Unilever PLC (NYSE:UL) is one of the 8 Best Counter Cyclical Stocks to Buy Right Now.
On April 21, 2026, RBC Capital analyst James Edwardes Jones upgraded Unilever PLC (NYSE:UL) to Sector Perform from Underperform with an unchanged price target of 4,200 GBp. James Edwardes Jones said concerns around the disposal of the company’s food business appear reflected in the current share price, adding that consensus estimates already incorporate caution on Unilever’s growth trajectory.
Meanwhile, BofA reinstated coverage of Unilever PLC (NYSE:UL) with a Buy rating and a 5,300 GBp price target. The firm pointed to the company’s transformation in the U.S. toward wellbeing and personal care, an “unrivalled market position” in India, and a valuation that “now looks to us attractive.”
Last month, McCormick & Company (MKC) and Unilever announced an agreement to combine McCormick with Unilever’s Foods business, excluding India and other excluded businesses, creating a combined company with approximately $20B in fiscal 2025 revenue. Under the terms, Unilever and its shareholders are expected to receive shares representing 65.0% of the combined company’s equity, equivalent to $29.1B based on McCormick’s one-month volume-weighted average price of $57.84, along with $15.7B in cash, subject to adjustments. The transaction implies an enterprise value of approximately $44.8B for Unilever Foods and about $21B for McCormick, both at approximately 13.8x fiscal 2025 EBITDA.
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Upon closing, Unilever shareholders are expected to own 55.1%, McCormick shareholders 35.0%, and Unilever 9.9% of the combined company. The deal is not expected to trigger U.S. federal income tax for Unilever or its shareholders. The companies expect approximately $600M in annual run-rate cost synergies over three years, with about two-thirds realized by the end of year two, with one-time costs estimated at approximately $300M and an additional $100M in incremental cost and revenue synergies to be reinvested. The transaction is expected to close by mid 2027, subject to McCormick shareholder approval, regulatory clearances, and other customary conditions, including works council consultation.
Unilever PLC (NYSE:UL) operates as a fast-moving consumer goods company across the Asia Pacific, Africa, the Americas, and Europe.
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