Universal Corporation (UVV) Stock Analysis — Fair Value, Risk & Moat Rating
NYQ · Consumer Defensive · Tobacco
Is Universal Corporation a safe investment right now?
Universal Corporation's Altman Z-Score of 3.06 places it in the safe zone. Our fair value estimate is $86.50 (Strong Buy Zone). Moat rating: 3.0/5 stars.
Could Universal Corporation go bankrupt? Altman Z-Score analysis
Z-Score of 3.06 is above 3.0, indicating the company is financially healthy by this metric.
- Below 1.8 — Distress Zone (high bankruptcy risk)
- 1.8 to 3.0 — Gray Zone (elevated uncertainty)
- Above 3.0 — Safe Zone (financially healthy)
What drives UVV's Z-Score?
| Component | Formula | Value | Weight | Contribution |
|---|---|---|---|---|
| A · Working Capital / Total Assets | WC / TA | 0.5087 | 1.2 | 0.61 |
| B · Retained Earnings / Total Assets | RE / TA | 0.4109 | 1.4 | 0.58 |
| C · EBIT / Total Assets | EBIT / TA | 0.0639 | 3.3 | 0.21 |
| D · Market Cap / Total Liabilities | MCap / TL | 1.0092 | 0.6 | 0.61 |
| E · Revenue / Total Assets | Rev / TA | 1.057 | 1.0 | 1.06 |
How has UVV's financial health changed over time?
| Year | Z-Score | Zone |
|---|---|---|
| 2023 | 3.09 | Safe |
| 2024 | 2.86 | Gray |
| 2025 | 2.9 | Gray |
| 2026 | 3.06 | Safe |
Source: Calculated from UVV's latest 10-K filing on SEC EDGAR.
What is Universal Corporation actually worth?
How we calculated this
| Input | Value | Source |
|---|---|---|
| Predicted EPS (α) | $2.50 | Proprietary blend of reported actuals + analyst consensus, weighted by α |
| Last Year EPS | $1.30 | Annual report (SEC EDGAR) |
| Analyst Consensus EPS (This Year) | $4.30 | 1 analysts consensus |
| Trailing P/E | 40.7x | Current market pricing |
| Fair P/E (β discount) | 34.6x | Trailing PE adjusted by value discount factor β, hard-capped |
| Earnings Trend (γ) | Accelerating | Directional signal: predicted vs trailing EPS |
Wall Street Reference: Analyst consensus target price is $74.00 (1 analysts). This is shown for reference only and is not used in our valuation model.
Source: Earnings data from SEC EDGAR filings. Market data via Yahoo Finance.
Does Universal Corporation have a durable competitive advantage?
Moat rating: 3.0/5.
What makes up UVV's moat score?
ROIC Stability
ROIC variability over the past decade. Score: 3/5.
Gross Margin Trend
Gross margin trajectory over the past decade. Score: 3/5.
Switching Costs
Estimated customer lock-in based on margin level. Score: 3/5.
How stable is UVV's return on invested capital?
| Year | ROIC | Trend |
|---|---|---|
| 2023 | 8.7% | — |
| 2024 | 9.3% | Stable |
| 2025 | 9.2% | Stable |
| 2026 | 7.6% | Declining |
Source: ROIC calculated from SEC EDGAR filings.
Is Universal Corporation's dividend safe?
Can Universal Corporation afford its dividend?
Payout ratio is 251.5%. FCF covers the dividend -0.8x. 41 consecutive years of payments.
US dividend withholding tax of 30% applies to non-US tax residents. This rate may be reduced under a tax treaty between the US and your country of residence. The adjusted yield shown assumes the default 30% rate. For informational purposes only — consult a qualified tax advisor.
Universal Corporation's key financial metrics
| Metric | Latest | 1Y Ago | 3Y Ago | Trend |
|---|---|---|---|---|
| Revenue | $2.9B | $2.9B | $2.6B | Rising |
| Net Income | $0.0B | $0.1B | $0.1B | Declining |
| Free Cash Flow | $0.1B | $0.3B | −$0.1B | Rising |
| Gross Margin | 17.5% | 18.6% | 17.8% | Stable |
Recent events that affect our UVV analysis
UVV earnings report scheduled
Upcoming report. Consensus EPS estimate: $0.25. Revenue estimate: $587.0M. Our current Fair Value: $86.50 — a significant beat or miss could shift this estimate.
UVV filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
UVV missed EPS estimates by 142.6%
Reported EPS: $-0.46 vs estimate $1.08. Our Fair Value of $86.50 may face downward pressure if the trend continues.
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV paid $0.8200/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
UVV missed EPS estimates by 31.2%
Reported EPS: $1.32 vs estimate $1.92. Our Fair Value of $86.50 may face downward pressure if the trend continues.
UVV filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV paid $0.8200/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV beat EPS estimates by 1.5%
Reported EPS: $1.36 vs estimate $1.34. Earnings strength supports our Fair Value of $86.50 (63.6% above current price).
UVV filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV paid $0.8200/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
UVV filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV paid $0.8200/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed annual report (10-K)
Annual filing with full-year financials. Our Altman Z-Score, Moat, and Fair Value models are derived from this data. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
UVV filed quarterly report (10-Q)
Quarterly update with interim financials. May signal changes to earnings trajectory and balance sheet health. View on SEC EDGAR →
UVV paid $0.8100/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV filed 8-K (material event)
8-K filings disclose material events — acquisitions, leadership changes, or guidance revisions that may affect valuation. View on SEC EDGAR →
UVV paid $0.8100/share dividend
Dividend Safety Grade: D. Payout ratio: 251.5%.
Common questions about Universal Corporation
What is Universal Corporation stock price today?
Universal Corporation (UVV) stock price is $52.87 as of the latest market close, traded on the NYSE exchange.
