Unifirst (NYSE:UNF) Sets New 12-Month Low – Should You Sell?

Unifirst Corporation (NYSE:UNF) shares hit a new 52-week low on Thursday . The company traded as low as $149.52 and last traded at $149.0270, with a volume of 3053 shares changing hands. The stock had previously closed at $151.81.

Analyst Upgrades and Downgrades

A number of equities analysts recently commented on the stock. Barclays lowered their target price on shares of Unifirst from $152.00 to $145.00 and set an “underweight” rating for the company in a research note on Thursday, October 23rd. Zacks Research cut Unifirst from a “hold” rating to a “strong sell” rating in a research report on Monday, October 27th. JPMorgan Chase & Co. initiated coverage on Unifirst in a research report on Monday, July 14th. They set an “underweight” rating and a $175.00 target price on the stock. UBS Group set a $182.00 target price on Unifirst in a research note on Thursday, October 23rd. Finally, Weiss Ratings reiterated a “hold (c)” rating on shares of Unifirst in a research note on Wednesday, October 8th. Three research analysts have rated the stock with a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat, Unifirst currently has an average rating of “Reduce” and a consensus price target of $174.75.

Unifirst Trading Up 0.8%

The firm has a market capitalization of $2.80 billion, a price-to-earnings ratio of 18.95 and a beta of 0.81. The business’s fifty day moving average price is $165.67 and its 200 day moving average price is $174.93.

Unifirst (NYSE:UNF) last posted its quarterly earnings data on Wednesday, October 22nd. The textile maker reported $2.28 EPS for the quarter, beating analysts’ consensus estimates of $2.15 by $0.13. Unifirst had a net margin of 6.10% and a return on equity of 7.11%. The company had revenue of $614.45 million for the quarter, compared to analyst estimates of $607.02 million. During the same period in the previous year, the business posted $2.39 earnings per share. Unifirst’s quarterly revenue was down 4.0% on a year-over-year basis. Unifirst has set its FY 2026 guidance at 6.580-6.980 EPS. As a group, sell-side analysts forecast that Unifirst Corporation will post 7.71 earnings per share for the current fiscal year.

Unifirst Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Friday, January 2nd. Stockholders of record on Friday, December 5th will be issued a $0.365 dividend. The ex-dividend date of this dividend is Friday, December 5th. This is an increase from Unifirst’s previous quarterly dividend of $0.35. This represents a $1.46 dividend on an annualized basis and a dividend yield of 1.0%. Unifirst’s dividend payout ratio is presently 18.30%.

Hedge Funds Weigh In On Unifirst

Institutional investors have recently bought and sold shares of the company. SageView Advisory Group LLC raised its position in Unifirst by 4.0% in the first quarter. SageView Advisory Group LLC now owns 1,643 shares of the textile maker’s stock valued at $286,000 after purchasing an additional 63 shares during the period. Global Retirement Partners LLC raised its holdings in shares of Unifirst by 5.5% during the 3rd quarter. Global Retirement Partners LLC now owns 1,204 shares of the textile maker’s stock valued at $201,000 after buying an additional 63 shares during the period. Pullen Investment Management LLC lifted its position in Unifirst by 0.9% during the 2nd quarter. Pullen Investment Management LLC now owns 7,426 shares of the textile maker’s stock worth $1,398,000 after acquiring an additional 69 shares in the last quarter. Amalgamated Bank boosted its holdings in Unifirst by 1.7% in the 3rd quarter. Amalgamated Bank now owns 4,359 shares of the textile maker’s stock worth $729,000 after acquiring an additional 74 shares during the period. Finally, American Century Companies Inc. grew its position in Unifirst by 2.0% in the second quarter. American Century Companies Inc. now owns 4,027 shares of the textile maker’s stock valued at $758,000 after acquiring an additional 78 shares in the last quarter. 78.17% of the stock is owned by institutional investors and hedge funds.

About Unifirst

UniFirst Corporation provides workplace uniforms and protective work wear clothing in the United States, Europe, and Canada. The company operates through U.S. and Canadian Rental and Cleaning, Manufacturing, Specialty Garments Rental and Cleaning, and First Aid segments. It designs, manufactures, personalizes, rents, cleans, delivers, and sells a range of uniforms and protective clothing, including shirts, pants, jackets, coveralls, lab coats, smocks, and aprons; and specialized protective wear, such as flame resistant and high visibility garments.