This is why I plan to hold FTSE 100 stock Unilever for 20 years

Unilever plc’s (LON: ULVR) brands are present in almost every UK household and many abroad. That’s what makes it such a good long-term stock, says Edward Sheldon.

| More on:

The content of this article was relevant at the time of publishing. Circumstances change continuously and caution should therefore be exercised when relying upon any content contained within this article.

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More.

When discussing Unilever (LSE: ULVR) shares, one of the first things that often comes up is the group’s world-class portfolio of brands. Believe it or not, its brands are present in 98% of households across the UK.

Yet I’m not sure people realise just how powerful the group’s portfolio actually is – it really is quite extraordinary when you take a closer look. Here’s a look at how many Unilever products I use on a day-to-day basis.

Morning routine

Let’s start with my typical morning. One of the first things I do when I wake up every morning is make myself a cup of tea. My tea brand of choice? The legendary PG Tips – a Unilever brand. After my tea, I take a quick shower and use Unilever owned-Dove Men shower gel to freshen up, and then follow this up by spraying on some Dove Men deodorant. At this stage of the day, I haven’t even started work yet and I’ve already used three Unilever products.

Late morning and lunch

Later in the morning, I usually make myself some toast. While I do tend to rotate what I put on my toast, Marmite – another Unilever brand – can be in the mix. And at lunch, I’ll generally make myself a sandwich. Here, there’s a good chance that a little bit Colman’s mustard or Hellmann’s mayonnaise will be involved – two more legendary Unilever brands.

Evening

While I am trying to watch my diet a bit these days, I do love some ice cream in the evenings after dinner, especially in the summer. Now, if I had to pick one ice cream brand, I’d probably say that Unilever-owned Ben & Jerry’s is my favourite. But to be honest with you I also love a Cornetto, a Magnum, Viennetta, Carte d’Or and plenty of Wall’s ice creams. And you know what? Unilever owns all of these brands. In other words, if I’m eating ice cream, there’s a good chance Unilever is profiting.

There’s more…

It doesn’t stop there though. I also wash all of my clothes with Unilever-owned Persil detergent. Moreover, my wife insists that I give the bathroom a quick wipe down every now and then so I regularly give the sink a quick spray with Cif, and squirt some Domestos in the toilet – both Unilever brands.

Additionally, my wife also uses a number of Unilever personal care products herself, including TRESemmé hair products, Simple face wash products, and Radox shower and bath products.

Overall, I think you’d find at least 10-15 Unilever products in our house at any one time, if not more, with many of these products being used every single day.

Brilliant long-term stock

And that, ultimately, is one of the key reasons I plan to hold Unilever shares for the long term. Whether the economy is expanding or contracting, Unilever’s trusted products will be used in our household – and nearly every other household in the UK – every single day. That’s what makes Unilever such a brilliant ‘sleep-well-at-night’ stock.

The shares may appear a little expensive by traditional valuation measures, but in my view, that kind of brand power is worth a premium.

Edward Sheldon owns shares in Unilever. The Motley Fool UK owns shares of and has recommended Unilever. Views expressed on the companies mentioned in this article are those of the writer and therefore may differ from the official recommendations we make in our subscription services such as Share Advisor, Hidden Winners and Pro. Here at The Motley Fool we believe that considering a diverse range of insights makes us better investors.

More on Investing Articles

Artillery rocket system aimed to the sky and soldiers at sunset.
Investing Articles

£7,500 invested in BAE Systems shares 10 days ago is now worth…

Why have BAE Systems shares experienced a sudden double-digit pullback? And does this present a buying opportunity for my portfolio?

Read more »

Picture of an easyJet plane taking off.
Investing Articles

£10,000 invested in easyJet shares 4 weeks ago is now worth…

It's been a crazy month for easyJet shares. Here's what would have happened to an investor's £10,000 stake put to…

Read more »

CEO Mark Zuckerberg at F8 2019 event
Investing Articles

Down 31%, is this a rare chance to buy Meta stock for my ISA cheaply?

After rising to near $800 in 2025, Meta stock has pulled back to around $550. Edward Sheldon looks at whether…

Read more »

Santa Clara offices of NVIDIA
Investing Articles

18% off its peak, is Nvidia stock now attractively priced?

Nvidia stock has given up almost a fifth of the price it commanded at its peak over the past year.…

Read more »

Aston Martin DBX - rear pic of trunk
Investing Articles

The Aston Martin share price destruction helps illustrate 5 common investing mistakes!

The Aston Martin share price has been a disaster for investors. Christopher Ruane highlights a handful of lessons we can…

Read more »

DIVIDEND YIELD text written on a notebook with chart
Dividend Shares

How this stock market correction can help boost a second income by 25%

Jon Smith explains how rising dividend yields across some existing income shares can be seen as an opportunity to grow…

Read more »

Middle-aged Caucasian woman deep in thought while looking out of the window
Investing Articles

Considering a SIPP? Today’s market could provide an excellent opportunity to start

Mark Hartley breaks down the benefits of using a SIPP for retirement, and how current market conditions could offer a…

Read more »

Calendar showing the date of 5th April on desk in a house
Investing Articles

Looking for last-minute ISA ideas? Check out these UK stocks before April 3

Easter bank holidays mean the deadline to put cash into a Stocks and Shares ISA might be closer than UK…

Read more »