UL Solutions Inc. (NYSE:ULS) Given Average Recommendation of “Moderate Buy” by Brokerages

Shares of UL Solutions Inc. (NYSE:ULS) have been assigned an average recommendation of “Moderate Buy” from the eleven research firms that are presently covering the company, Marketbeat Ratings reports. Five investment analysts have rated the stock with a hold recommendation and six have issued a buy recommendation on the company. The average 12-month price objective among analysts that have issued ratings on the stock in the last year is $96.78.

ULS has been the topic of a number of research reports. Telsey Advisory Group set a $100.00 target price on shares of UL Solutions in a report on Wednesday, May 6th. JPMorgan Chase & Co. boosted their target price on shares of UL Solutions from $88.00 to $108.00 and gave the company a “neutral” rating in a research note on Thursday, May 7th. UBS Group reduced their target price on shares of UL Solutions from $110.00 to $96.00 and set a “buy” rating on the stock in a research report on Wednesday. Citigroup lowered their target price on UL Solutions from $106.40 to $82.80 and set a “neutral” rating for the company in a report on Wednesday. Finally, Zacks Research downgraded shares of UL Solutions from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 6th.

UL Solutions Stock Down 2.5%

Shares of ULS stock opened at $77.06 on Friday. The company’s fifty day moving average price is $92.06 and its 200-day moving average price is $87.37. UL Solutions has a one year low of $61.64 and a one year high of $107.54. The company has a market capitalization of $15.53 billion, a price-to-earnings ratio of 31.20, a PEG ratio of 3.21 and a beta of 0.71. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.42 and a quick ratio of 1.16.

UL Solutions (NYSE:ULS) last issued its earnings results on Tuesday, August 4th. The company reported $0.59 earnings per share for the quarter, topping analysts’ consensus estimates of $0.56 by $0.03. UL Solutions had a net margin of 16.02% and a return on equity of 28.81%. The firm had revenue of $816.00 million during the quarter, compared to analyst estimates of $813.62 million. During the same quarter in the prior year, the business earned $0.52 earnings per share. UL Solutions’s revenue for the quarter was up 5.2% on a year-over-year basis. Sell-side analysts expect that UL Solutions will post 2.13 EPS for the current fiscal year.

UL Solutions Dividend Announcement

The firm also recently declared a quarterly dividend, which was paid on Monday, June 8th. Stockholders of record on Friday, May 29th were given a dividend of $0.145 per share. The ex-dividend date of this dividend was Friday, May 29th. This represents a $0.58 dividend on an annualized basis and a dividend yield of 0.8%. UL Solutions’s dividend payout ratio is presently 23.48%.

Insider Activity

In other news, CAO Karen K. Pepping sold 725 shares of UL Solutions stock in a transaction on Tuesday, June 9th. The shares were sold at an average price of $97.74, for a total transaction of $70,861.50. Following the completion of the sale, the chief accounting officer directly owned 8,082 shares in the company, valued at approximately $789,934.68. The trade was a 8.23% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through the SEC website. Also, Director Friedrich Hecker sold 4,000 shares of UL Solutions stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $102.04, for a total value of $408,160.00. Following the sale, the director directly owned 13,180 shares of the company’s stock, valued at approximately $1,344,887.20. This represents a 23.28% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 57,705 shares of company stock worth $5,634,995 over the last quarter. Company insiders own 1.20% of the company’s stock.

Institutional Trading of UL Solutions

A number of hedge funds and other institutional investors have recently made changes to their positions in ULS. Capital International Investors grew its position in UL Solutions by 6.6% during the 4th quarter. Capital International Investors now owns 8,043,735 shares of the company’s stock worth $634,616,000 after purchasing an additional 495,424 shares during the period. Vanguard Group Inc. boosted its stake in shares of UL Solutions by 21.9% during the 4th quarter. Vanguard Group Inc. now owns 6,740,636 shares of the company’s stock worth $531,567,000 after acquiring an additional 1,213,188 shares in the last quarter. T. Rowe Price Investment Management Inc. raised its stake in shares of UL Solutions by 10.2% during the 4th quarter. T. Rowe Price Investment Management Inc. now owns 5,878,995 shares of the company’s stock worth $463,618,000 after buying an additional 545,528 shares during the period. Janus Henderson Group PLC increased its holdings in UL Solutions by 1.8% in the 4th quarter. Janus Henderson Group PLC now owns 3,024,820 shares of the company’s stock worth $238,538,000 after acquiring an additional 54,910 shares in the last quarter. Finally, Bessemer Group Inc. increased its stake in shares of UL Solutions by 2.0% during the first quarter. Bessemer Group Inc. now owns 2,265,772 shares of the company’s stock worth $194,199,000 after purchasing an additional 44,103 shares in the last quarter.

Key Headlines Impacting UL Solutions

Here are the key news stories impacting UL Solutions this week:

• Positive Sentiment: Wells Fargo reaffirmed its Buy rating, signaling continued confidence in UL Solutions’ growth prospects despite lowering its price target from $120 to $104. Wells Fargo Reaffirms Buy Rating
• Positive Sentiment: UL Solutions exceeded second-quarter expectations, reporting adjusted EPS of $0.59 versus the $0.56 consensus and revenue of $816 million versus $813.6 million expected. Revenue increased 5.2% year over year, while reported organic growth and margin expansion pointed to continued operating momentum. UL Solutions Second-Quarter Results
• Positive Sentiment: Management indicated a potential 2026 adjusted EBITDA margin of approximately 27%. The planned Eurofins E&E acquisition could provide an additional growth engine, and analysts view the transaction’s valuation and resulting leverage as manageable. UL Solutions 2026 Margin Outlook
• Neutral Sentiment: UBS maintained a Buy rating while cutting its price target from $110 to $96. The target reduction reflects more cautious assumptions, but still indicates significant potential upside from recent levels. UBS Lowers UL Solutions Price Target
• Neutral Sentiment: The stock remains valued at a premium, with a forward earnings multiple above 40 and a consensus target near $97–$102. This leaves investors focused on whether earnings growth can justify the valuation.
• Negative Sentiment: CEO Jennifer Scanlon sold 12,500 shares for approximately $1.15 million, reducing her direct ownership by 7.61%. Although she retains a substantial stake, the insider sale may add modest pressure to investor sentiment. SEC Insider Trading Filing
• Negative Sentiment: Investors remain concerned that rising stock-based compensation and capital expenditures—projected at roughly 8.5% of revenue—could weigh on free cash flow. These concerns help explain the share-price retreat following the earnings release. UL Solutions Free Cash Flow Analysis

About UL Solutions

UL Solutions (NYSE: ULS) is a global safety science company that provides testing, inspection, certification, advisory and digital solutions designed to help organizations manage risk, ensure regulatory compliance and drive innovation. With roots dating back to 1894 when it was founded as Underwriters’ Electrical Bureau, the company rebranded as UL Solutions following its initial public offering in 2022. Headquartered in Northbrook, Illinois, UL Solutions operates independently to serve a broad range of industries with an emphasis on product safety, performance and sustainability.

The company’s core services include standards development, product testing and certification for sectors such as building products, consumer electronics, automotive, life sciences, energy and industrial equipment.