At a glance
Universal Corporation is worth $984.8M, about 30 times its fiscal 2026 earnings. Revenue fell 1.3% to $2.89B in fiscal 2026, with 1.1% kept as profit; over 5 years it has grown 8.0% a year. It pays a 8.34% dividend yield, raised every year for at least 9 years, and returned $404.5M to shareholders in dividends and buybacks over FY2022–FY2026. The stock returned −17.9% over the past year with dividends reinvested and +2.6% a year over five years, against +11.5% and +11.7% for the S&P 500. At its worst it fell 24.1% in the 2020 crash (S&P 500: 33.7%) and 28.7% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 9 months and 14 months after the lows.
The business in plain English
Universal Corporation buys farm crops, processes them and sells them to manufacturers rather than consumers. Its Tobacco Operations segment buys and processes several types of leaf tobacco, such as flue-cured and burley, for makers of cigarettes and other tobacco products; the company calls itself the leading global leaf tobacco supplier. Its Ingredients Operations segment makes plant-based ingredients, such as fruits, vegetables, botanical extracts and flavorings, for food, beverage and packaged-goods companies.
In tobacco, Universal earns money by selling leaf it has bought and processed, by charging fees to process leaf that customers already own, and from services such as blending and testing. In most countries it contracts directly with farmers and often advances them seed and fertilizer. Processing is time-sensitive because unprocessed “green” leaf is perishable.
Revenue was about $2.9 billion in the fiscal year ended March 31, 2026, from operations in over 30 countries. The company estimates that, on average over five years, it handled 35% to 45% of the flue-cured and burley crop in the United States, 20% to 30% in Africa and 15% to 25% in Brazil. Its top five customers made up more than half of revenue in each of the last three fiscal years. Imperial Brands and Philip Morris International each accounted for 10% or more in fiscal 2026.
Price history
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UVV -17.9% over the year to Oct 28, 2026, total return with dividends reinvested.
Latest results
- In Q1 FY2027 (ended Jun 30, 2026), revenue was $520.3M, down 12.2% from a year earlier, and net income was $-5.0M (-159.0%).
- For fiscal 2026, revenue was $2.89B (-1.3% year over year; +8.0% a year from FY2021 to FY2026) with a 1.1% net margin.
Financial health check
| Revenue growth a year (FY2021–FY2026) | +8.0% good |
|---|---|
| Operating margin | 5.8% watch |
| Free cash flow margin | 2.8% watch |
| Return on equity (FY2026) | 2.3% weak |
| Return on assets (FY2026) | 1.2% weak |
| Net cash (cash minus debt) | $-1.01B weak |
| Fiscal year | Revenue | Net income | Free cash flow |
|---|---|---|---|
| FY2021 | $1.97B | $87.4M | $154.3M |
| FY2022 | $2.09B | $86.6M | $-8.3M |
| FY2023 | $2.55B | $124.1M | $-65.2M |
| FY2024 | $2.72B | $119.6M | $-140.6M |
| FY2025 | $2.92B | $95.0M | $264.4M |
| FY2026 | $2.89B | $32.6M | $80.3M |
Valuation snapshot
| Market value | $984.8M |
|---|---|
| P/E ratio | 30.4 |
| Dividend yield | 8.34% |
Rank among 1514 US companies
Market value at each year end
Universal’s market value went from $1.45B at the end of 2016 to $984.8M on Oct 28, 2026, down 32%; since the end of 2025 it is down 25%.
Show as a table
| Year end | Market value | Change |
|---|---|---|
| Oct 28, 2026 | $984.8M | -25.1% |
| 2025 | $1.31B | -2.9% |
| 2024 | $1.35B | -18.1% |
| 2023 | $1.65B | +27.5% |
| 2022 | $1.30B | -4.0% |
| 2021 | $1.35B | +13.4% |
| 2020 | $1.19B | -15.8% |
| 2019 | $1.42B | +4.7% |
| 2018 | $1.35B | +2.5% |
| 2017 | $1.32B | -9.2% |
| 2016 | $1.45B |
Price behavior
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | |
|---|---|---|---|---|---|
| UVV price data to Oct 28, 2026 | -19.9% | -17.9% | +2.5% | +2.6% | +2.7% |
Show as a table
| Year | Price data |
|---|---|
| 2026 (to date) | -19.9% |
| 2025 | +2.3% |
| 2024 | -13.3% |
| 2023 | +35.8% |
| 2022 | +2.1% |
| 2021 | +19.7% |
| 2020 | -9.0% |
| 2019 | +11.1% |
| 2018 | +7.8% |
| 2017 | -14.8% |
| 2016 | +18.1% |
| 2015 | +33.1% |
| 2014 | -16.1% |
| 2013 | +13.5% |
| 2012 | +13.1% |
| 2011 | +18.4% |
| 2010 | -7.0% |
| 2009 | +61.0% |
| 2008 | -39.5% |
| 2007 | +7.8% |
| 2006 | +18.2% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Lost 47.8% over that stretch · deepest drop along the way 59.8%, back to its old high 46.6 months after the low |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 22.2% over that stretch · deepest drop along the way 24.1%, back to its old high 8.5 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 14.4% over that stretch · deepest drop along the way 28.7%, back to its old high 13.9 months after the low |
Insider activity
Form 4 filings from 2025-10-29 to 2026-10-29 (25 read): 0 open-market purchases and 2 sales ($243K).
