Unilever
Unilever PLC operates in the fast moving consumer goods industry worldwide. The last earnings update was 126 days ago. More info.
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ULVR Share Price and Events
7 Day Returns
1 Year Returns
ULVR Shareholder Return
| 7 Day | 30 Day | 90 Day | 1 Year | 3 Year | 5 Year | |
|---|---|---|---|---|---|---|
| Unilever (ULVR) | -0.7% | 1% | 14.9% | 19.8% | 40.5% | 90.2% |
| GB Personal Products | -0.8% | 0.6% | 15.1% | 19% | 39.6% | 89.8% |
| GB Market | -0.6% | 1.4% | 0.4% | -2.2% | 11.5% | 6.7% |
1 Year Return vs Industry and Market
- ULVR matched the Personal Products industry (19%) over the past year.
- ULVR outperformed the Market in United Kingdom of Great Britain and Northern Ireland which returned -2.2% over the past year.
Value
Is Unilever undervalued based on future cash flows and its price relative to the stock market?
Value is all about what a company is worth versus what price it is
available for. If you went into a grocery store and all the bananas were on sale
at half price, they could be considered
undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current
share
price of
Unilever
to its discounted cash flow analysis.value.The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Below are the data sources, inputs and calculation used to determine the intrinsic value for Unilever.
| Data Point | Source | Value |
|---|---|---|
| Valuation Model | 2 Stage Free Cash Flow to Equity | |
| Levered Free Cash Flow | Average of 15 Analyst Estimates (S&P Global) | See below |
| Discount Rate (Cost of Equity) | See below | 7.3% |
| Perpetual Growth Rate | 10-Year GB Government Bond Rate | 1.2% |
An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.
| Data Point | Calculation/ Source | Result |
|---|---|---|
| Risk-Free Rate | 10-Year GB Govt Bond Rate | 1.2% |
| Equity Risk Premium | S&P Global | 6.7% |
| Personal Products Unlevered Beta | Simply Wall St/ S&P Global | 0.75 |
| Re-levered Beta | = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.751 (1 + (1- 19%) (18.02%)) |
0.907 |
| Levered Beta | Levered Beta limited to 0.8 to 2.0 (practical range for a stable firm) |
0.91 |
| Discount Rate/ Cost of Equity |
= Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 1.23% + (0.907 * 6.65%) |
7.26% |
Discounted Cash Flow Calculation for LSE:ULVR using 2 Stage Free Cash Flow to Equity Model
The calculations below outline how an intrinsic value for Unilever is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.
| Levered FCF (EUR, Millions) | Source |
Present Value Discounted (@ 7.26%) |
|
|---|---|---|---|
| 2020 | 6,987.71 | Analyst x11 | 6,514.91 |
| 2021 | 7,491.04 | Analyst x8 | 6,511.63 |
| 2022 | 8,503.00 | Analyst x1 | 6,891.17 |
| 2023 | 9,107.85 | Est @ 7.11% | 6,881.93 |
| 2024 | 9,594.90 | Est @ 5.35% | 6,759.40 |
| 2025 | 9,989.38 | Est @ 4.11% | 6,561.15 |
| 2026 | 10,313.64 | Est @ 3.25% | 6,315.78 |
| 2027 | 10,585.95 | Est @ 2.64% | 6,043.92 |
| 2028 | 10,820.57 | Est @ 2.22% | 5,759.87 |
| 2029 | 11,028.27 | Est @ 1.92% | 5,473.23 |
| Present value of next 10 years cash flows | €63,712.99 | ||
| Calculation | Result | |
|---|---|---|
| Terminal Value |
= FCF2029
× (1 + g) ÷ (Discount Rate – g)
= €11,028.27 × (1 + 1.23%) ÷ (7.26% – 1.23%) |
€185,128.43 |
| Present Value of Terminal Value |
= Terminal Value ÷ (1 + r)10
= €185,128.43 ÷ (1 + 7.26%)10 |
€91,877.48 |
| Calculation | Result | |
|---|---|---|
| Total Equity Value |
= Present value of next 10 years cash flows +
Terminal Value
= €63,712.99 + €91,877.48 |
€155,590.46 |
| Equity Value per Share (EUR) |
= Total value / Shares Outstanding
= €155,590.46 / 2,471.71 |
€62.95 |
| Calculation | Result | |
|---|---|---|
| Exchange Rate | EUR/GBP
(Reporting currency to currency of LSE:ULVR) |
0.899 |
| Value per Share (GBP) |
= Value per Share in EUR x Exchange Rate (EUR/GBP)
= €62.95 x 0.899 |
£56.62 |
| Value per share (GBP) | From above. | £56.62 |
| Current discount | Discount to share price of
£50.25
= -1 x (£50.25 - £56.62) / £56.62 |
11.3% |
Learn more about our DCF calculations in Simply Wall St’s analysis model .
Current Discount
Current Discount Checks
- Unilever's share price is below the future cash flow value, but not at a moderate discount (< 20%).
