My favourite Universal horror film...and my favourite horror of all time, without a doubt, bar none...is not really Universal at all, though they now own the film which is part of the Paramount library they bought:
THE ISLAND OF LOST SOULS with Charles Laughton; Richard Arlen; Kathleen Burke, the Panther Woman; and Bela Lugosi in his best role ever as the Sayer of the Law. Brilliant, brilliant film! " Mr. Parker, do you know what it's like to feel like God?" "What is the Law? Not to walk on all fours, that is the Law! Are we not men? What is the Law? Not to eat meat, that is the Law! Are we not men? What is the Law? Not to spill blood, that is the Law! Are we not men? His is the Hand that Makes, His is the Hand that Heals, His is the House of Pain!"
If I had to pick a fav Universal, it would probably be THE SON OF FRANKENSTEIN, if for no other reason than Basil Rathbone and the film's gothic, outre set design.
And though it's certainly not a fav, Universal made a horror out of my sword & sorcery epic, KULL THE CONQUEROR, taking something that had captured Robert E. Howard's moody, visceral style and turning it into a cartoonish, buffoonish disaster that became a rolling juggernaut of illogic.
Panni, my pal, the late Douggie Hickox, who directed my HOUND OF THE BASKERVILLES, also directed THEATRE OF BLOOD.
Being with BK when he bought the book for the estranged former DR, I can attest his motives were only kind and genuine. I actually tried to discourage him, thinking in my usual cynical way, it would be a wasted, unappreciated act of generosity...which sadly, it's become...but BK went with his nobler instincts, trying to be nice and thoughtful to someone who had not treated him very well in the past.