL - Get Free Report) was the target of a significant growth in short interest in August. As of August 15th, there was short interest totaling 4,260,000 shares, agrowthof56.0% from the July 31st total of 2,730,000 shares. Approximately0.2% of the shares of the stock are sold short. Based on an average daily trading volume, of 2,150,000 shares, the days-to-cover ratio is presently 2.0 days. Based on an average daily trading volume, of 2,150,000 shares, the days-to-cover ratio is presently 2.0 days. Approximately0.2% of the shares of the stock are sold short.

Wall Street Analyst Weigh In

Several research firms recently weighed in on UL. CICC Research began coverage on Unilever in a research note on Thursday, August 21st. They issued an "outperform" rating on the stock. Jefferies Financial Group reiterated an "underperform" rating on shares of Unilever in a research report on Sunday, August 3rd. BNP Paribas upgraded Unilever to a "strong-buy" rating in a research report on Thursday, May 29th. Finally, BNP Paribas Exane initiated coverage on Unilever in a research report on Thursday, May 29th. They issued an "outperform" rating and a $73.00 target price for the company. Two equities research analysts have rated the stock with a Strong Buy rating, three have given a Buy rating, two have assigned a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $73.00.

Unilever Stock Performance

Shares of UL traded down $0.75 during mid-day trading on Friday, reaching $64.26. 2,691,148 shares of the company were exchanged, compared to its average volume of 2,127,589. Unilever has a 52 week low of $54.32 and a 52 week high of $65.87. The stock has a market capitalization of $157.68 billion, a PE ratio of 18.41, a PEG ratio of 3.98 and a beta of 0.40. The business has a 50 day simple moving average of $61.37 and a two-hundred day simple moving average of $61.21.

Unilever Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Friday, September 12th. Shareholders of record on Friday, August 15th will be paid a $0.5175 dividend. This represents a $2.07 dividend on an annualized basis and a yield of 3.2%. This is a boost from Unilever's previous quarterly dividend of $0.52. The ex-dividend date of this dividend is Friday, August 15th. Unilever's payout ratio is 59.31%.

Institutional Investors Weigh In On Unilever

Hedge funds have recently added to or reduced their stakes in the company. N.E.W. Advisory Services LLC bought a new stake in shares of Unilever in the first quarter valued at $30,000. Vermillion Wealth Management Inc. bought a new stake in shares of Unilever in the fourth quarter valued at $30,000. Brentview Investment Management LLC purchased a new position in Unilever during the first quarter worth about $33,000. Richardson Financial Services Inc. grew its position in Unilever by 209.0% during the first quarter. Richardson Financial Services Inc. now owns 618 shares of the company's stock worth $37,000 after buying an additional 418 shares in the last quarter. Finally, Financial Connections Group Inc. purchased a new position in Unilever during the second quarter worth about $39,000. Institutional investors and hedge funds own 9.67% of the company's stock.

About Unilever

Unilever PLC operates as a fast-moving consumer goods company in the Asia Pacific, Africa, the Americas, and Europe. It operates through five segments: Beauty & Wellbeing, Personal Care, Home Care, Nutrition, and Ice Cream. The Beauty & Wellbeing segment engages in the sale of hair care products, such as shampoo, conditioner, and styling; skin care products including face, hand, and body moisturizer; and prestige beauty and health & wellbeing products consist of the vitamins, minerals, and supplements.

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