Unilever (GB:ULVR)
LSE:ULVR
Want to see GB:ULVR full AI Analyst Report?
Top Page
Unilever
(LSE:ULVR)
Select Model
Select Model
Rating:71Outperform
Price Target:
4,870.00 p
▲(13.28% Upside)
Action:ReiteratedDate:02/18/26
The score is driven mainly by steady profitability and reliable free cash flow, tempered by higher leverage. Technicals are supportive (price above key averages, positive MACD) but appear overextended on RSI/Stoch. Valuation is somewhat demanding at ~22.7x earnings, while the ~3.44% dividend yield and earnings-call outlook (cautious growth guidance plus buyback and cash generation) provide support.
Positive Factors
Margin expansion & profitability
Sustained operating margin of 20% and recent 60bp expansion reflect durable pricing power, cost discipline and productivity gains. That structural margin resilience supports cash generation and reinvestment capacity across categories despite cyclical pressures.
Negative Factors
Elevated leverage
A capital structure skewed to debt (~1.9 D/E) reduces financial flexibility and amplifies interest-rate and macro shocks. Elevated leverage constrains room for large M&A, increases refinancing risk, and limits agility if margins or cash flow weaken.
Read all positive and negative factors
Positive Factors
Negative Factors
Margin expansion & profitability
Sustained operating margin of 20% and recent 60bp expansion reflect durable pricing power, cost discipline and productivity gains. That structural margin resilience supports cash generation and reinvestment capacity across categories despite cyclical pressures.
Read all positive factors
Unilever (ULVR) vs. iShares MSCI United Kingdom ETF (EWC)
Market Cap
£96.30B
Dividend Yield3.85%
Average Volume (3M)3.51M
Price to Earnings (P/E)11.8
Beta (1Y)0.28
Revenue Growth-16.19%
EPS Growth8.30%
CountryUK
Employees115,964
SectorConsumer Defensive
Sector Strength42
IndustryHousehold & Personal Products
Share Statistics
EPS (TTM)1.89
Shares Outstanding2,185,205,300
10 Day Avg. Volume3,332,911
30 Day Avg. Volume3,509,998
Financial Highlights & Ratios
PEG Ratio1.06
Price to Book (P/B)7.83
Price to Sales (P/S)2.41
P/FCF Ratio19.04
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
£5,170.00Price Target Upside20.26% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering15
EPS Forecast (FY)3.18
Revenue Forecast (FY)£51.45B
Unilever Business Overview & Revenue Model
Company Description
Unilever PLC operates as a fast-moving consumer goods company. It operates through Beauty & Personal Care, Foods & Refreshment, and Home Care segments. The Beauty & Personal Care segment provides skin care and hair care products, deodorants, and s...
How the Company Makes Money
Unilever makes money primarily by selling branded consumer products to customers across multiple categories. Its core revenue model is product sales, where Unilever supplies goods (manufactured internally and/or through third-party manufacturers) ...
Unilever Earnings Call Summary
Earnings Call Date:Feb 12, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Jul 23, 2026
Earnings Call Sentiment Neutral
The call presents a broadly positive operational and strategic story: volume-led growth, Power Brands outperformance, margin expansion, strong cash generation, active portfolio reshaping and a clear capital allocation framework. However, significant near-term headwinds persist from currency, regional softness (notably Latin America and China for the year), pockets of underperformance (non-Power Brands, certain Hair Care and Prestige assets), demerger-related costs and selective commodity inflation. Management guidance for 2026 is cautious (bottom end of the 4-6% multiyear range, volumes at least 2% and modest margin improvement), reflecting both confidence in the transformation and recognition of continuing external risks.Positive Updates
Group underlying sales growth and quarter-on-quarter improvement
Underlying sales growth of 3.5% for FY2025 (volumes +1.5%, price +2.0%) with clear sequential improvement into Q4: Q4 underlying sales growth 4.2% (volumes +2.1%, price +2.0%).
Negative Updates
Significant currency headwinds and reported turnover decline
Turnover EUR 50.5bn, down 3.8% versus prior year driven by FX which reduced turnover by 5.9%; on a constant currency basis turnover increased by 2.3%.
