UBIQUITI INC (UI) Stock Fundamental Analysis
NYSE:UI - New York Stock Exchange, Inc. - US90353W1036 - Common Stock - Currency: USD
Taking everything into account, UI scores 7 out of 10 in our fundamental rating. UI was compared to 48 industry peers in the Communications Equipment industry. UI has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. UI is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, UI could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
UI had positive earnings in the past year.
UI had a positive operating cash flow in the past year.
In the past 5 years UI has always been profitable.
UI had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
Looking at the Return On Assets, with a value of 42.29%, UI belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
UI's Return On Equity of 125.89% is amongst the best of the industry. UI outperforms 100.00% of its industry peers.
The Return On Invested Capital of UI (114.17%) is better than 100.00% of its industry peers.
UI had an Average Return On Invested Capital over the past 3 years of 54.25%. This is significantly above the industry average of 14.31%.
The last Return On Invested Capital (114.17%) for UI is above the 3 year average (54.25%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 42.29% | ||
| ROE | 125.89% | ||
| ROIC | 114.17% |
ROA(3y)34.71%
ROA(5y)44.98%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)54.25%
ROIC(5y)69.47%
1.3 Margins
Looking at the Profit Margin, with a value of 23.65%, UI belongs to the top of the industry, outperforming 97.92% of the companies in the same industry.
UI's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 30.72%, UI belongs to the top of the industry, outperforming 97.92% of the companies in the same industry.
In the last couple of years the Operating Margin of UI has declined.
UI has a Gross Margin (42.16%) which is in line with its industry peers.
In the last couple of years the Gross Margin of UI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 30.72% | ||
| PM (TTM) | 23.65% | ||
| GM | 42.16% |
OM growth 3Y-12.87%
OM growth 5Y-6.12%
PM growth 3Y-17.64%
PM growth 5Y-8.16%
GM growth 3Y-7.24%
GM growth 5Y-3.68%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), UI is creating value.
The number of shares outstanding for UI remains at a similar level compared to 1 year ago.
Compared to 5 years ago, UI has less shares outstanding
UI has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 22.71 indicates that UI is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 22.71, UI belongs to the top of the industry, outperforming 97.92% of the companies in the same industry.
There is no outstanding debt for UI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.46 | ||
| Altman-Z | 22.71 |
ROIC/WACC12.41
WACC9.2%
2.3 Liquidity
UI has a Current Ratio of 1.39. This is a normal value and indicates that UI is financially healthy and should not expect problems in meeting its short term obligations.
Looking at the Current ratio, with a value of 1.39, UI is doing worse than 70.83% of the companies in the same industry.
UI has a Quick Ratio of 1.39. This is a bad value and indicates that UI is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.63, UI is not doing good in the industry: 91.67% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.63 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 56.31% over the past year.
Measured over the past 5 years, UI shows a small growth in Earnings Per Share. The EPS has been growing by 3.51% on average per year.
Looking at the last year, UI shows a very strong growth in Revenue. The Revenue has grown by 21.43%.
The Revenue has been growing by 10.67% on average over the past years. This is quite good.
EPS 1Y (TTM)56.31%
EPS 3Y-15.62%
EPS 5Y3.51%
EPS Q2Q%134.38%
Revenue 1Y (TTM)21.43%
Revenue growth 3Y0.53%
Revenue growth 5Y10.67%
Sales Q2Q%34.72%
3.2 Future
The Earnings Per Share is expected to grow by 20.17% on average over the next years. This is a very strong growth
Based on estimates for the next years, UI will show a quite strong growth in Revenue. The Revenue will grow by 9.50% on average per year.
EPS Next Y69.33%
EPS Next 2Y27.74%
EPS Next 3Y20.17%
EPS Next 5YN/A
Revenue Next Year25.41%
Revenue Next 2Y13.14%
Revenue Next 3Y9.5%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is stable.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 50.08, UI can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Earnings ratio of UI is on the same level as its industry peers.
The average S&P500 Price/Earnings ratio is at 27.03. UI is valued rather expensively when compared to this.
A Price/Forward Earnings ratio of 47.89 indicates a quite expensive valuation of UI.
UI's Price/Forward Earnings is on the same level as the industry average.
When comparing the Price/Forward Earnings ratio of UI to the average of the S&P500 Index (36.28), we can say UI is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.08 | ||
| Fwd PE | 47.89 |
4.2 Price Multiples
UI's Enterprise Value to EBITDA is on the same level as the industry average.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UI is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 37.92 | ||
| EV/EBITDA | 36.16 |
4.3 Compensation for Growth
UI's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The decent profitability rating of UI may justify a higher PE ratio.
UI's earnings are expected to grow with 20.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.72
PEG (5Y)14.27
EPS Next 2Y27.74%
EPS Next 3Y20.17%
5. Dividend
5.1 Amount
UI has a yearly dividend return of 0.55%, which is pretty low.
Compared to an average industry Dividend Yield of 3.73, UI pays a better dividend. On top of this UI pays more dividend than 81.25% of the companies listed in the same industry.
With a Dividend Yield of 0.55, UI pays less dividend than the S&P500 average, which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
5.2 History
On average, the dividend of UI grows each year by 19.28%, which is quite nice.
UI has been paying a dividend for over 5 years, so it has already some track record.
As UI did not decrease their dividend in the past 5 years, we can say the dividend looks stable.