- Unilever's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for
it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing
when they are out of season, or how much your home is worth.The amount the stock market is willing to pay for Unilever's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are
Unilever's earnings available for a low price, and how does
this compare to other companies in the same industry?
| Data Point | Source | Value |
|---|---|---|
| Earnings Per Share * | Company Filings (2018-12-31) in EUR | €3.50 |
| LSE:ULVR Share Price ** | LSE (2019-07-15) in GBP | £50.25 |
| LSE:ULVR Share Price converted to EUR reporting currency | Exchange rate (GBP/ EUR) 1.112 | €55.86 |
| United Kingdom of Great Britain and Northern Ireland Personal Products Industry PE Ratio | Median Figure of 5 Publicly-Listed Personal Products Companies | 17.58x |
| United Kingdom of Great Britain and Northern Ireland Market PE Ratio | Median Figure of 790 Publicly-Listed Companies | 16.48x |
* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.
** Primary Listing of Unilever.
| Calculation | Outcome | |
|---|---|---|
| PE Ratio | = LSE:ULVR Share Price ÷ EPS (both in EUR) = 55.86 ÷ 3.50 |
15.97x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unilever is good value based on earnings compared to the GB Personal Products industry average.
- Unilever is good value based on earnings compared to the United Kingdom of Great Britain and Northern Ireland market.
Price based on expected Growth
Does
Unilever's expected growth come at a high price?
| Data Point | Source | Value |
|---|---|---|
| PE Ratio | See PE Ratio Section | 15.97x |
| Net Income Annual Growth Rate | See Future Growth Section. Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts |
-4.6%per year |
| Europe Personal Products Industry PEG Ratio | Median Figure of 17 Publicly-Listed Personal Products Companies | 0.85x |
| United Kingdom of Great Britain and Northern Ireland Market PEG Ratio | Median Figure of 572 Publicly-Listed Companies | 1.45x |
*Line of best fit is calculated by linear regression .
| Calculation | Outcome | |
|---|---|---|
| PEG Ratio | = PE Ratio ÷ Net Income Annual Growth Rate = 15.97x ÷ -4.6% |
-3.47x |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unilever earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on
Unilever's
assets?
| Data Point | Source | Value |
|---|---|---|
| Book Value per Share | Company Filings (2018-12-31) in EUR | €4.43 |
| LSE:ULVR Share Price * | LSE (2019-07-15) in GBP | £50.25 |
| LSE:ULVR Share Price converted to EUR reporting currency | Exchange rate (GBP/ EUR) 1.112 | €55.86 |
| United Kingdom of Great Britain and Northern Ireland Personal Products Industry PB Ratio | Median Figure of 8 Publicly-Listed Personal Products Companies | 1.78x |
| United Kingdom of Great Britain and Northern Ireland Market PB Ratio | Median Figure of 1,377 Publicly-Listed Companies | 1.5x |
| Calculation | Outcome | |
|---|---|---|
| PB Ratio | = LSE:ULVR Share Price ÷ Book Value per Share (both in EUR) = 55.86 ÷ 4.43 |
12.62x |
* Primary Listing of Unilever.
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Unilever is overvalued based on assets compared to the GB Personal Products industry average.
Value checks
We assess Unilever's value by looking at:- Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
- Is the PE ratio less than the market average, and/ or less than the Personal Products industry average (and greater than 0)? (2 checks)
- Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
- Is the PB ratio less than the Personal Products industry average (and greater than 0)? (1 check) Unilever has a total score of 2/6, see the detailed checks below.
Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.
Full details on the Value part of the Simply Wall St company analysis model.
Future Performance
How is Unilever expected to perform in the next 1 to 3 years based on estimates from 15 analysts?
The future performance of a company is measured in the same way as past
performance, by looking at estimated
growth
and how much profit it is expected to make.Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Earnings growth vs Low Risk Savings
- Unilever's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 1.2%.
Growth vs Market Checks
- Unilever's earnings are expected to decrease over the next 1-3 years, this is below the United Kingdom of Great Britain and Northern Ireland market average.
- Unilever's revenue growth is positive but not above the United Kingdom of Great Britain and Northern Ireland market average.
Annual Growth Rates Comparison
| Data Point | Source | Value (per year) |
|---|---|---|
| LSE:ULVR Future Earnings Growth Rate | Line of Best Fit* through Consensus Estimate Earnings of 15 Analysts | -4.6% |
| LSE:ULVR Future Revenue Growth Rate | Line of Best Fit* through Consensus Estimate Revenue of 15 Analysts | 3.7% |
| United Kingdom of Great Britain and Northern Ireland Personal Products Industry Earnings Growth Rate | Market Cap Weighted Average | -4.6% |
| United Kingdom of Great Britain and Northern Ireland Personal Products Industry Revenue Growth Rate | Market Cap Weighted Average | 3.8% |
| United Kingdom of Great Britain and Northern Ireland Market Earnings Growth Rate | Market Cap Weighted Average | 10.9% |
| United Kingdom of Great Britain and Northern Ireland Market Revenue Growth Rate | Market Cap Weighted Average | 4.8% |
*Line of best fit is calculated by linear regression .
Industry and Market average data is calculated daily.
Learn more about our growth rate calculations in Simply Wall St’s analysis model.