Read all updates
Q4-2025 Updates
Positive
Negative
Group underlying sales growth and quarter-on-quarter improvement
Underlying sales growth of 3.5% for FY2025 (volumes +1.5%, price +2.0%) with clear sequential improvement into Q4: Q4 underlying sales growth 4.2% (volumes +2.1%, price +2.0%).
Read all positive updates
Company Guidance
The company guided 2026 underlying sales growth at the bottom end of its 4–6% multiyear range (c.4%), with underlying volume growth of at least 2% and a “modest” further improvement to underlying operating margin (2025 margin: 20%); it expects overall inflation to be lower than 2025 but selective commodity pressure (palm, canola, surfactants), currency headwinds that are heavier in H1, and continued reinvestment into brands. Capital allocation guidance included a new €1.5bn share buyback, continued attractive/growing dividends (in principle a 70:30 dividend:buyback balance), CapEx around ~3% of turnover (3.1% in 2025) with ~55–60% focused on productivity/margin initiatives, completion of the €800m productivity program (€670m delivered in 2025 with ~€130m remaining in 2026), and a commitment to strong cash generation/100% cash conversion and a balanced capital structure (net debt/EBITDA ~2x).Unilever Financial Statement Overview
Summary
Income Statement
74
Positive
Balance Sheet
58
Neutral
Cash Flow
71
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 50.50B | 60.76B | 59.60B | 60.07B | 52.44B |
| Gross Profit | 23.71B | 27.37B | 25.18B | 24.17B | 22.18B |
| EBITDA | 11.11B | 11.74B | 11.99B | 13.07B | 10.82B |
| Net Income | 5.99B | 5.74B | 6.49B | 7.64B | 6.05B |
Balance Sheet | |||||
| Total Assets | 70.56B | 79.75B | 75.27B | 77.82B | 75.09B |
| Cash, Cash Equivalents and Short-Term Investments | 5.07B | 7.63B | 6.11B | 5.52B | 4.50B |
| Total Debt | 29.64B | 30.66B | 28.59B | 28.44B | 29.67B |
| Total Liabilities | 52.95B | 57.20B | 54.50B | 56.12B | 55.35B |
| Stockholders Equity | 15.55B | 19.99B | 18.10B | 19.02B | 17.11B |
Cash Flow | |||||
| Free Cash Flow | 6.39B | 7.55B | 7.68B | 5.66B | 6.73B |
| Operating Cash Flow | 7.78B | 9.52B | 9.43B | 7.28B | 7.97B |
| Investing Cash Flow | -3.65B | -625.00M | -2.29B | 2.45B | -3.25B |
| Financing Cash Flow | -5.69B | -6.94B | -7.19B | -8.89B | -7.10B |
Unilever Technical Analysis
Negative
4299.00
Price Trends
4840.38
Negative
Market Momentum
-159.59
Negative
36.08
Neutral
56.29
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:ULVR, the sentiment is Negative. The current price of 4299 is below the 20-day moving average (MA) of 4361.07, below the 50-day MA of 4840.38, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -159.59 indicates Negative momentum. The RSI at 36.08 is Neutral, neither overbought nor oversold. The STOCH value of 56.29 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for GB:ULVR.
Unilever Risk Analysis
Unilever disclosed 14 risk factors in its most recent earnings report. Unilever reported the most risks in the "Ability to Sell" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Unilever Peers Comparison
UnderperformOutperform
Sector (62)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
76 Outperform | £1.71B | 8.95 | 9.27% | 1.62% | 0.50% | 20.52% | |
71 Outperform | £96.30B | 11.79 | 26.01% | 3.85% | -16.19% | 8.30% | |
69 Neutral | £12.86B | 7.89 | 8.44% | 2.98% | -2.16% | -24.87% | |
66 Neutral | £32.93B | 4.45 | 21.39% | 5.00% | -4.98% | -35.54% | |
66 Neutral | £30.20B | 4.35 | 38.45% | 3.44% | 0.25% | 131.13% | |
62 Neutral | $20.33B | 14.63 | -3.31% | 3.23% | 1.93% | -12.26% | |
54 Neutral | £322.17M | 14.34 | -2.16% | 4.82% | 6.74% | 26.11% |
* Consumer Defensive Sector Average
GB:ULVR
Unilever
4,407.00
-403.15
-8.38%
GB:DGE
Diageo
1,480.80
-562.47
-27.53%
GB:ABF
Associated British Foods
1,833.00
-156.37
-7.86%
GB:PFD
Premier Foods
198.10
-0.58
-0.29%
GB:PZC
PZ Cussons
76.80
0.35
0.45%
GB:RKT
Reckitt
4,713.00
-76.97
-1.61%
Unilever Corporate Events
Regulatory Filings and Compliance
Unilever Updates Share Capital and Voting Rights Ahead of Disclosure Assessments
Neutral
May 1, 2026
Unilever PLC reported that as of 30 April 2026 its issued share capital comprised 2,185,205,247 ordinary shares, with no treasury shares and 253,651 shares held by Unilever group companies whose voting rights are not exercisable. This leaves 2,184...
