UniFirst’s price movement
UniFirst Corporation (UNF) has a market cap of $2.3 billion. Its stock rose by 9.0% to close at $114.89 per share on June 29, 2016. The stock’s weekly, monthly, and YTD (year-to-date) price movements were 1.3%, -0.64%, and 10.3%, respectively, on the same day. UNF is trading 1.0% above its 20-day moving average, 2.4% above its 50-day moving average, and 6.8% above its 200-day moving average.
Related ETFs and peers
The iShares Russell 2000 ETF (IWM) invests 0.10% of its holdings in UniFirst. The ETF tracks a market cap–weighted index of US small-cap stocks. The index selects stocks ranked 1,001–3,000 by market cap. The YTD price movement of IWM was 0.53% on June 29.
The Vanguard Industrials ETF (VIS) invests 0.07% of its holdings in UniFirst. The ETF tracks a broad, market cap–weighted index of US industrial stocks.
The market caps of UniFirst’s competitors are as follows:
UniFirst’s performance in fiscal 3Q16
UniFirst reported fiscal 3Q16 revenues of $367.8 million, a rise of 0.60% compared to revenues of $365.6 million in fiscal 3Q15. Revenues from core laundry operations and first aid rose by 1.1% and 4.6%, respectively, and revenue from specialty garments fell by 6.9% compared to fiscal 3Q15. The company’s cost of revenues as a percentage of revenues rose by 0.66%, and its income from operations fell by 8.6%, compared to fiscal 3Q15.
Its net income and EPS (earnings per share) fell to $30.1 million and $1.49, respectively, in fiscal 3Q16, compared to $32.5 million and $1.61, respectively, in fiscal 3Q15.
UNF’s cash and cash equivalents rose by 25.7%, and its inventories fell by 5.1% compared to fiscal 4Q15. Its current ratio rose to 4.3x in fiscal 3Q16 compared to 3.6x in fiscal 4Q15.
The company has made the following projections for fiscal 2016:
- It expects revenue to be in the range of $1.46 billion–$1.47 billion.
- It expects EPS to be in the range of $5.45–$5.65.
In the next article in this series, we’ll discuss Skechers USA (SKX).