Analysts growth expectations
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (6 months ago) | See Below |
| Future Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
| Date (Data in EUR Millions) | Revenue | Cash Flow | Net Income * | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | 60,861 | 1 | ||
| 2022-12-31 | 60,408 | 10,237 | 8,389 | 2 |
| 2021-12-31 | 56,802 | 10,136 | 7,272 | 12 |
| 2020-12-31 | 54,507 | 9,267 | 6,795 | 15 |
| 2019-12-31 | 52,121 | 7,896 | 6,118 | 15 |
| Date (Data in EUR Millions) | Revenue | Cash Flow | Net Income * |
|---|---|---|---|
| 2018-12-31 | 50,982 | 6,753 | 9,389 |
| 2018-09-30 | 51,662 | 7,133 | 7,686 |
| 2018-06-30 | 52,342 | 7,513 | 5,982 |
| 2018-03-31 | 53,029 | 7,403 | 6,018 |
| 2017-12-31 | 53,715 | 7,292 | 6,053 |
| 2017-09-30 | 53,935 | 7,353 | 5,918 |
| 2017-06-30 | 54,155 | 7,413 | 5,782 |
| 2017-03-31 | 53,434 | 7,230 | 5,483 |
| 2016-12-31 | 52,713 | 7,047 | 5,184 |
| 2016-09-30 | 52,639 | 6,975 | 5,058 |
| 2016-06-30 | 52,564 | 6,903 | 4,932 |
| 2016-03-31 | 52,918 | 7,117 | 4,921 |
*GAAP earnings excluding extraordinary items.
Past and Future Earnings per Share
| Data Point | Source | Value |
|---|---|---|
| Past Financials | Company Filings (6 months ago) | See Below |
| Future Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
All data from Unilever Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in EUR Millions) | EPS * | EPS High Estimate | EPS Low Estimate | Avg. No. Analysts |
|---|---|---|---|---|
| 2023-12-31 | ||||
| 2022-12-31 | 3.09 | 3.09 | 3.09 | 1.00 |
| 2021-12-31 | 2.84 | 2.97 | 2.63 | 5.00 |
| 2020-12-31 | 2.61 | 2.75 | 2.33 | 8.00 |
| 2019-12-31 | 2.30 | 2.55 | 2.03 | 8.00 |
| Date (Data in EUR Millions) | EPS * |
|---|---|
| 2018-12-31 | 3.50 |
| 2018-09-30 | 2.83 |
| 2018-06-30 | 2.18 |
| 2018-03-31 | 2.17 |
| 2017-12-31 | 2.16 |
| 2017-09-30 | 2.10 |
| 2017-06-30 | 2.04 |
| 2017-03-31 | 1.93 |
| 2016-12-31 | 1.83 |
| 2016-09-30 | 1.78 |
| 2016-06-30 | 1.74 |
| 2016-03-31 | 1.73 |
*GAAP earnings excluding extraordinary items.
Future performance checks
We assess Unilever's future performance by looking at:- Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
- Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United Kingdom of Great Britain and Northern Ireland market? (1 check)
- Is the annual earnings growth rate expected to be above 20%? (1 check)
- Is the annual revenue growth rate expected to be above 20%? (1 check)
- Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Unilever has a total score of 1/6, see the detailed checks below.
Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.
Full details on the Future part of the Simply Wall St company analysis model.
Past Performance
How has Unilever performed over the past 5 years?
The past performance of a company can be measured by how much
growth
it has experienced and how much profit it makes relative to the funds and assets
it has available.
Past earnings growth
Past Earnings growth analysis
- Unilever's year on year earnings growth rate has been positive over the past 5 years.
- Unilever's 1-year earnings growth exceeds its 5-year average (55.1% vs 9%)
- Unilever's earnings growth has exceeded the Europe Personal Products industry average in the past year (55.1% vs 11%).
Earnings and Revenue History
All data from Unilever Company Filings, last reported 6 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.
