UK stock alert

UK

Afternoon Alert: Unilever decreases 1.4%, leads Food producers sector lower 20 October 2017 13:51 BST

NEWS BITES - EUROPE

Unilever PLC (L:ULVR) has decreased 1.4% to trade at GBX4,237.50 vs. the Food producers sector which weakened 127.9 points (or 0.06%) to 209,135.2. Representing a weighting of about 2.9% of the sector, the stock accounted for 69.9% of today's loss. The shares have underperformed 93% of the market in the past week. Trading volume was 1.5 times average so far today.

Current indications of bearish signals that support the trend in the unusual trading:

+ The price tumbled 6.2% in the last week and dropped 2.6% in the last month.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Overvaluation:

+ Year-on-Year Earnings Growth of 5.8% [14.1%]

Other Bearish Signals include:

+ Tobin's Q Ratio is 1.1. Compared with the rest of the market the stock is overvalued and ranks in the bottom quartile of stocks by value of Q Ratio.

Note

Unilever today is at a discount of 7.0% to the 12-month high of GBX4,557.50 on 18 Oct, 2017. It is at a premium of 41.1% to the 12-month low of GBX3,002.87 on 01 Dec, 2016.

Bullish Signals:

The positive 2.78 MACD (Moving Average Convergence Divergence) indicator suggests a bullish signal.

In the last three months the stock has hit a new 52-week high twelve times, pointing to a significant uptrend.

Interest cover is less leveraged at 13.8 times.

Total Liabilities/EBITDA of 4.9 is less than the Joseph Piotroski benchmark of <5.

Fundamental measures by comparison with the sector average [in brackets] indicate:

Undervaluation:

Return on Equity 36.1% [22.0%]

Unilever PLC (L:ULVR; LON:ULVR; LN:ULVR)

ISIN: GB00B10RZP78

PermID: 4295894770

Source: www.BuySellSignals.com