| Date | Insider | Type | Value |
|---|---|---|---|
| Jun 3, 2026 | Robert C Sledd Director | sell | $154K |
| Aug 10, 2026 | Lennart R. Freeman Director | sell | $89K |
Who owns it
Large shareholders (13G filings)
| BlackRock, Inc. | 15% | Mar 31, 2025 |
| Vanguard Portfolio Management | 7.14% | Mar 31, 2026 |
| Vanguard Capital Management | 5.02% | Mar 31, 2026 |
| STATE STREET CORPORATION | 5% | Dec 31, 2024 |
ETFs with the most weight in UVV
| ERNZ TrueShares Active Yield ETF | 3.67% |
| PSCC Invesco S&P SmallCap Consumer Staples ETF | 3.44% |
| PEY Invesco High Yield Equity Dividend Achievers™ ETF | 3.03% |
| XSHD Invesco S&P SmallCap High Dividend Low Volatility ETF | 2.6% |
| XVOL Acruence Active Hedge U.S. Equity ETF | 2.32% |
| DIV Global X SuperDividend U.S. ETF | 2.28% |
| TMDV ProShares Russell U.S. Dividend Growers ETF | 1.66% |
| XSVM Invesco S&P SmallCap Value with Momentum ETF | 1.45% |
What could go wrong
- Heavy reliance on a few big customers. The top five customers made up more than half of revenue in each of the last three fiscal years. Losing one, a merger among them, or more customers buying leaf directly could cut sales sharply.
- Buying farmers' whole crops carries quality risk. Under farmer contracts, Universal must buy whole crops, including less-wanted leaf, and often advances seed and fertilizer. Leaf that misses customer specifications may not sell at good margins, and advances may go unrepaid.
- Weather and supply swings make results uneven. Leaf supply rises and falls with weather, disease, plantings and farmers' crop choices. A mismatch with customer demand, or a shift in crop timing or shipments, can swing results and make forecasting hard.
- Tobacco rules and changing nicotine habits. Universal's sales depend on demand for cigarettes and other tobacco products. Tighter government rules, lower consumption, illicit trade or a shift to e-cigarettes and other non-combustible products could reduce customers' need for leaf.
- Ingredients growth leans on acquisitions. The plant-based ingredients segment faces its own industry risks and supply chain disruptions. Growth there relies partly on acquisitions, which can be hard to integrate and may not deliver the expected benefits.
- Political, currency and interest rate exposure. Universal operates in over 30 countries, including Zimbabwe, Malawi and Brazil. Political turmoil, tax changes, currency swings, or higher rates on its $1.18 billion of debt (as of June 30, 2026) could hurt results.
Recent events
- Major agreement signed
- Executive or board change
- Quarterly results released; Shareholder vote results
- Executive or board change
- Quarterly results released
- Quarterly results released; Executive or board change; Investor presentation or announcement
- Executive or board change
- Executive or board change; Investor presentation or announcement
- Major agreement signed; Major agreement ended; New debt or financial obligation
- Quarterly results released; Executive or board change; Investor presentation or announcement
For income and retirement investors
Universal has raised its regular dividend for at least nine fiscal years in a row. It went from $3.08 a share in fiscal 2021 to $3.28 in the year ended March 31, 2026, about 1.3% a year. The yield was 8.34% as of October 28, 2026. Earnings did not cover the payout: in fiscal 2026, dividends were about 249% of earnings and 101% of free cash flow (cash from operations after capital spending). Buybacks were small, about $11 million over fiscal 2022 to 2026, against $393 million in dividends.
The share price fell sharply in past downturns. It dropped 59.8% from its March 2008 peak to its March 2009 low and needed about 47 months from that low to recover. It fell 24.1% in the 2020 COVID crash, recovering in about 8.5 months, and 28.7% in the 2022 bear market, recovering in about 14 months. Single stocks carry more risk than diversified funds.
Questions investors ask
How does Universal Corp make money?
Universal buys and processes leaf tobacco for companies that make cigarettes and other tobacco products. It also sells plant-based ingredients to food and beverage makers. In tobacco, it earns money from selling leaf it has sourced and processed, from fees to process tobacco that customers already own, and from services such as blending and testing. Its ingredients segment makes fruit and vegetable products, botanical extracts and flavorings. Revenue was about $2.9 billion in the fiscal year ended March 31, 2026.
Does Universal Corp raise its dividend every year?
Yes, so far. Universal has raised its regular dividend for at least nine fiscal years in a row through fiscal 2026 (the year ended March 31, 2026). SEC filings back to fiscal 2017 show a rise every year, so the streak may be longer. The increases are small: the dividend went from $3.08 a share in fiscal 2021 to $3.28 in fiscal 2026, about 1.3% a year. Earnings did not cover the fiscal 2026 dividend, which could limit future raises.
Is Universal Corp's dividend safe?
Profits did not cover the dividend in fiscal 2026 (the year ended March 31, 2026). Universal paid $3.28 a share against diluted earnings of $1.30, a payout of about 249%. Dividends paid of $81.3 million were slightly more than free cash flow of $80.3 million. It reported a $5.0 million net loss in the quarter ended June 30, 2026, and had $1.18 billion of debt against $174 million of cash. The yield was 8.34% as of October 28, 2026.
Who are Universal Corp's biggest customers?
Imperial Brands and Philip Morris International, with their affiliates, each made up 10% or more of revenue in the fiscal year ended March 31, 2026. The top five customers together accounted for more than half of revenue in each of the last three fiscal years. Universal's main global rival for this business is Pyxus International. Losing a big customer, a merger among customers, or customers buying more leaf directly from farmers could cut sales.
How has Universal Corp stock performed?
Modestly, on price alone. As of October 28, 2026, the share price had risen about 2.6% a year over five years and 2.7% a year over ten years, not counting dividends. It fell 17.9% over the prior 12 months and was down 19.9% for 2026 through that date. Because the dividend yield has been high, returns including dividends would have been higher. The largest drop in about 21 years of price history was 59.8%, during the 2008 financial crisis.