Universal (NYSE:UVV) Trading Down 7.4% Following Weak Earnings

Universal Corporation (NYSE:UVV) was down 7.4% during trading on Thursday after the company announced weaker than expected quarterly earnings. The stock traded as low as $51.20 and last traded at $51.1170. Approximately 190,925 shares were traded during mid-day trading, a decline of 2% from the average daily volume of 194,382 shares. The stock had previously closed at $55.23.

The company reported ($0.46) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.08 by ($1.54). Universal had a net margin of 1.12% and a return on equity of 4.39%. The company had revenue of $715.24 million for the quarter, compared to analyst estimates of $728.20 million.

Universal Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, August 3rd. Stockholders of record on Monday, July 13th will be given a dividend of $0.83 per share. This represents a $3.32 dividend on an annualized basis and a dividend yield of 6.4%. The ex-dividend date is Monday, July 13th. This is a positive change from Universal’s previous quarterly dividend of $0.82. Universal’s payout ratio is 96.76%.

Universal News Summary

Here are the key news stories impacting Universal this week:

• Neutral Sentiment: Management described sales as resilient during the quarter, indicating the core business is still holding up despite weaker earnings. Universal Corp Earnings Call: Resilient Sales, Profit Strain
• Negative Sentiment: Universal Corp. reported a quarterly loss and missed both EPS and revenue estimates, raising concerns about margin pressure and near-term earnings momentum. Universal Corp. (UVV) Reports Q4 Loss, Lags Revenue Estimates
• Negative Sentiment: The company’s fiscal 2026 results pointed to a tougher operating backdrop, which may limit upside until profitability improves. Universal Corporation Reports Fiscal Year and Fourth Quarter 2026 Results

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on UVV shares. Weiss Ratings downgraded shares of Universal from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, May 13th. Wall Street Zen downgraded shares of Universal from a “buy” rating to a “hold” rating in a research report on Saturday, February 14th. Finally, Zacks Research upgraded shares of Universal from a “strong sell” rating to a “hold” rating in a research report on Monday, April 13th. Two equities research analysts have rated the stock with a Hold rating, According to MarketBeat.com, the company has an average rating of “Hold”.

Institutional Trading of Universal

Several hedge funds and other institutional investors have recently bought and sold shares of UVV. Farther Finance Advisors LLC grew its stake in 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 acquiring an additional 200 shares during the period. Bessemer Group Inc. grew its stake in Universal by 67.1% in the 1st quarter. Bessemer Group Inc. now owns 518 shares of the company’s stock worth $27,000 after acquiring an additional 208 shares during the period. Aster Capital Management DIFC Ltd grew its stake in Universal by 1,634.4% in the 4th quarter. Aster Capital Management DIFC Ltd now owns 555 shares of the company’s stock worth $29,000 after acquiring an additional 523 shares during the period. Ankerstar Wealth LLC purchased a new stake in Universal in the 4th quarter worth approximately $37,000. Finally, EverSource Wealth Advisors LLC grew its stake in Universal by 265.0% in the 2nd 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 period. 81.00% of the stock is owned by hedge funds and other institutional investors.

Universal Price Performance

The stock has a market capitalization of $1.29 billion, a PE ratio of 40.13, a PEG ratio of 2.91 and a beta of 0.61. The company has a current ratio of 2.91, a quick ratio of 1.30 and a debt-to-equity ratio of 0.40. The company’s 50 day simple moving average is $53.07 and its 200 day simple moving average is $53.47.

About Universal

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.