Unilever (UL) posted Q4 2025 underlying sales growth of 4.2% with operating margins expanding 60 basis points to 20.0%, but full-year EPS of $2.59 missed consensus by 11.85% due to currency headwinds of 5.9% and Ice Cream separation costs.
The company is launching a €1.5 billion share buyback in Q2 2026 while Power Brands delivered 4.3% growth and the Wellbeing segment posted double-digit growth for its 21st consecutive quarter.
Currency pressures in emerging markets and weakness in China, Indonesia, Brazil, and Mexico are offsetting strong North American performance as Unilever navigates its post-demerger portfolio reset.
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Unilever (NYSE:UL) is trading at $58.53 as of writing, down 15.86% over the past year. Our 24/7 Wall St. price target for Unilever is $55.94, implying modest downside from current levels. Our recommendation is hold, with a confidence level of 90%.
Metric | Value |
|---|---|
Current Price | $58.53 |
24/7 Wall St. Price Target | $55.94 |
Upside/Downside | -4.42% |
Recommendation | HOLD |
Confidence Level | 90% |
Unilever is a $127.8 billion consumer staples giant navigating a post-demerger reset. The stock trades near fair value, but risk-reward tilts toward caution at current levels.
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Our $55.94 price target sits modestly below current levels. The completed Ice Cream demerger sharpens the portfolio toward higher-growth categories, and a new €1.5 billion share buyback commencing in Q2 2026 provides a tangible floor. We’ve outlined a detailed bull case below showing reasons Unilever could outperform.
Unilever’s shares rose to $73.96 in February 2026 following Q4 2025 earnings but have since retreated sharply. The stock is down 9.83% year-to-date and 6.13% over the past month, trading well below its 52-week high of $74.41 and closer to its 52-week low of $54.95. Both the 50-day moving average of $65.24 and 200-day moving average of $67.17 now sit above the current price, a bearish technical setup.
Full-year 2025 results showed underlying sales growth accelerating to 4.2% in Q4, with underlying operating margin expanding 60 basis points to 20.0%. However, FY2025 EPS came in at $2.59 versus the consensus estimate of $2.93, a miss of 11.85%. Currency headwinds of 5.9% weighed on reported turnover and stranded overhead costs from the Ice Cream separation pressured profitability.
The bull case centers on Unilever’s sharpened portfolio following the Ice Cream exit. Power Brands representing 78% of turnover delivered 4.3% underlying sales growth in Q4 2025, with the Wellbeing segment posting double-digit growth for the 21st consecutive quarter.
