Universal (NYSE:UVV) Share Price Crosses Above Two Hundred Day Moving Average - What's Next?

Key Points

• Universal shares crossed above their 200-day moving average, reaching $55.92 before last trading at approximately $54.79, up 2.3%.
• Analyst sentiment remains negative: Weiss Ratings downgraded the stock to “hold,” Zacks Research cut it to “strong sell,” and MarketBeat reports an average rating of “Reduce.” The company also missed quarterly earnings expectations, reporting a loss of $0.46 per share versus the expected $1.08 profit.
• Universal increased its quarterly dividend to $0.83 per share, or $3.32 annually, implying a 6.1% yield; however, its dividend payout ratio is elevated at 257.36%.

Universal Corporation (NYSE:UVV - Get Free Report) shares crossed above its 200-day moving average during trading on Tuesday . The stock has a 200-day moving average of $53.38 and traded as high as $55.92. Universal shares last traded at $54.7870, with a volume of 234,754 shares changing hands.

Analysts Set New Price Targets

Several analysts have commented on UVV shares. Weiss Ratings cut shares of Universal from a "hold (c+)" rating to a "hold (c)" rating in a research note on Tuesday, June 2nd. Zacks Research lowered Universal from a "hold" rating to a "strong sell" rating in a research note on Wednesday, June 3rd. One research analyst has rated the stock with a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat.com, Universal has an average rating of "Reduce".

Universal Stock Up 2.3%

The firm has a fifty day simple moving average of $52.94 and a 200 day simple moving average of $53.38. The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.66 and a current ratio of 3.49. The company has a market cap of $1.37 billion, a PE ratio of 42.47, a PEG ratio of 4.15 and a beta of 0.59.

Universal (NYSE:UVV - Get Free Report) last announced its quarterly earnings data on Thursday, May 28th. The company reported ($0.46) earnings per share for the quarter, missing the consensus estimate of $1.08 by ($1.54). Universal had a return on equity of 4.43% and a net margin of 1.12%.The company had revenue of $715.24 million for the quarter, compared to analysts' expectations of $728.20 million. Equities research analysts predict that Universal Corporation will post 4.3 EPS for the current year.

Universal Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Monday, July 13th will be given a dividend of $0.83 per share. This represents a $3.32 annualized dividend and a yield of 6.1%. This is a positive change from Universal's previous quarterly dividend of $0.82. The ex-dividend date of this dividend is Monday, July 13th. Universal's dividend payout ratio (DPR) is currently 257.36%.

Insiders Place Their Bets

In other Universal news, Director Robert C. Sledd sold 2,845 shares of the stock in a transaction that occurred on Wednesday, June 3rd. The shares were sold at an average price of $54.12, for a total transaction of $153,971.40. Following the transaction, the director owned 11,959 shares of the company's stock, valued at $647,221.08. This trade represents a 19.22% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. 2.20% of the stock is currently owned by corporate insiders.

Institutional Trading of Universal

Institutional investors and hedge funds have recently made changes to their positions in the company. Farther Finance Advisors LLC raised its position in shares of Universal by 75.2% in the 4th quarter. Farther Finance Advisors LLC now owns 466 shares of the company's stock worth $25,000 after buying an additional 200 shares during the period. Bessemer Group Inc. grew its position in Universal by 67.1% during the first quarter. Bessemer Group Inc. now owns 518 shares of the company's stock valued at $27,000 after acquiring an additional 208 shares during the period. Aster Capital Management DIFC Ltd grew its position in Universal by 1,634.4% during the fourth quarter. Aster Capital Management DIFC Ltd now owns 555 shares of the company's stock valued at $29,000 after acquiring an additional 523 shares during the period. Ankerstar Wealth LLC acquired a new stake in Universal during the fourth quarter worth about $37,000. Finally, EverSource Wealth Advisors LLC increased its stake in Universal by 265.0% during the second quarter. EverSource Wealth Advisors LLC now owns 719 shares of the company's stock worth $42,000 after acquiring an additional 522 shares during the last quarter. 81.00% of the stock is currently owned by institutional investors and hedge funds.

Universal Company Profile

Universal Corporation NYSE: UVV is a global agribusiness company primarily engaged in the procurement, processing and sale of leaf tobacco. Headquartered in Richmond, Virginia, the company sources cured leaf tobacco from key growing regions in North and South America, Africa and Asia. Universal serves major multinational tobacco manufacturers by providing a full range of services including inventory management, quality control and logistics support to ensure a consistent and reliable supply of tobacco leaf.

In addition to its core leaf tobacco operations, Universal offers integrated supply-chain services that encompass warehousing, distribution and ingredient sourcing for smokeless and novel tobacco products.

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