Universal (NYSE:UVV) Shares Gap Down After Earnings Miss

Universal Corporation (NYSE:UVV) shares gapped down before the market opened on Monday following a weaker than expected earnings announcement. The stock had previously closed at $57.82, but opened at $54.09. Universal shares last traded at $53.4250, with a volume of 122,413 shares.

The company reported $1.35 EPS for the quarter, missing analysts’ consensus estimates of $1.92 by ($0.57). Universal had a return on equity of 8.24% and a net margin of 3.74%.The business had revenue of $861.29 million during the quarter, compared to analysts’ expectations of $927.20 million.

Universal Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, May 4th. Investors of record on Wednesday, April 15th will be paid a dividend of $0.82 per share. This represents a $3.28 annualized dividend and a yield of 6.3%. The ex-dividend date of this dividend is Wednesday, April 15th. Universal’s dividend payout ratio (DPR) is presently 73.87%.

Key Headlines Impacting Universal

Here are the key news stories impacting Universal this week:

• Positive Sentiment: Appointment of experienced CFO could stabilize financial strategy — Universal named Steven S. Diel as Senior VP & Chief Financial Officer effective April 1, 2026; management highlights his 25+ years of finance, corporate development and strategy experience, which may help execution and investor confidence during the company’s strategic financial transition. Universal Corporation Appoints Steven S. Diel as Chief Financial Officer
• Neutral Sentiment: Company press release frames results as “solid” with tobacco operations performing well for the quarter and nine months; management commentary attempts to put the quarter in context, but the upbeat tone competes with the raw financial misses. Universal Corporation Reports Nine Month and Third Quarter 2026 Results
• Negative Sentiment: Quarterly earnings and revenues missed analyst estimates — UVV reported EPS of $1.35 versus the consensus ~$1.92 and revenue of $861.3M versus ~$927.2M; EPS also declined from $2.37 a year earlier. Lower margins (net margin ~3.74%) and a reduced return on equity amplify concerns about near-term profitability, which likely drove the share decline. Universal Corp. (UVV) Q3 Earnings and Revenues Miss Estimates

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on the company. Weiss Ratings lowered Universal from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Monday, December 29th. Zacks Research downgraded Universal from a “strong-buy” rating to a “hold” rating in a research report on Monday, December 29th. Two research analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the company currently has a consensus rating of “Hold”.

Institutional Investors Weigh In On Universal

A number of institutional investors and hedge funds have recently modified their holdings of UVV. Royal Bank of Canada lifted its holdings in Universal by 18.8% during the 1st quarter. Royal Bank of Canada now owns 24,009 shares of the company’s stock valued at $1,345,000 after buying an additional 3,795 shares in the last quarter. AQR Capital Management LLC increased its position in shares of Universal by 8.7% during the first quarter. AQR Capital Management LLC now owns 24,791 shares of the company’s stock worth $1,390,000 after acquiring an additional 1,976 shares during the period. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its stake in shares of Universal by 24.5% during the first quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 36,958 shares of the company’s stock valued at $2,071,000 after acquiring an additional 7,261 shares in the last quarter. Jane Street Group LLC purchased a new stake in shares of Universal in the first quarter valued at approximately $3,927,000. Finally, Intech Investment Management LLC grew its stake in Universal by 20.7% in the first quarter. Intech Investment Management LLC now owns 24,070 shares of the company’s stock worth $1,349,000 after purchasing an additional 4,124 shares in the last quarter. 81.00% of the stock is owned by institutional investors.

Universal Price Performance

The company has a market capitalization of $1.29 billion, a PE ratio of 11.65, a P/E/G ratio of 3.05 and a beta of 0.66. The firm has a fifty day simple moving average of $54.31 and a 200 day simple moving average of $54.08. The company has a debt-to-equity ratio of 0.41, a quick ratio of 1.06 and a current ratio of 2.70.

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.