| Date (Data in EUR Millions) | Revenue | Net Income * | G+A Expenses | R&D Expenses |
|---|---|---|---|---|
| 2018-12-31 | 50,982.00 | 9,389.00 | 8,803.00 | 900.00 |
| 2018-09-30 | 51,662.00 | 7,685.50 | 11,116.50 | 900.00 |
| 2018-06-30 | 52,342.00 | 5,982.00 | 13,430.00 | 900.00 |
| 2018-03-31 | 53,028.50 | 6,017.50 | 13,468.50 | 900.00 |
| 2017-12-31 | 53,715.00 | 6,053.00 | 13,507.00 | 900.00 |
| 2017-09-30 | 53,935.00 | 5,917.50 | 13,680.50 | 939.00 |
| 2017-06-30 | 54,155.00 | 5,782.00 | 13,854.00 | 978.00 |
| 2017-03-31 | 53,434.00 | 5,483.00 | 13,826.50 | 978.00 |
| 2016-12-31 | 52,713.00 | 5,184.00 | 13,799.00 | 978.00 |
| 2016-09-30 | 52,638.50 | 5,058.00 | 13,936.00 | 991.50 |
| 2016-06-30 | 52,564.00 | 4,932.00 | 14,073.00 | 1,005.00 |
| 2016-03-31 | 52,918.00 | 4,920.50 | 14,069.00 | 1,005.00 |
| 2015-12-31 | 53,272.00 | 4,909.00 | 14,065.00 | 1,005.00 |
| 2015-09-30 | 52,300.50 | 4,875.50 | 12,626.00 | 980.00 |
| 2015-06-30 | 51,329.00 | 4,842.00 | 11,187.00 | 955.00 |
| 2015-03-31 | 49,882.50 | 5,006.50 | 11,197.50 | 955.00 |
| 2014-12-31 | 48,436.00 | 5,171.00 | 11,208.00 | 955.00 |
| 2014-09-30 | 48,415.50 | 5,201.00 | 11,744.50 | 997.50 |
| 2014-06-30 | 48,395.00 | 5,231.00 | 12,281.00 | 1,040.00 |
| 2014-03-31 | 49,096.00 | 5,036.50 | 12,294.50 | 1,040.00 |
| 2013-12-31 | 49,797.00 | 4,842.00 | 12,308.00 | 1,040.00 |
| 2013-09-30 | 50,611.50 | 4,757.00 | 12,244.50 | 1,523.00 |
| 2013-06-30 | 51,426.00 | 4,672.00 | 13,841.00 | |
| 2013-03-31 | 51,375.00 | 4,520.00 | 13,815.00 | |
| 2012-12-31 | 51,324.00 | 4,368.00 | 12,959.00 | 1,003.00 |
| 2012-09-30 | 50,200.50 | 4,123.00 | 13,142.00 |
*GAAP earnings excluding extraordinary items.
Performance last year
We want to ensure a company is making the most of what it has available. This is
done by comparing the return (profit) to a company's available
funds,
assets
and
capital.
- Whilst Unilever made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
- Unilever used its assets more efficiently than the GB Personal Products industry average last year based on Return on Assets.
- Unilever has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
Past performance checks
We assess Unilever's performance over the past 5 years by checking for:- Has earnings increased in past 5 years? (1 check)
- Has the earnings growth in the last year exceeded that of the Personal Products industry? (1 check)
- Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
- Is the Return on Equity (ROE) higher than 20%? (1 check)
- Is the Return on Assets (ROA) above industry average? (1 check)
- Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
Unilever has a total score of 5/6, see the detailed checks below.
Note: We use GAAP Net Income excluding extraordinary items in all our calculations.
Full details on the Past part of the Simply Wall St company analysis model.
Health
How is Unilever's financial health and their level of debt?
A company's financial position is much like your own financial position,
it includes everything you own
(assets)
and owe
(liabilities).The boxes below represent the relative size of what makes up Unilever's finances.
The net worth of a company is the difference between its assets and liabilities.
- Unilever's short term (1 year) commitments are greater than its holdings of cash and other short term assets.
- Unilever's long term commitments exceed its cash and other short term assets.
Balance sheet
Assets
Liabilities and shares
- High level of physical assets or inventory.
- Debt is not covered by short term assets, assets are 0.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t
bad,
however if the debt is too high, or the company can’t afford to pay the interest
on its debts this may have impacts in the future.The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.
If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
All data from Unilever Company Filings, last reported 6 months ago.
| Date (Data in EUR Millions) | Total Equity | Total Debt | Cash & Short Term Investments |
|---|---|---|---|
| 2018-12-31 | 12,292.00 | 24,757.00 | 4,197.00 |
| 2018-09-30 | 12,292.00 | 24,757.00 | 4,197.00 |
| 2018-06-30 | 12,301.00 | 29,621.00 | 4,857.00 |
| 2018-03-31 | 12,301.00 | 29,621.00 | 4,857.00 |
| 2017-12-31 | 14,387.00 | 24,299.00 | 3,952.00 |
| 2017-09-30 | 14,387.00 | 24,299.00 | 3,952.00 |
| 2017-06-30 | 16,818.00 | 19,633.00 | 5,841.00 |
| 2017-03-31 | 16,818.00 | 19,633.00 | 5,841.00 |
| 2016-12-31 | 16,980.00 | 16,452.00 | 3,993.00 |
| 2016-09-30 | 16,980.00 | 16,452.00 | 3,993.00 |
| 2016-06-30 | 15,106.00 | 16,371.00 | 3,797.00 |
| 2016-03-31 | 15,106.00 | 16,371.00 | 3,797.00 |
| 2015-12-31 | 16,082.00 | 14,448.00 | 3,022.00 |
| 2015-09-30 | 16,082.00 | 14,448.00 | 3,022.00 |
| 2015-06-30 | 15,885.00 | 15,382.00 | 3,578.00 |
| 2015-03-31 | 15,885.00 | 15,382.00 | 3,578.00 |
| 2014-12-31 | 14,263.00 | 12,523.00 | 2,771.00 |
| 2014-09-30 | 14,263.00 | 12,523.00 | 2,771.00 |
| 2014-06-30 | 14,469.00 | 13,436.00 | 4,163.00 |
| 2014-03-31 | 14,469.00 | 13,436.00 | 4,163.00 |
| 2013-12-31 | 14,815.00 | 11,297.00 | 3,239.00 |
| 2013-09-30 | 14,815.00 | 11,297.00 | 3,239.00 |
| 2013-06-30 | 13,317.00 | 15,907.00 | 4,271.00 |
| 2013-03-31 | 13,317.00 | 15,907.00 | 4,271.00 |
| 2012-12-31 | 15,949.00 | 10,019.00 | 3,232.00 |
| 2012-09-30 | 15,949.00 | 10,019.00 | 3,232.00 |
- Unilever's level of debt (202.4%) compared to net worth is high (greater than 40%).
