Universal (NYSE:UVV) Stock Price Down 7.4% on Disappointing Earnings

Universal Corporation (NYSE:UVV) shares dropped 7.4% on Thursday following a dissappointing earnings announcement. 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 the consensus estimate of $1.08 by ($1.54). Universal had a net margin of 1.12% and a return on equity of 4.39%. The business had revenue of $715.24 million during the quarter, compared to analyst estimates of $728.20 million.

Universal Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Monday, August 3rd. Investors of record on Monday, July 13th will be paid a $0.83 dividend. This represents a $3.32 annualized dividend and a dividend yield of 6.4%. The ex-dividend date of this dividend is Monday, July 13th. This is a boost from Universal’s previous quarterly dividend of $0.82. Universal’s dividend payout ratio (DPR) is presently 96.76%.

Key Stories Impacting Universal

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 Upgrades and Downgrades

A number of research analysts have weighed in on the stock. Weiss Ratings lowered shares of Universal from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Wednesday, May 13th. Wall Street Zen lowered shares of Universal from a “buy” rating to a “hold” rating in a research report on Saturday, February 14th. Finally, Zacks Research raised shares of Universal from a “strong sell” rating to a “hold” rating in a research report on Monday, April 13th. Two investment analysts have rated the stock with a Hold rating, Based on data from MarketBeat, the stock currently has an average rating of “Hold”.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently bought and sold shares of UVV. Bank of America Corp DE increased its holdings in shares of Universal by 21.2% during the 1st quarter. Bank of America Corp DE now owns 65,906 shares of the company’s stock worth $3,473,000 after purchasing an additional 11,517 shares during the period. Edgestream Partners L.P. bought a new position in shares of Universal during the 1st quarter worth about $508,000. Arkadios Wealth Advisors increased its holdings in shares of Universal by 16.9% during the 1st quarter. Arkadios Wealth Advisors now owns 37,283 shares of the company’s stock worth $1,965,000 after purchasing an additional 5,397 shares during the period. Quantinno Capital Management LP increased its holdings in shares of Universal by 26.8% during the 1st quarter. Quantinno Capital Management LP now owns 17,890 shares of the company’s stock worth $943,000 after purchasing an additional 3,778 shares during the period. Finally, Renaissance Technologies LLC bought a new position in shares of Universal during the 1st quarter worth about $4,220,000. Institutional investors and hedge funds own 81.00% of the company’s stock.

Universal Stock Performance

The firm’s fifty day moving average price is $53.07 and its 200-day moving average price is $53.47. 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 has a market cap of $1.29 billion, a P/E ratio of 40.13, a P/E/G ratio of 2.91 and a beta of 0.61.

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.