Univar Solutions Inc. (NYSE:UNVR), a global distributor of commodity and specialty chemical products, has experienced a substantial decline in short interest during the month of July, according to recently released data. The company’s short interest dropped by 15.5% from June 30th to July 15th, with a total of 5,800,000 shares being sold short. This represents approximately 3.7% of the company’s total shares.
The days-to-cover ratio, which measures the number of days it would take for all short positions to be covered based on the average daily trading volume, is presently at 2.9 days. This indicates that it would take less than three days for all short sellers to buy back their shares if they were to close their positions.
Univar Solutions’ stock opened at $35.98 on Friday and has seen a significant increase in value over the past year. Its share price reached a high of $36.03 and a low of $21.49 within the last twelve months. With a market capitalization of $5.68 billion, Univar Solutions remains an influential player in the industry.
The company boasts favorable financial ratios, including a debt-to-equity ratio of 0.96, indicating efficient use of debt in its capital structure. Univar Solutions also maintains strong liquidity with current and quick ratios of 2.18 and 1.45 respectively.
In terms of valuation metrics, Univar Solutions has a price-to-earnings ratio (PE) of 13.33 and a price-to-earnings-growth ratio (PEG) of 1.47—both suggesting attractive investment potential in line with industry standards and growth prospects.
StockNews.com recently began coverage on Univar Solutions and assigned it a “hold” rating—a neutral assessment that encourages investors to observe further developments before making any decisive moves regarding their investments.
Analysts are divided on the stock, with one giving it a sell rating, five providing a hold rating, and two assigning a buy rating. Bloomberg.com reports that the consensus rating for Univar Solutions is “Hold,” while the average price target is estimated to be $35.60.
Univar Solutions’ core business revolves around the distribution of commodity and specialty chemical products globally. The company supplies a wide range of chemicals, including epoxy resins, polyurethanes, titanium dioxide, fumed silica, esters, plasticizers, silicones, and specialty amines. These chemicals find applications across various industries such as cleaners, detergents, disinfectants, lubricants, and metalworking fluids.
The company recently reported its quarterly earnings results for the period ending on May 8th. Univar Solutions exceeded analysts’ consensus estimates by reporting earnings per share (EPS) of $0.63—surpassing expectations by $0.05 per share. Furthermore, it recorded revenue of $2.68 billion for the quarter compared to an estimated $2.43 billion—a growth rate driven by diversified product offerings.
Despite this positive reportage, Univar Solutions experienced a 6.9% decline in revenue compared to the same quarter last year—a trend attributed to ongoing global economic challenges stemming from the pandemic-induced slowdown.
Sell-side analysts remain optimistic about Univar Solutions’ prospects for the current fiscal year despite these challenges. They predict an EPS of 2.96—a figure that showcases anticipated growth in performance.
Overall, Univar Solutions Inc.’s recent decline in short interest coupled with its strong financial position and favorable valuations suggest that investors should closely monitor this stock’s developments in the coming months—keeping in mind both short-term fluctuations and long-term growth potential within the chemical distribution industry.
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Institutional Investors and Hedge Funds Show Strong Interest in Univar Solutions for Growth Potential in Basic Materials Market
Univar Solutions, a leading player in the world of basic materials, has attracted significant attention from hedge funds and institutional investors in recent times. Several key financial entities have made noteworthy transactions involving Univar Solutions’ shares.
One such institutional investor is Dupont Capital Management Corp, which entered the market during the first quarter and swiftly acquired a new position in Univar Solutions. This move positioned Dupont Capital Management Corp as a notable stakeholder with shares valued at $4,032,000.
Another organization that increased its involvement with Univar Solutions is the Commonwealth of Pennsylvania Public School Empls Retrmt SYS. In the fourth quarter, Commonwealth of Pennsylvania Public School Empls Retrmt SYS expanded its stake by an impressive 11.0%. The organization now holds 73,402 shares of Univar Solutions’ stock, totaling a value of $2,334,000 following an additional acquisition of 7,271 shares.
Resources Investment Advisors LLC., on the other hand, embarked on investing endeavors during the fourth quarter by purchasing a new stake. This move amounted to approximately $262,000 for Resources Investment Advisors LLC., further enhancing their portfolio diversity.
Anson Funds Management LP also saw potential in Univar Solutions during the first quarter and acted accordingly by purchasing a sizable stake valued at about $2,627,000. With this strategic move, Anson Funds Management LP showcased its confidence in Univar Solutions’ growth prospects.
One can’t overlook Ritholtz Wealth Management’s substantial expansion within Univar Solution’s holdings in the first quarter. By adding an extra 8,711 shares to their investments, Ritholtz Wealth Management demonstrated an impressive growth rate of 124.3%. Their total holdings are now calculated at 15,717 shares worth $551,000.
Collectively speaking, institutional investors and hedge funds hold an astonishing 84.08% of the stock in Univar Solutions. The significance of these entities’ involvement highlights the immense appeal and potential associated with Univar Solutions’ operations.
These transactions and acquisitions within the market underscore Univar Solutions’ role as a promising investment prospect. The confidence shown by prestigious financial institutions not only validates the company’s performance in the sector but also draws further attention to its future possibilities.
As Univar Solutions forges ahead, it will continue to attract institutional investors seeking to maximize their portfolios. Additionally, this influx of capital from hedge funds and other influential entities will provide Univar Solutions with opportunities for strategic growth and expansion, solidifying its position as a leading player in the global basic materials industry.
In conclusion, Univar Solutions has witnessed notable interest from hedge funds and institutional investors in recent times. With significant stakes acquired by esteemed organizations like Dupont Capital Management Corp, Commonwealth of Pennsylvania Public School Empls Retrmt SYS, Resources Investment Advisors LLC., Anson Funds Management LP, and Ritholtz Wealth Management, Univar Solutions is poised for further success. As the company moves forward amidst these developments, it is set to unlock new avenues for growth within the ever-competitive landscape of basic materials.