- The level of debt compared to net worth has increased over the past 5 years (77.8% vs 202.4% today).
- Debt is well covered by operating cash flow (27.1%, greater than 20% of total debt).
- Interest payments on debt are well covered by earnings (EBIT is 26.6x coverage).
Financial health checks
We assess Unilever's financial health by checking for:- Are short term assets greater than short term liabilities? (1 check)
- Are short term assets greater than long term liabilities? (1 check)
- Has the debt to equity ratio increased in the past 5 years? (1 check)
- Is the debt to equity ratio over 40%? (1 check)
- Is the debt covered by operating cash flow? (1 check)
- Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check) Unilever has a total score of 2/6, see the detailed checks below.
- Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
- Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
Full details on the Health part of the Simply Wall St company analysis model.
Dividends
What is Unilever's current dividend yield, its reliability and sustainability?
Dividends are regular cash payments to you from the company, similar to a
bank paying you interest on a savings account.
Annual Dividend Income
If you bought
£2,000 of
Unilever
shares you are expected to receive
£54
in your first year as a dividend.
Dividend Amount
- Unilever's pays a higher dividend yield than the bottom 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (1.95%).
- Unilever's dividend is below the markets top 25% of dividend payers in United Kingdom of Great Britain and Northern Ireland (5.39%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not
wildly increasing/decreasing each year. This graph shows you the historical rate
to count toward your assessment of the stock.We also check to see if the dividend has increased in the past 10 years.
| Data Point | Source | Value |
|---|---|---|
| Past Annualized Dividend Yield | S&P Global Market Data | See Below |
| Past Dividends per Share | Company Filings/ Annualized Dividend Payments | See Below |
| Future Dividends per Share Estimates | Average of up to 15 Analyst Estimates (S&P Global) | See Below |
| Europe Personal Products Industry Average Dividend Yield | Market Cap Weighted Average of 20 Stocks | 2.3% |
| United Kingdom of Great Britain and Northern Ireland Market Average Dividend Yield | Market Cap Weighted Average of 706 Stocks | 4.2% |
| United Kingdom of Great Britain and Northern Ireland Minimum Threshold Dividend Yield | 10th Percentile | 1% |
| United Kingdom of Great Britain and Northern Ireland Bottom 25% Dividend Yield | 25th Percentile | 2% |
| United Kingdom of Great Britain and Northern Ireland Top 25% Dividend Yield | 75th Percentile | 5.4% |
Industry and Market average data is calculated daily.
Note all dividend per share amounts are annualized and not quarterly or other period.
| Date (Data in €) | Dividend per Share (annual) | Avg. No. Analysts |
|---|---|---|
| 2023-12-31 | ||
| 2022-12-31 | 2.24 | 2.00 |
| 2021-12-31 | 1.93 | 14.00 |
| 2020-12-31 | 1.79 | 17.00 |
| 2019-12-31 | 1.67 | 17.00 |
| Date (Data in €) | Dividend per share (annual) | Avg. Yield (%) |
|---|---|---|
| 2019-03-11 | 1.503 | 2.909 |
| 2019-01-31 | 1.534 | 3.267 |
| 2018-04-19 | 1.416 | 3.084 |
| 2018-02-28 | 1.405 | 3.267 |
| 2018-02-01 | 1.412 | 3.291 |
| 2017-02-28 | 1.173 | 2.597 |
| 2017-01-26 | 1.264 | 3.194 |
| 2016-02-23 | 0.977 | 2.664 |
| 2016-01-19 | 1.126 | 2.968 |
| 2015-03-06 | 1.172 | 3.203 |
| 2015-01-20 | 1.176 | 3.174 |
| 2014-03-04 | 1.086 | 3.507 |
| 2014-01-21 | 1.094 | 3.788 |
| 2013-01-23 | 0.901 | 3.049 |
| 2012-10-25 | 0.941 | 3.322 |
| 2012-07-26 | 0.928 | 3.313 |
| 2012-04-26 | 0.969 | 3.781 |
| 2012-02-02 | 0.885 | 3.650 |
| 2011-11-03 | 0.891 | 3.692 |
| 2011-08-04 | 0.885 | 3.887 |
| 2011-04-28 | 0.883 | 4.046 |
| 2011-03-04 | 0.801 | 3.780 |
| 2011-02-04 | 0.826 | 3.899 |
| 2011-02-03 | 0.843 | 3.884 |
| 2010-11-04 | 0.833 | 3.849 |
| 2010-04-29 | 0.812 | 3.960 |
| 2010-03-05 | 0.747 | 3.498 |
| 2010-02-04 | 0.750 | 3.577 |
| 2009-02-06 | 0.646 | 3.850 |
| 2008-12-01 | 0.558 | 3.550 |
Learn more about our ratios and growth rates in Simply Wall St’s analysis model >
- Dividends per share have been stable in the past 10 years.
- Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of
Unilever's earnings are
paid
to the shareholders as a dividend.
- Dividends paid are well covered by earnings (2.3x coverage).
- Dividends after 3 years are expected to be covered by earnings (1.5x coverage).
Income/ dividend checks
We assess Unilever's dividend by checking for:- Firstly is the company paying a notable dividend (greater than 1%) - if not then the rest of the checks are ignored.
- Is current dividend yield above the bottom 25% of dividend payers? (1 check)
- Is current dividend yield above the top 25% of dividend payers? (1 check)
- Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
- If they have paid a dividend for 10 years has it increased in this time? (1 check)
- How sustainable is the dividend, can Unilever afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks) Unilever has a total score of 5/6, see the detailed checks below.
Full details on the Dividends part of the Simply Wall St company analysis model.
Management
CEO
| AGE | 55 |
| TENURE AS CEO | 0.5 years |
CEO Bio
Mr. Alan W. Jope serves as an Executive Director at Unilever PLC and Unilever N.V. since May 02, 2019. He has been President of North Asia at Unilever South Africa (Pty) Ltd. since September 2011. Mr. Jope has been President of Beauty & Personal Care at Unilever plc since September 2014 and has also been its Chief Executive Officer since January 01, 2019. Mr. Jope had served as President of Personal Care at Unilever NV since September 2014 until January 01, 2019 and serves as its Chief Executive Officer from January 2019 and served as its President of Russia, Africa & Middle East from October 2013 to September 2014. He has an excellent track record of leading Unilever's business in both developed and emerging markets, having run the company's North Asia business for four years. Mr. Jope served as the President of North Asia Operations at Unilever Plc and Unilever NV since September 2011 to September 2014. Prior to this, he served as the Chief Operating Officer of Unilever Home and Personal Care, North America. He served as President of Unilever’s Home & Personal Care business in North America - both based just outside New York City. From 1995 to 1998, he served as Vice President of Personal Care for Unilever Thailand with additional responsibility for Hair Care in Asia Pacific. He served as Group Vice President of Global Spreads Cooking Products and Dressings Foods Category at Unilever Plc since January 1, 2006. He served as Group Vice President of Home and Personal Care, U.S. of Unilever Plc. He joined Unilever in 1985 and worked in a number of Sales and Marketing roles in London and Connecticut until 1995. He was President at Unilever Russia, Africa and Middle East. He was President at Unilever North Asia. He was Global Category Leaderat CC and Dressings. From 1995 to 1998, he served as Division Director for Unilever Thailand, where he built the Thai Personal Products and the Asia-Pacific Hair Care businesses. From 1999 to 2000, he served as in Chicago as Vice President of Marketing for Unilever's Hair and Deodorant businesses (Unilever's Helene Curtis business). He serves as the Chairman of The Soap and Detergent Association. He served as Chairman of Unilever Greater China since 2009. He served as the Chairman of the Board of Unilever (China) Ltd. since 2009 and serves as its Director. He served as the Chairman of The American Cleaning Institute. Mr. Jope has a Bachelor of Commerce with Honors from Edinburgh University, Scotland. In addition, he graduated from Harvard Business School's General Manager Program in 2001.
CEO Compensation
- Insufficient data for Alan to compare compensation growth.
- Insufficient data for Alan to establish whether their remuneration is reasonable compared to companies of similar size in United Kingdom of Great Britain and Northern Ireland.
Management Team Tenure
Average tenure and age of the Unilever management team in years:
- The average tenure for the Unilever management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team
Graeme Pitkethly
CFO & Executive Director
€5M
52
3.8 yrs
Alan Jope
CEO & Executive Director
55
0.5 yrs
Nitin Paranjpe
Chief Operating Officer
55
0.2 yrs
Richard Williams
Investor Relations Officer
Ritva Sotamaa
Chief Legal Officer & Group Secretary
55
6.5 yrs
Leena Nair
Chief Human Resources Officer
49
3.3 yrs
Jan van der Bijl
Head of Group Taxation
69
18 yrs
Herald Belton
Head of Deodorants Business
Kevin Havelock
President of the Refreshment
61
7.8 yrs
Julian Thurston
Head of Secretariat
14.8 yrs
Board of Directors Tenure
Average tenure and age of the Unilever board of directors in years:
- The tenure for the Unilever board of directors is about average.
Board of Directors
Marijn Dekkers
Non-Executive Chairman
€757K
61
3.3 yrs
Youngme Moon
Vice Chairperson & Senior Independent Director
€147K
55
1.2 yrs
Graeme Pitkethly
CFO & Executive Director
€5M
52
3.3 yrs
Alan Jope
CEO & Executive Director
55
0.2 yrs
John Rishton
Non-Executive Director
€143K
61
6.2 yrs
Vittorio Colao
Non-Executive Director
€127K
57
4 yrs
Strive Masiyiwa
Non-Executive Director
€131K
58
3.3 yrs
Laura Cha
Independent Non-Executive Director
€115K
69
6.2 yrs
Feike Sijbesma
Non-Executive Director
€135K
60
4.7 yrs
Nils Andersen
Non-Executive Director
€130K
61
4.3 yrs
Who owns this company?