Dividend Growth(5Y)19.28%
Div Incr Years0
Div Non Decr Years6
5.3 Sustainability
26.44% of the earnings are spent on dividend by UI. This is a low number and sustainable payout ratio.
The dividend of UI is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP26.44%
EPS Next 2Y27.74%
EPS Next 3Y20.17%
NYSE:UI (8/6/2025, 12:59:27 PM)
458.71
+22.17 (+5.08%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryCommunications Equipment
Earnings (Last)
Earnings (Next)
Inst Owners4.91%
Inst Owner Change-3.8%
Ins Owners93.06%
Ins Owner Change-11.74%
Market Cap27.75B
Analysts43.64
Price Target350.37 (-23.62%)
Short Float %11.91%
Short Ratio4.78
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0.55% |
Yearly Dividend2.4
Dividend Growth(5Y)19.28%
DP26.44%
Div Incr Years0
Div Non Decr Years6
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)25.64%
Min EPS beat(2)3.44%
Max EPS beat(2)47.85%
EPS beat(4)3
Avg EPS beat(4)19.1%
Min EPS beat(4)-2.35%
Max EPS beat(4)47.85%
EPS beat(8)3
Avg EPS beat(8)0.78%
EPS beat(12)5
Avg EPS beat(12)-1.15%
EPS beat(16)6
Avg EPS beat(16)-7.33%
Revenue beat(2)2
Avg Revenue beat(2)10.97%
Min Revenue beat(2)7.89%
Max Revenue beat(2)14.05%
Revenue beat(4)3
Avg Revenue beat(4)5.1%
Min Revenue beat(4)-3.7%
Max Revenue beat(4)14.05%
Revenue beat(8)3
Avg Revenue beat(8)-0.85%
Revenue beat(12)6
Avg Revenue beat(12)0.01%
Revenue beat(16)7
Avg Revenue beat(16)-2.78%
PT rev (1m)0%
PT rev (3m)3.78%
EPS NQ rev (1m)0%
EPS NQ rev (3m)13.78%
EPS NY rev (1m)0%
EPS NY rev (3m)15.57%
Revenue NQ rev (1m)1.31%
Revenue NQ rev (3m)7.86%
Revenue NY rev (1m)0.32%
Revenue NY rev (3m)4.82%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 50.08 | ||
| Fwd PE | 47.89 | ||
| P/S | 11.95 | ||
| P/FCF | 37.92 | ||
| P/OCF | 37.44 | ||
| P/B | 63.62 | ||
| P/tB | 64.07 | ||
| EV/EBITDA | 36.16 |
EPS(TTM)9.16
EY2%
EPS(NY)9.58
Fwd EY2.09%
FCF(TTM)12.1
FCFY2.64%
OCF(TTM)12.25
OCFY2.67%
SpS38.38
BVpS7.21
TBVpS7.16
PEG (NY)0.72
PEG (5Y)14.27
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 42.29% | ||
| ROE | 125.89% | ||
| ROCE | 137.23% | ||
| ROIC | 114.17% | ||
| ROICexc | 160.9% | ||
| ROICexgc | 162.23% | ||
| OM | 30.72% | ||
| PM (TTM) | 23.65% | ||
| GM | 42.16% | ||
| FCFM | 31.52% |
ROA(3y)34.71%
ROA(5y)44.98%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)54.25%
ROIC(5y)69.47%
ROICexc(3y)66.97%
ROICexc(5y)98.27%
ROICexgc(3y)67.77%
ROICexgc(5y)99.81%
ROCE(3y)65.21%
ROCE(5y)83.51%
ROICexcg growth 3Y-31.39%
ROICexcg growth 5Y-8.8%
ROICexc growth 3Y-30.97%
ROICexc growth 5Y-8.74%
OM growth 3Y-12.87%
OM growth 5Y-6.12%
PM growth 3Y-17.64%
PM growth 5Y-8.16%
GM growth 3Y-7.24%
GM growth 5Y-3.68%
F-Score7
Asset Turnover1.79
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0.46 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 41.9% | ||
| Cap/Sales | 0.4% | ||
| Interest Coverage | 17 | ||
| Cash Conversion | 100.77% | ||
| Profit Quality | 133.29% | ||
| Current Ratio | 1.39 | ||
| Quick Ratio | 0.63 | ||
| Altman-Z | 22.71 |
F-Score7
WACC9.2%
ROIC/WACC12.41
Cap/Depr(3y)96.32%
Cap/Depr(5y)167.52%
Cap/Sales(3y)0.83%
Cap/Sales(5y)1.17%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)56.31%
EPS 3Y-15.62%
EPS 5Y3.51%
EPS Q2Q%134.38%
EPS Next Y69.33%
EPS Next 2Y27.74%
EPS Next 3Y20.17%
EPS Next 5YN/A
Revenue 1Y (TTM)21.43%
Revenue growth 3Y0.53%
Revenue growth 5Y10.67%
Sales Q2Q%34.72%
Revenue Next Year25.41%
Revenue Next 2Y13.14%
Revenue Next 3Y9.5%
Revenue Next 5YN/A
EBIT growth 1Y41.37%
EBIT growth 3Y-12.41%
EBIT growth 5Y3.89%
EBIT Next Year51.34%
EBIT Next 3Y15.59%
EBIT Next 5YN/A
FCF growth 1Y777.58%
FCF growth 3Y-3.74%
FCF growth 5Y16.23%
OCF growth 1Y924.33%
OCF growth 3Y-4%
OCF growth 5Y15.87%