UniFirst (NYSE:UNF) Sees Unusually-High Trading Volume – Should You Buy?

UniFirst Co. (NYSE:UNF) saw strong trading volume on Wednesday . 93,164 shares were traded during mid-day trading, an increase of 3% from the previous session’s volume of 90,528 shares.The stock last traded at $170.90 and had previously closed at $169.41.

Analysts Set New Price Targets

Several research firms have commented on UNF. StockNews.com lowered UniFirst from a “strong-buy” rating to a “buy” rating in a research report on Wednesday, January 8th. UBS Group dropped their price target on UniFirst from $235.00 to $194.00 and set a “neutral” rating for the company in a research report on Tuesday.

UniFirst Trading Up 4.4 %

The firm has a market cap of $3.31 billion, a PE ratio of 22.81 and a beta of 0.89. The business has a fifty day moving average price of $211.08 and a 200 day moving average price of $198.63.

UniFirst (NYSE:UNF) last released its quarterly earnings data on Wednesday, January 8th. The textile maker reported $2.31 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.22 by $0.09. UniFirst had a net margin of 6.00% and a return on equity of 7.40%. The company had revenue of $604.91 million during the quarter, compared to the consensus estimate of $606.60 million. During the same quarter in the prior year, the firm posted $2.26 earnings per share. UniFirst’s revenue for the quarter was up 1.9% on a year-over-year basis. On average, research analysts expect that UniFirst Co. will post 7.71 earnings per share for the current fiscal year.

UniFirst Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Friday, March 28th. Shareholders of record on Friday, March 7th will be given a dividend of $0.35 per share. This represents a $1.40 annualized dividend and a yield of 0.78%. The ex-dividend date is Friday, March 7th. UniFirst’s payout ratio is currently 17.90%.

Insider Buying and Selling

In other news, VP David Martin Katz sold 1,299 shares of the business’s stock in a transaction that occurred on Tuesday, February 18th. The stock was sold at an average price of $210.95, for a total value of $274,024.05. Following the transaction, the vice president now owns 6,455 shares of the company’s stock, valued at approximately $1,361,682.25. The trade was a 16.75 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.86% of the company’s stock.

Hedge Funds Weigh In On UniFirst

Large investors have recently modified their holdings of the business. Independence Bank of Kentucky purchased a new position in shares of UniFirst in the fourth quarter valued at $34,000. Blue Trust Inc. raised its position in UniFirst by 1,105.3% during the fourth quarter. Blue Trust Inc. now owns 229 shares of the textile maker’s stock worth $39,000 after acquiring an additional 210 shares during the last quarter. Smartleaf Asset Management LLC lifted its holdings in shares of UniFirst by 252.0% in the fourth quarter. Smartleaf Asset Management LLC now owns 345 shares of the textile maker’s stock valued at $59,000 after purchasing an additional 247 shares in the last quarter. Jones Financial Companies Lllp grew its position in shares of UniFirst by 187.2% in the fourth quarter. Jones Financial Companies Lllp now owns 359 shares of the textile maker’s stock valued at $61,000 after purchasing an additional 234 shares during the last quarter. Finally, Sterling Capital Management LLC raised its position in shares of UniFirst by 811.5% during the 4th quarter. Sterling Capital Management LLC now owns 474 shares of the textile maker’s stock worth $81,000 after purchasing an additional 422 shares during the last quarter. 78.17% of the stock is owned by hedge funds and other institutional investors.

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.