Unilever’s incoming CEO, Hein Schumacher, is due to start next week. He will be trying to confront the challenge of boosting sales as the company’s sales trail behind competitors like Nestle and Procter & Gamble. With a strong presence in emerging markets and a portfolio of popular brands including Ben & Jerry’s, Dove, Knorr, and Magnum, watch for strategic moves from the new CEO that could potentially lift Unilever’s sales and impact investor sentiment. Will the new CEO try to make some strategic sales?
On top of this new regime change at the head of this powerful company, there are some strong summer seasonals ahead. Over the last ten years, Unilever shares have risen 80% of the time with an average return of 2.84%. The largest gain was last year with a 6.83% gain, but 2015 and 2016, also saw gains above 6%. Will Hein Schumacher boost Unilever’s share price in line with this seasonal pattern?
Major Trade Risks: The biggest risk here is to do with the reaction to any of the new CEO’s changes plus the broader market is still very sensitive to global growth concerns.
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