Stock Price & Analysis

Based on the recent technical indicators and news sentiment, UL stock shows mixed signals. The RSI at 38.62 indicates slightly oversold conditions, while the MACD at -0.91 suggests bearish momentum. Recent analyst downgrade from RBC Capital Markets to "underperform" raises concerns about volume growth sustainability and capital expenditure levels compared to competitors.

The stock should be sold at current levels for the following reasons:

1. RBC analysts highlight significant under-investment in capital expenditure which could hinder achieving the company's 2% volume growth target.

2. The upcoming ice cream business separation, while potentially positive long-term, creates near-term uncertainty.

Based on the provided data and recent market analysis, here is the price prediction for Unilever (UL) stock in 2025:

UL stock is expected to reach $52-54 by end of 2025, representing a potential -6% downside from current price of $55.66, primarily due to concerns over volume growth challenges and underinvestment in capital expenditure. RBC Capital Markets recently downgraded UL to "underperform" with a reduced price target, citing the company's struggles to achieve its 2% volume growth target and significantly lower capital expenditure compared to competitors. The planned separation of ice cream business, while strategically sound, may further impact market leadership position as UL will lead in only about half of its business sectors post-divestment.

The S1 support level for UL Stock is $54.84 ,The R1 resistant level for UL Stock is $56.75.

As of the end of day on 2025-01-24, the price of UL Stock was $56.69.

The market cap of UL is $139.9B.

Based on the provided data and recent market analysis, here's a concise evaluation of UL's valuation:

Current Market Position UL appears overvalued at current levels, particularly following its recent stock performance with an 18.5% surge over the past 12 months.

Key Valuation Concerns RBC Capital Markets recently downgraded UL to "underperform", citing several critical factors:

• Lower capital expenditure compared to competitors
• Challenges in achieving 2% volume growth target
• Reduced market leadership position after ice cream business divestment
• Historical struggles with volume growth (less than 1% annually since 2014)

Growth and Profitability While UL showed positive signs with 4.1% underlying sales growth in early 2024, the company faces headwinds:

• Currency depreciation in emerging markets offsetting volume growth
• Restructuring costs impacting earnings quality
• Concerns about potential neglect of 370 brands outside their core focus

Market Sentiment Recent analyst actions show mixed views:

• Erste Group downgraded to Hold from Strong Buy (Nov 2024)
• B of A Securities upgraded to Strong Buy with $72 price target (Aug 2024)
• Morgan Stanley downgraded to Sell with $48 target (Feb 2024)

Given these factors, particularly the valuation concerns raised by analysts and structural challenges in achieving sustainable growth, UL appears overvalued at current levels.

Unilever PLC is a United Kingdom-based fast-moving consumer goods (FMCG) company. The Company operates through five segments: Beauty & Wellbeing, Personal Care, Home Care, Nutrition and Ice Cream. The Beauty & Wellbeing segment sells hair care (shampoo, conditioner, styling), skin care (face, hand and body moisturizers) and includes Prestige Beauty and Health & Wellbeing. The Personal Care segment sells skin cleansing (soap, shower), deodorant and oral care (toothpaste, toothbrush, mouthwash) products. The Home Care segment sells fabric care (washing powders and liquids, rinse conditioners) and a range of cleaning products. The Nutrition sells scratch cooking aids (soups, bouillons, seasonings), dressings (mayonnaise, ketchup) and tea products. The Ice Cream segment includes ice cream products. It offers K18 is a biology hair care brand. Its subsidiaries include Unilever de Argentina S.A., Unilever Australia Limited, Unilever Canada Inc. and others.

Based on the available data and market analysis, here is the price prediction for Unilever (UL) stock by 2030:

Unilever stock is projected to reach $82-85 by 2030, driven by its strong market position in consumer staples and strategic restructuring initiatives including the ice cream business separation. The company's focus on emerging markets and operational efficiency improvements, along with its historically stable dividend growth, supports this moderate bullish outlook.

The stock could face near-term headwinds from volume growth challenges and capital expenditure concerns, but its strong brand portfolio and emerging market exposure should drive long-term appreciation.

UL has a total of 128000 employees.