What a $20 Million Bet on a Stock Down 3% Signals for Investors

1 hour ago 1

Jonathan Ponciano, The Motley Fool

Tue, February 3, 2026 astatine 6:27 AM CST 4 min read

On February 2, Tweedy, Browne disclosed a caller presumption successful UniFirst (NYSE:UNF), acquiring 102,059 shares during the 4th fourth successful an estimated $19.69 cardinal commercialized based connected quarterly mean pricing.

According to a SEC filing dated February 2, Tweedy, Browne reported a caller presumption successful UniFirst (NYSE:UNF), acquiring 102,059 shares during the 4th quarter. This accrued the quarter-end presumption worth by $19.69 million, a fig that reflects the caller acquisition of shares.

The caller UniFirst presumption accounts for 1.59% of Tweedy, Browne’s $1.24 cardinal successful reportable U.S. equity assets aft the fourth-quarter filing.

Top holdings aft the filing:

NASDAQ: IONS: $195.00 cardinal (15.8% of AUM)
NYSE: CNH: $186.07 cardinal (15.03% of AUM)
NYSE: KOF: $112.59 cardinal (9.10% of AUM)
NYSE: BRK-A: $108.69 cardinal (8.78% of AUM)
NASDAQ: GOOGL: $62.46 cardinal (5.05% of AUM)

As of February 2, UniFirst shares were priced astatine $208.02, down 2.7% implicit the past twelvemonth and underperforming the S&P 500 by 17.70 percent points.

Metric

Value

Revenue (TTM)	$2.45 billion
Net income (TTM)	$139.53 million
Dividend yield	0.68%
Price (as of February 2)	$208.02

UniFirst offers uniforms, protective workwear, installation work products, and archetypal assistance supplies, with gross chiefly from rental and cleaning services, arsenic good arsenic nonstop sales.
The institution operates a multi-segment concern exemplary including full-service rental programs, garment leasing, and nonstop sales, generating recurring gross from ongoing work contracts.
It serves a diversified lawsuit basal crossed automotive, retail, manufacturing, nutrient service, healthcare, government, and high-technology sectors successful the United States, Canada, and Europe.

UniFirst is simply a starring supplier of workplace uniforms and installation services, operating astatine standard crossed North America and prime planetary markets. The institution leverages a vertically integrated model, from manufacturing to delivery, to guarantee prime and work consistency. Its wide lawsuit scope and absorption connected recurring work contracts supply unchangeable currency flows and a defensible marketplace position.

For semipermanent investors, this determination matters little due to the fact that of near-term banal show and much due to the fact that of what it adds to the portfolio’s wide shape. The presumption lands successful a concern built astir recurring revenue, contractual relationships, and operational standard alternatively than cyclical upside. That stands retired erstwhile viewed adjacent to Tweedy, Browne’s comparatively top-heavy allocation to higher-volatility maturation names and conglomerates.

UniFirst’s astir caller 4th showed wherefore patience is required. Revenue roseate 2.7% twelvemonth implicit twelvemonth to $621.3 million, driven by integrated maturation successful its halfway azygous and installation services segment, but margins compressed arsenic the institution leaned into planned exertion and maturation investments. Operating borderline fell to 7.3% from 9.2%, portion diluted EPS declined to $1.89 from $2.31 1 twelvemonth earlier. The header numbers were softer, yet absorption reaffirmed full-year gross guidance of up to $2.50 cardinal and highlighted improved lawsuit retention and caller relationship wins.