Is Unilever PLC (UL) a Good Investment Choice?

Mayar Capital, an asset management company, released its second quarter 2022 investor letter. A copy of the same can be downloaded here. Mayar Fund (Class A) was down 12.54% net of all fees and expenses in the second quarter. The fund has increased 161.23% since its inception in May 2011. In addition, you can check the top 5 holdings of the fund to know its best picks in 2022.

In the second quarter investor letter, Mayar Capital discussed stocks like Unilever PLC (NYSE:UL). Headquartered in London, the United Kingdom, Unilever PLC (NYSE:UL) is a consumer goods company. On September 1, 2022, Unilever PLC (NYSE:UL) stock closed at $44.91 per share. One-month return of Unilever PLC (NYSE:UL) was -7.25% and its shares lost 18.14% of their value over the last 52 weeks. Unilever PLC (NYSE:UL) has a market capitalization of $116.473 billion.

Here is what Mayar Capital specifically said about Unilever PLC (NYSE:UL):

“In 1895 the Lever brothers created a new brand of hand soap. Inspired by the growing demand for hygiene products, the Lifebuoy brand of soaps was launched to ‘make health infectious’. 128 years later the Lifebuoy brand continues as a leading soap brand – albeit without the coal tar-derived ingredients list. In fact, the market research firm Kantar ranked Lifebuoy as the global #3 most chosen FMCG brand in 2020, just below Coca-Cola (KO) and Colgate (CL) – an astonishing fact given the age of the brand. While the brand is largely absent from shelves here in the UK, it is a juggernaut in Asian markets, and is the #1 brand in India.

There are two observations about the Lifebuoy story which tell us a lot about Unilever PLC (NYSE:UL), which is currently our largest holding in the Fund.

The first is the enduring power of brands in the consumer goods market. According to Kantar’s list of most chosen brands, the top 20 global marques have an average age of 116 years, with over half being founded in the 19th century. Fashions come and go, but there is something special about low-cost consumable goods that advantages strong, time-worn brand names…” (Click here to view full text)

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Unilever PLC (NYSE:UL) is not on the list of 30 Most Popular Stocks Among Hedge Funds. Unilever PLC (NYSE:UL) was held by 21 hedge fund portfolios at the end of the second quarter compared to 23 in the previous quarter.

We discussed Unilever PLC (NYSE:UL) in another article and shared Diamond Hill Capital’s views on the company. You can check out our hedge fund investor letters Q2 2022 page for more investor letters from hedge funds and other prominent investors.

Disclosure: None. This article is originally published at Insider Monkey.