UL Solutions (NYSE:ULS) Stock Price Up 9% – What’s Next?

by · The Cerbat Gem

UL Solutions Inc. (NYSE:ULS – Get Free Report)’s stock price rose 9% during trading on Tuesday. The stock traded as high as $82.32 and last traded at $81.8710. 348,787 shares changed hands during mid-day trading, a decline of 63% from the average daily volume of 935,622 shares. The stock had previously closed at $75.14.

UL Solutions News Roundup

Here are the key news stories impacting UL Solutions this week:

  • Positive Sentiment: UL Solutions is expanding its high-wind testing services in North America, potentially broadening its market reach and demand for its testing capabilities. UL Solutions Expands High-Wind Testing Services in North America
  • Positive Sentiment: Wells Fargo raised its price target to $105 from $104 and reiterated an Overweight rating, indicating confidence in the company’s prospects. Wells Fargo analyst ratings
  • Neutral Sentiment: The company joined an industry proposal to the FDA recommending competency-based training models for regulated life-sciences work. The collaboration supports UL Solutions’ industry expertise, but the announcement did not specify near-term financial impact. UL Solutions collaborates on life-science training proposal
  • Neutral Sentiment: Citigroup lowered its price target to $81.40 from $82.80 and maintained a Neutral rating, reflecting a more cautious outlook than Wells Fargo’s. Citigroup analyst ratings
  • Negative Sentiment: CEO Jennifer Scanlon sold 12,500 shares for approximately $938,000, reducing her holdings by 9.86%. The filing does not state the reason for the sale, but insider selling can weigh on investor sentiment. SEC Form 4 filing

Analysts Set New Price Targets

ULS has been the subject of a number of research reports. Wall Street Zen downgraded shares of UL Solutions from a “buy” rating to a “hold” rating in a research note on Saturday, July 25th. Robert W. Baird cut their price objective on UL Solutions from $95.00 to $85.00 and set an “outperform” rating on the stock in a research report on Thursday, September 24th. Wells Fargo & Company upped their target price on UL Solutions from $104.00 to $105.00 and gave the stock an “overweight” rating in a report on Wednesday. UBS Group increased their target price on UL Solutions from $96.00 to $97.00 and gave the stock a “buy” rating in a research report on Monday, October 12th. Finally, Citigroup lowered their target price on UL Solutions from $82.80 to $81.40 and set a “neutral” rating for the company in a research note on Wednesday. Seven equities research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company’s stock. According to data from MarketBeat.com, UL Solutions currently has an average rating of “Moderate Buy” and a consensus price target of $95.84.

Get Our Latest Analysis on UL Solutions

UL Solutions Stock Performance

The company has a market capitalization of $15.44 billion, a PE ratio of 30.46, a PEG ratio of 3.33 and a beta of 0.62. The business’s 50-day moving average is $70.95 and its 200-day moving average is $82.50. The company has a debt-to-equity ratio of 0.44, a quick ratio of 1.42 and a current ratio of 2.09.

UL Solutions (NYSE:ULS – Get Free Report) last announced its quarterly earnings data on Tuesday, November 3rd. The company reported $0.62 earnings per share for the quarter, hitting analysts’ consensus estimates of $0.62. UL Solutions had a net margin of 16.07% and a return on equity of 26.65%. The business had revenue of $823.00 million for the quarter, compared to analysts’ expectations of $815.72 million. During the same quarter in the prior year, the company earned $0.56 earnings per share. The business’s revenue was up 5.1% compared to the same quarter last year. On average, research analysts anticipate that UL Solutions Inc. will post 2.09 earnings per share for the current year.

UL Solutions Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Investors of record on Monday, August 31st were paid a $0.1450 dividend. The ex-dividend date was Monday, August 31st. This represents a $0.58 annualized dividend and a dividend yield of 0.8%. UL Solutions’s dividend payout ratio is presently 23.48%.

Insiders Place Their Bets

In other UL Solutions news, CEO Jennifer Scanlon sold 12,500 shares of UL Solutions stock in a transaction on Monday, November 2nd. The stock was sold at an average price of $75.03, for a total transaction of $937,875.00. Following the completion of the transaction, the chief executive officer owned 114,224 shares in the company, valued at approximately $8,570,226.72. The trade was a 9.86% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Over the last three months, insiders sold 37,500 shares of company stock worth $2,734,625. 1.20% of the stock is owned by company insiders.

Hedge Funds Weigh In On UL Solutions

Institutional investors and hedge funds have recently modified their holdings of the stock. Bessemer Group Inc. grew its position in UL Solutions by 2.0% during the 1st quarter. Bessemer Group Inc. now owns 2,265,772 shares of the company’s stock valued at $194,199,000 after purchasing an additional 44,103 shares during the last quarter. Allspring Global Investments Holdings LLC raised its holdings in UL Solutions by 12.5% in the first quarter. Allspring Global Investments Holdings LLC now owns 1,744,523 shares of the company’s stock worth $147,534,000 after buying an additional 193,610 shares during the last quarter. International Assets Investment Management LLC lifted its stake in shares of UL Solutions by 40,069.7% in the third quarter. International Assets Investment Management LLC now owns 1,610,000 shares of the company’s stock worth $105,648,000 after buying an additional 1,605,992 shares in the last quarter. Pictet Asset Management Holding SA lifted its stake in shares of UL Solutions by 24.1% in the third quarter. Pictet Asset Management Holding SA now owns 1,136,171 shares of the company’s stock worth $74,536,000 after buying an additional 220,700 shares in the last quarter. Finally, Reynders McVeigh Capital Management LLC grew its holdings in shares of UL Solutions by 3.8% during the second quarter. Reynders McVeigh Capital Management LLC now owns 608,136 shares of the company’s stock valued at $61,945,000 after buying an additional 22,028 shares during the last quarter.

About UL Solutions

(Get Free Report)

UL Solutions Inc (NYSE: ULS) is a global applied safety science company that provides testing, inspection, certification, and advisory services. The company helps manufacturers, retailers, regulators, and other organizations evaluate the safety, security, performance, quality, and sustainability of products, facilities, and systems.

Its services cover a broad range of industries, including consumer products, industrial equipment, energy, mobility, information technology, and the built environment.

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