Unilever Focuses on Beauty to Close Valuation Gap
Unilever is shedding food assets to focus on higher-growth beauty and personal care products. Investors remain cautious despite improving sales volumes.
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Xurve View
UNILEVER PLC trades at 11.5 times enterprise value to core earnings as CEO Fernando Fernandez sheds food assets to focus on higher-margin beauty and personal care. The valuation lags far behind rivals like PROCTER & GAMBLE CO at 14.8 and L'OREAL at 17.5. Investors are demanding proof that a simpler operating model can deliver sustained growth before closing the valuation gap.