Business Operations and StrategyStock Buyback
Unilever Launches €1.5 Billion Share Buyback to Cut Capital
Positive
Apr 30, 2026
Unilever has launched a new share buyback programme of up to €1.5 billion, aimed at reducing its share capital and executing within existing shareholder authorities. The buyback, capped at 223,263,040 shares, runs from 30 April to no later t...
Business Operations and StrategyStock BuybackDividendsFinancial DisclosuresM&A Transactions
Unilever Delivers Volume-Led Q1 Growth as It Repositions Around Core HPC
Positive
Apr 30, 2026
Unilever reported first-quarter 2026 underlying sales growth of 3.8%, driven mainly by 2.9% volume growth, with broad-based gains across all business groups and strong contributions from its Power Brands. Emerging markets led performance, notably ...
DividendsRegulatory Filings and Compliance
Unilever Executives Reinvest Dividends in Routine Share Purchases
Positive
Apr 20, 2026
Unilever has disclosed a series of share transactions by several senior executives, including its chief financial officer, business group presidents and other leadership members, who reinvested cash dividends into additional Unilever PLC ordinary ...
Business Operations and StrategyRegulatory Filings and Compliance
Unilever Clarifies Voting Share Capital for Regulatory Disclosure
Neutral
Apr 1, 2026
Unilever PLC has updated the market on its voting rights and capital structure as of 31 March 2026, reporting an issued share capital of 2,185,205,247 ordinary shares, with no treasury shares and 256,282 shares held within the Unilever group that ...
Regulatory Filings and ComplianceShareholder Meetings
Unilever Sets Date and Details for 2026 Annual General Meeting
Neutral
Mar 31, 2026
Unilever PLC has scheduled its 2026 Annual General Meeting for 13 May 2026 at the Hilton London Bankside in London, providing shareholders with key governance and voting information ahead of the event. The company has distributed the chair’s...
Business Operations and StrategyStock BuybackM&A Transactions
Unilever Spins Off Foods in $44.8bn McCormick Tie-Up to Sharpen HPC Focus
Positive
Mar 31, 2026
Unilever has agreed to combine its Foods business with McCormick Company, creating a $20 billion-revenue global flavour group spanning herbs, spices, seasonings, cooking aids, sauces and condiments. The combined business, which will retain the Mc...
Business Operations and StrategyM&A Transactions
Unilever in advanced talks to fold most Foods unit into McCormick
Positive
Mar 31, 2026
Unilever PLC said it is in advanced talks with U.S.-based McCormick Company over a potential strategic transaction involving most of its Foods business. The move follows earlier market speculation and reflects Unilever’s ongoing portfolio m...
Business Operations and StrategyM&A Transactions
Unilever Confirms Offer From McCormick for Foods Business
Neutral
Mar 20, 2026
Unilever has acknowledged recent media speculation by confirming it has received an unsolicited offer from McCormick Company, Inc. for its Foods business and is currently in discussions regarding a potential transaction. The board maintains that ...
Executive/Board ChangesFinancial DisclosuresRegulatory Filings and Compliance
Unilever Files 2025 Annual Report and Delays New Board Appointment to 2027
Neutral
Mar 12, 2026
Unilever has published its 2025 Annual Report and Accounts and its 2025 Form 20-F, making the documents available on its website and through key regulatory channels in the UK, the Netherlands and the U.S. The filings, covering the year ended 31 De...
Business Operations and StrategyExecutive/Board Changes
Unilever Grants Performance Share Awards to Senior Leadership
Positive
Mar 10, 2026
Unilever has disclosed a series of performance share plan (PSP) awards in the form of ordinary shares and ADRs granted to several members of its leadership executive, including business group presidents, the chief RD officer, and the CEO of Hindus...