Recent Insider Trading
- More shares have been bought than sold by Unilever individual insiders in the past 3 months, but not in substantial volumes.
Recent Insider Transactions
| Announced | Type | Name | Entity | Role | Start | End | Shares | Max Price (£) | Value (£) | |
|---|---|---|---|---|---|---|---|---|---|---|
| 12. Jun 19 | Buy | Graeme Pitkethly | Individual | 10. Jun 19 | 10. Jun 19 | 2 | £48.98 | £98 | ||
| 19. Mar 19 | Sell | Graeme Pitkethly | Individual | 15. Mar 19 | 15. Mar 19 | -1,600 | £42.28 | £-67,648 | ||
| 13. Mar 19 | Buy | Xuezheng Z. Ma | Individual | 13. Mar 19 | 13. Mar 19 | 1,000 | £41.54 | £41,537 | ||
| 14. Dec 18 | Sell | Douglas Baillie | Individual | 19. Nov 18 | 19. Nov 18 | -11,608 | £40.14 | £-465,899 | ||
Management checks
We assess Unilever's management by checking for:- Is the CEO's compensation unreasonable compared to market cap? (1 check)
- Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
- Is the average tenure of the management team less than 2 years? (1 check)
- Is the average tenure of the board of directors team less than 3 years? (1 check) Unilever has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.
Note: We use the top 6 management executives and board members in our calculations.
Note 2: Insider trading include any internal stakeholders and these transactions .
Full details on the Management part of the Simply Wall St company analysis model.
News
Simply Wall St News
Have Insiders Been Selling Unilever PLC (LON:ULVR) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Unilever PLC (LON:ULVR). … But logic dictates you should pay some attention to whether insiders are buying or selling shares. … As Peter Lynch said, 'insiders might sell their shares for any number of reasons, but they buy them for only one: they think the price will rise.' Check out our latest analysis for Unilever Unilever Insider Transactions Over The Last Year Over the last year, we can see that the biggest insider sale was by the , Douglas Baillie, for UK£466k worth of shares, at about UK£40.14 per share.
Simply Wall St - – Full articleIs Unilever PLC (LON:ULVR) An Attractive Dividend Stock?
LSE:ULVR Historical Dividend Yield, June 5th 2019 Payout ratios Dividends are typically paid from company earnings. … A company paying out less than a quarter of its earnings as dividends, and growing earnings at more than 10% per annum, looks to be right in the cusp of its growth phase. … Conclusion To summarise, shareholders should always check that Unilever's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend.
Simply Wall St - – Full articleIs Unilever PLC's (LON:ULVR) ROE Of 80% Impressive?
The formula for return on equity is: Return on Equity = Net Profit ÷ Shareholders' Equity Or for Unilever: 80% = €9.4b ÷ €12b (Based on the trailing twelve months to December 2018.) It's easy to understand the 'net profit' part of that equation, but 'shareholders' equity' requires further explanation. … Combining Unilever's Debt And Its 80% Return On Equity Unilever clearly uses a significant amount of debt to boost returns, as it has a debt to equity ratio of 2.02. … Debt does bring extra risk, so it's only really worthwhile when a company generates some decent returns from it.
Simply Wall St - – Full articleA Look At The Fair Value Of Unilever PLC (LON:ULVR)
A DCF is all about the idea that a dollar in the future is less valuable than a dollar today, so we discount the value of these future cash flows to their estimated value in today's dollars: 10-year free cash flow (FCF) forecast 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 Levered FCF (€, Millions) €6.59k €7.09k €7.75k €8.47k €9.00k €9.43k €9.78k €10.07k €10.32k €10.53k Growth Rate Estimate Source Analyst x7 Analyst x9 Analyst x6 Analyst x1 Est @ 6.29% Est @ 4.77% Est @ 3.71% Est @ 2.96% Est @ 2.44% Est @ 2.08% Present Value (€, Millions) Discounted @ 6.86% €6.16k €6.21k €6.35k €6.50k €6.46k €6.34k €6.15k €5.92k €5.68k €5.42k Present Value of 10-year Cash Flow (PVCF)= €61.19b "Est" = FCF growth rate estimated by Simply Wall St The second stage is also known as Terminal Value, this is the business's cash flow after the first stage. … Terminal Value (TV) = FCF2029 × (1 + g) ÷ (r – g) = €11b × (1 + 1.2%) ÷ (6.9% – 1.2%) = €189b Present Value of Terminal Value (PVTV) = TV / (1 + r)10 = €€189b ÷ ( 1 + 6.9%)10 = €97.45b The total value, or equity value, is then the sum of the present value of the future cash flows, which in this case is €158.64b. … LSE:ULVR Intrinsic value, May 10th 2019 The assumptions We would point out that the most important inputs to a discounted cash flow are the discount rate and of course the actual cash flows.
Simply Wall St - – Full articleUnilever (LON:ULVR) Shareholders Booked A 76% Gain In The Last Five Years
For example, long term Unilever PLC (LON:ULVR) shareholders have enjoyed a 76% share price rise over the last half decade, well in excess of the market return of around 4.6% (not including dividends). … During five years of share price growth, Unilever achieved compound earnings per share (EPS) growth of 15% per year. … This EPS growth is higher than the 12% average annual increase in the share price.