What does Universal Corporation do?
Universal Corporation, a business-to-business agriproducts company, provides leaf tobacco and plant-based ingredients to food and beverage end markets worldwide. It operates in two segments, Tobacco Operations and Ingredients Operations. The Tobacco Operations segment is involved in procuring, processing, packing, storing, and shipping of flue-cured, burley, dark air-cured, and oriental leaf tobacco for consumer product manufacturers, as well as provision of related services.
What is Universal Corporation market cap?
Universal Corporation has a market capitalization of $1.32B, classifying it as a small-cap stock in the Consumer Defensive sector.
What sector and industry is UVV in?
Universal Corporation operates in the Consumer Defensive sector, specifically within the Tobacco industry. It trades on the NYSE under the ticker symbol UVV.
Is UVV stock overvalued or undervalued?
Based on our valuation model, Universal Corporation trades 38.9% below our fair value estimate — potentially undervalued.
- FairValueLabs Fair Value: $86.50
- Current Price: $52.87
- Valuation Zone: Strong Buy Zone
What is UVV stock forecast and analyst target price?
Based on 1 Wall Street analysts, the consensus price target for Universal Corporation is $74.00, implying upside of 40.0% from the current price.
- Analyst High Target: $74.00
- Analyst Low Target: $74.00
Note: Analyst targets are shown for reference and are not used in our valuation model.
Is Universal Corporation revenue and earnings growing?
Here are the analyst consensus growth estimates for Universal Corporation:
- Revenue growth (current year est.): -0.6%
- EPS growth (current year est.): 62.9%
- Revenue growth (next year est.): 2.0%
- EPS growth (next year est.): 1.9%
What are Universal Corporation's key financial metrics?
| Metric | Latest | Trend |
|---|---|---|
| Revenue | $2.9B | Rising |
| Net Income | $0.0B | Declining |
| Free Cash Flow | $0.1B | Rising |
| Gross Margin | 17.5% | Stable |
What is UVV's P/E ratio?
The price-to-earnings ratio measures how much investors pay per dollar of earnings:
- Trailing P/E (last 12 months): 40.7x
- Forward P/E (next 12 months est.): 12.1x
- FairValueLabs Fair P/E: 34.6x
How volatile is UVV stock?
Universal Corporation has a beta of 0.59, meaning it is less volatile than the broader market. A beta above 1.0 indicates higher price swings relative to the S&P 500, while below 1.0 suggests more stability.
How much cash and debt does Universal Corporation have?
Universal Corporation's balance sheet shows:
- Total Cash: $62.2M
- Total Debt: $939.8M
- Net Cash Position: $-877.6M
A positive net cash position means the company holds more cash than debt, reducing financial risk.
What is Universal Corporation's free cash flow?
Universal Corporation generated $65.1M in trailing twelve-month free cash flow (from $129.1M in operating cash flow). Free cash flow represents the cash available for dividends, buybacks, and debt reduction after all capital expenditures.
Does Universal Corporation pay a dividend, and is it safe?
Yes, Universal Corporation pays a regular dividend. Here are the key metrics:
- Dividend Yield: 6.2%
- Payout Ratio: 251.5%
- Consecutive Years Paid: 41
- 5-Year Dividend Growth: -12.0%
- FairValueLabs Safety Grade: D
Is Universal Corporation at risk of going bankrupt?
Universal Corporation's Altman Z-Score is 3.06, placing it in the safe zone (above 3.0) — bankruptcy risk is low. The Z-Score uses five balance sheet ratios to predict bankruptcy probability within two years.
Does Universal Corporation have a durable competitive advantage?
Universal Corporation scores 3.0/5 stars (Narrow moat) in our moat analysis:
- ROIC Stability: 3/5
- Gross Margin Trend: 3/5
- Switching Costs: 3/5
A score above 3.5 suggests meaningful pricing power and a defensible market position.
What is UVV's return on equity (ROE)?
Universal Corporation's return on equity is 3.8%. ROE measures how efficiently a company generates profits from shareholder equity. An ROE above 15% is generally considered strong, while below 10% may signal inefficiency.
How do I buy UVV stock?
UVV shares can be purchased through any brokerage account that provides access to the NYSE. Common steps:
- Open an account with a broker (e.g., Fidelity, Schwab, Interactive Brokers)
- Search for ticker symbol UVV
- Place a market or limit order for your desired number of shares
This is not investment advice. Always do your own research before buying any stock.
Is UVV a value stock or speculative?
FairValueLabs classifies Universal Corporation as Value Investment. It exhibits consistent profitability, reasonable valuation, and financial stability — characteristics of a traditional value investment.
Who is the CEO of Universal Corporation?
The current CEO of Universal Corporation is Mr. Preston Douglas Wigner.
What is UVV's earnings per share (EPS)?
Earnings per share measures the company's profit allocated to each outstanding share:
- Trailing EPS (last 12 months): $1.30
- Forward EPS (next 12 months est.): $4.38
- Analyst consensus EPS (this year): $4.30
- Analyst consensus EPS (next year): $4.38
Other Consumer Defensive companies analyzed by FairValueLabs
FairValueLabs Disclaimer
All valuations, scores, ratings, and classifications on this page are produced by the FairValueLabs internal valuation system. They do not represent actual market value, guaranteed outcomes, or professional investment advice. These are analytical estimates for educational and research purposes only.
This is not financial advice. All data is sourced from SEC EDGAR public filings. Always consult a qualified financial advisor before making investment decisions.
Last updated: Jun 3, 2026. Data sources: SEC EDGAR (financial statements), Yahoo Finance (market data, analyst consensus). Data may not reflect the most recent quarter.
UVV analysis methodology: How we calculate fair value, Z-Scores, and moat ratings