Regulatory Filings and Compliance
Unilever Discloses Share Sale by Foods Division President
Neutral
Mar 6, 2026
Unilever has disclosed a share transaction by Heiko Schipper, Business Group President, Foods and a member of the Unilever Leadership Executive. Schipper sold 2,600 Unilever PLC ordinary shares on 6 March 2026 on the Amsterdam Stock Exchange at a ...
Regulatory Filings and Compliance
Unilever Discloses Share Sale by Foods Division President
Neutral
Mar 6, 2026
Unilever disclosed that Heiko Schipper, Business Group President for Foods and a member of the Unilever Leadership Executive, sold 2,600 Unilever PLC ordinary shares on 6 March 2026. The transaction, executed on the Amsterdam Stock Exchange at a p...
Regulatory Filings and Compliance
Unilever Updates Share Capital and Voting Rights for Investors
Neutral
Mar 2, 2026
Unilever PLC has provided an update on its voting rights and capital structure as of 27 February 2026, confirming an issued share capital of 2,185,205,247 ordinary shares with no treasury shares held. Of these, 256,281 shares are held within the U...
Executive/Board Changes
Unilever Names Prakash Kakkad Chief Legal Officer and Group Company Secretary
Positive
Mar 2, 2026
Unilever PLC has appointed Prakash Kakkad as its new Chief Legal Officer and Group Company Secretary, effective 1 March 2026. He will also join the Unilever Leadership Executive, underscoring the strategic importance of the legal and governance fu...
Regulatory Filings and Compliance
Unilever Discloses £1 Million Share Sale by R&D Chief Richard Slater
Neutral
Feb 19, 2026
Unilever PLC disclosed that Chief Research Development Officer Richard Slater, a member of the Unilever Leadership Executive, has carried out a share transaction involving the company’s ordinary shares. The notification forms part of regula...
Executive/Board ChangesRegulatory Filings and Compliance
Unilever Details Vesting of Performance Share Awards to Senior Leaders
Neutral
Feb 16, 2026
Unilever has disclosed a series of share awards vesting to senior executives under its performance share plan, reinforcing equity-based compensation as a core element of leadership pay. Chief Financial Officer Srinivas Phatak, several Unilever Lea...
Executive/Board ChangesRegulatory Filings and Compliance
Unilever Discloses Vesting of Performance Share Awards to Senior Executives
Neutral
Feb 16, 2026
Unilever has disclosed multiple share transactions involving members of its senior leadership, following the vesting of performance share plan (PSP) awards in both London-listed ordinary shares and U.S.-traded ADRs. Executives including CFO Sriniv...
Executive/Board Changes
Unilever Discloses Expanded External Role for Senior Independent Director Susan Kilsby
Neutral
Feb 13, 2026
Unilever PLC disclosed a change in external responsibilities for one of its senior board members, underlining the continued prominence of its directors in international corporate leadership. The company reported that non-executive director Susan K...
Private Placements and FinancingRegulatory Filings and Compliance
Unilever Updates Documentation for U.S.$25 Billion Debt Issuance Programme
Neutral
Feb 12, 2026
Unilever has published a new FCA-approved supplement to its U.S.$25 billion debt issuance programme, covering Unilever Finance Netherlands B.V., Unilever Capital Corporation, and Unilever PLC as issuers, with Unilever PLC and Unilever United State...
Business Operations and StrategyStock BuybackDividendsFinancial DisclosuresM&A Transactions
Unilever lifts margins and reshapes portfolio as Ice Cream demerger completes
Positive
Feb 12, 2026
Unilever reported 2025 underlying sales growth of 3.5% driven by a 1.5% rise in volumes, resilient margins and strong contributions from its Power Brands, even as headline turnover declined due to currency headwinds and disposals. The group expand...
Business Operations and Strategy
Unilever Issues 4.2 Million New Shares to Satisfy Employee Share Awards
Neutral
Feb 5, 2026
Unilever PLC has issued and allotted 4,200,000 new ordinary shares of 3½ pence each to satisfy the vesting of awards under its employee share schemes, including the Unilever Share Plan 2017, the Unilever North America Omnibus Equity Compensat...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.