One-glance verdict
Undervalued
$83.07 our estimate vs market $65.61
Wall Street consensus: $71.33 (-14.1% lower than our fair-value estimate)
21% below our estimate, below the bear case
Fundamentals snapshot
Unilever PLC
UL · NYQ · Consumer Defensive · Household & Personal Products
Current price
$65.61
52-week range
$54.75 - $74.98
Market cap
$141.29B
Balance sheet
Stretched
9.22x Adequate
Net debt $29.24B. Interest coverage shows how many times profit covers the interest bill.
What stands out
3 Rewards
2 Risks
3 rewards · 2 risks
- Reward Returns 31.9% on equity, ahead of 50% of its peers.
- Reward Free cash flow was positive in 4/10 years.
- Risk Forward P/E (17.5x) is higher than trailing (13.4x) - earnings are expected to drop.
- Risk Insider ownership is only 0.0% (peer median: 0.1%).
What this company does
Unilever PLC
Unilever PLC makes everyday items like Dove soap and Knorr soup, selling them all over the world. Their money mainly comes from people regularly buying these essential products. This means Unilever's success depends on keeping its brands popular and its supply chain (how it makes and delivers products) running smoothly so people can always find what they need.
How the company got here
Unilever's story began way back in 1860, with the humble beginnings of a soap business. Over many decades, it grew by acquiring and merging with other companies, eventually becoming a giant in everyday household products. A major turning point was its focus on expanding into emerging markets, recognizing the huge potential for its brands in places like Asia and Africa. This global expansion helped it become the multinational corporation it is today, selling products in virtually every country.
What it actually does
Unilever is a massive company that makes and sells many of the everyday items you find in your home and use on your body. Think of the soaps, shampoos, cleaning supplies, and even some of the food items you might buy at the grocery store. They own a huge portfolio of well-known brands that are designed for regular use by consumers all around the world.
Beauty & Wellbeing
This part of Unilever focuses on products that help you look and feel good. It includes things like shampoos and conditioners for your hair, moisturizers for your skin, and even more specialized skincare and beauty treatments. Brands you might recognize here are focused on making your hair healthy and your skin feel its best, contributing a significant portion of Unilever's overall sales.
Personal Care
The Personal Care segment is all about hygiene and keeping clean. This is where you'll find products like soaps and body washes for cleaning yourself, deodorants to keep you fresh, and oral care items such as toothpaste and mouthwash. These are essential daily items that people buy regularly, making this a core business for Unilever.
Home Care
This segment is dedicated to keeping your house clean and your clothes fresh. It includes laundry detergents, fabric softeners, and a variety of cleaning products for surfaces around your home, like kitchen counters and bathrooms. These products are designed for frequent use, ensuring that households have the essentials to maintain cleanliness.
Foods
Unilever's Foods division offers a range of products that help with cooking and meal preparation. This includes items like soup mixes, seasonings, and popular condiments such as mayonnaise and ketchup. They also provide ingredients and solutions for professional kitchens, making this segment a key part of how people prepare and enjoy their meals.
What management is betting on now
Unilever's leadership is currently focused on making its business more efficient and driving growth in its key categories. They are looking to simplify operations and invest in brands that have the strongest potential. A big part of this strategy involves focusing on health and wellbeing products, recognizing changing consumer preferences. They also aim to ensure their products are sustainable, appealing to environmentally conscious shoppers.
Price history
How the share price has moved
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Is it cheap or expensive?
Fair value $83.07 vs current price $65.61
Wall Street consensus is the average analyst price target: $71.33 (-14.1% lower than our fair-value estimate).
Our most-likely fair value is $83.07 a share — about 26.6% above today's price of $65.61, so the stock currently looks cheap (undervalued).
Is it drowning in debt?
Stretched
Net debt $29.2B. Interest coverage 9.2x.
Net debt
$29.24B
Interest coverage
9.22x
Unilever PLC's profit covers its interest bill about 9.2 times over. which is stronger than most peers shown here.
Stretched
Worse cushion
Baseline
Better cushion
UL
BASELINE
Unilever PLC
Total debt $35.88B Interest coverage 9.22x This is the baseline the peer rows are being compared against.
Total debt $38.93B Interest coverage 22.52x +144% vs UL Carries about 2.4x more debt cushion than UL.
Total debt $7.86B Interest coverage 15.85x +72% vs UL Carries about 1.7x more debt cushion than UL.
Total debt $6.54B Interest coverage 9.18x -0% vs UL Has roughly the same debt cushion as UL.
Total debt $8.61B Interest coverage 6.31x -32% vs UL Carries about 1.5x less debt cushion than UL.
Total debt $9.25B Interest coverage 5.02x -46% vs UL Carries about 1.8x less debt cushion than UL.
What you should know
The case for and against UL
3 Rewards
2 Risks
Rewards
-
Returns 31.9% on equity, ahead of 50% of its peers.
-
Free cash flow was positive in 4/10 years.
-
Trades at 13.4x P/E vs peer median 24.3x (44.8% cheaper).
Risks
-
Forward P/E (17.5x) is higher than trailing (13.4x) - earnings are expected to drop.
-
Insider ownership is only 0.0% (peer median: 0.1%).
The numbers
All the key metrics, grouped by purpose
Tap any ? icon to learn what it means.
Valuation
How expensive the stock looks
P/E (TTM)
13.39x
Forward P/E
17.47x
P/B
7.77x
P/S
2.79x
EV/EBITDA
15.59x
PEG ratio
7.05x
Profitability
How much profit each dollar creates
Gross margin
47.1%
Operating margin
20.3%
Net margin
18.3%
ROE
31.9%
ROA
8.3%
Health
Liquidity and balance-sheet strength
Debt / equity
1.75x
Current ratio
0.74x
Quick ratio
0.57x
Total debt
$35.88B
Total cash
$6.64B
Growth
How the business has been compounding
Revenue TTM
$56.56B
Revenue 5Y CAGR
-5.6%
EPS TTM
4.90
EPS 5Y CAGR
8.7%
Cash flow
How much cash the business throws off
Operating CF TTM
$9.33B
Free CF TTM
$7.55B
FCF margin
13.4%
Dividend
Shareholder payout
Yield
3.2%
Payout ratio
46.4%
Last ex-div date
2026-08-07