Simply Wall St - – Full articleCould The Unilever PLC (LON:ULVR) Ownership Structure Tell Us Something Useful?
A look at the shareholders of Unilever PLC (LON:ULVR) can tell us which group is most powerful. … Large companies usually have institutions as shareholders, and we usually see insiders owning shares in smaller companies. … We'd expect to see both institutions and retail investors owning a portion of the company.
Simply Wall St - – Full articleUnilever PLC (LON:ULVR) Earns Among The Best Returns In Its Industry
Specifically, we're going to calculate its Return On Capital Employed (ROCE), in the hopes of getting some insight into the business. … Return On Capital Employed (ROCE): What is it? … ROCE measures the 'return' (pre-tax profit) a company generates from capital employed in its business.
Simply Wall St - – Full articleWho Has Been Selling Unilever PLC (LON:ULVR) Shares?
So we'll take a look at whether insiders have been buying or selling shares in Unilever PLC (LON:ULVR). … That means that even when the share price was below the current price of UK£42.69, an insider wanted to cash in some shares. … Over the last year we saw more insider selling of Unilever shares, than buying.
Simply Wall St - – Full articleUnilever PLC (LON:ULVR) Has Attractive Fundamentals
Attractive stocks have exceptional fundamentals. … In the case of Unilever PLC (LON:ULVR), there's … dividend-paying company
Simply Wall St - – Full articleEstimating The Fair Value Of Unilever PLC (LON:ULVR)
by taking the foreast future cash flows of the company and discounting them back to today's value. … Discounted Cash Flows (DCF) … If you want to learn more about discounted cash flow, the basis for my calcs can be read in detail in the Simply Wall St analysis model.
Simply Wall St - – Full articleCompany Info
Description
Unilever PLC operates in the fast moving consumer goods industry worldwide. It operates through Beauty & Personal Care, Foods & Refreshment, and Home Care segments. The Beauty & Personal Care segment offers skin care and hair care products, deodorants, and oral care products primarily under the Axe, Dove, Lux, Rexona, Sunsilk, TRESemmé, Signal, Lifebuoy, and Vaseline brands. The Foods & Refreshment segment provides soups, bouillons, sauces, snacks, mayonnaise, salad dressings, margarines and spreads, ice creams, and tea-based beverages primarily under the Knorr, Hellmann’s, Magnum, Lipton, Heart, Brooke Bond, and Ben & Jerry’s brand names. The Home Care segment offers home care products, such as powders, liquids and capsules, soap bars, and a range of cleaning products, as well as water purification products primarily under the Dirt is Good, Surf, Comfort, Domestos, Sunlight, Cif, Seventh Generation, Blueair, Pureit, and Truliva/Qinyuan brands. Unilever PLC was founded in 1885 and is headquartered in London, the United Kingdom.
Details
| Name: | Unilever PLC |
| ULVR | |
| Exchange: | LSE |
| Founded: | 1885 |
| £124,203,548,351 | |
| 2,471,712,405 | |
| Website: | http://www.unilever.com |
| Address: |
Unilever PLC Unilever House, 100 Victoria Embankment, London, Greater London, EC4Y 0DY, United Kingdom |
Listings
| Exchange Symbol | Ticker Symbol | Security | Exchange | Country | Currency | Listed on | |
|---|---|---|---|---|---|---|---|
| LSE | ULVR | PLC Ordinary Shares | London Stock Exchange | GB | GBP | 06. Jan 1975 | |
| OTCPK | UNLY.F | PLC Ordinary Shares | Pink Sheets LLC | US | USD | 06. Jan 1975 | |
| DB | UNVB | PLC Ordinary Shares | Deutsche Boerse AG | DE | EUR | 06. Jan 1975 | |
| SEP | ULVR | PLC Ordinary Shares | The Stock Exchange Prague Co. Ltd. | CZ | CZK | 06. Jan 1975 | |
| BATS-CHIXE | ULVRL | PLC Ordinary Shares | BATS 'Chi-X Europe' | GB | GBP | 06. Jan 1975 | |
| NYSE | UL | ADS-EA REPR 1 ORD GPB0.03111 | New York Stock Exchange | US | USD | 02. Jan 1968 | |
| DB | UNVA | ADS-EA REPR 1 ORD GPB0.03111 | Deutsche Boerse AG | DE | EUR | 02. Jan 1968 | |
| BMV | UL N | ADS-EA REPR 1 ORD GPB0.03111 | Bolsa Mexicana de Valores | MX | MXN | 02. Jan 1968 |
Number of employees
Current staff
Industry
| Personal Products | |
| Household |
Company Analysis and Financial Data Status
| Area | Date (UTC time) |
|---|---|
| Company Analysis updated: | 2019/07/15 20:55 |
| End of day share price update: | 2019/07/15 00:00 |
| Last estimates confirmation: | 2019/07/15 |
| Last earnings filing: | 2019/03/11 |
| Last earnings reported: | 2018/12/31 |
| Last annual earnings reported: | 2018/12/31 |
All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.
