UNITI GROUP INC (UNIT) Stock Fundamental Analysis
USA - NASDAQ:UNIT - US9129321009 - Common Stock
5.84 USD
-0.2 (-3.31%)
5.84 USD
0 (0%)
We assign a fundamental rating of 5 out of 10 to UNIT. UNIT was compared to 36 industry peers in the Diversified Telecommunication Services industry. There are concerns on the financial health of UNIT while its profitability can be described as average. UNIT is valued quite expensive, but it does show an excellent growth. UNIT also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
UNIT had positive earnings in the past year.
In the past year UNIT had a positive cash flow from operations.
In multiple years UNIT reported negative net income over the last 5 years.
In the past 5 years UNIT always reported a positive cash flow from operatings.
1.2 Ratios
With a decent Return On Assets value of 0.61%, UNIT is doing good in the industry, outperforming 61.11% of the companies in the same industry.
UNIT's Return On Invested Capital of 12.54% is amongst the best of the industry. UNIT outperforms 91.67% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for UNIT is significantly above the industry average of 5.86%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | N/A | ||
| ROIC | 12.54% |
ROA(3y)-0.04%
ROA(5y)-2.5%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13.37%
ROIC(5y)12.57%
1.3 Margins
With a decent Profit Margin value of 2.88%, UNIT is doing good in the industry, outperforming 61.11% of the companies in the same industry.
In the last couple of years the Profit Margin of UNIT has grown nicely.
Looking at the Operating Margin, with a value of 52.35%, UNIT belongs to the top of the industry, outperforming 100.00% of the companies in the same industry.
In the last couple of years the Operating Margin of UNIT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 52.35% | ||
| PM (TTM) | 2.88% | ||
| GM | N/A |
OM growth 3Y1.78%
OM growth 5Y5.53%
PM growth 3Y-11.11%
PM growth 5Y58.02%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UNIT is creating some value.
Compared to 1 year ago, UNIT has more shares outstanding
UNIT has more shares outstanding than it did 5 years ago.
UNIT has a better debt/assets ratio than last year.
2.2 Solvency
UNIT has an Altman-Z score of -0.57. This is a bad value and indicates that UNIT is not financially healthy and even has some risk of bankruptcy.
With a Altman-Z score value of -0.57, UNIT is not doing good in the industry: 88.89% of the companies in the same industry are doing better.
UNIT has a debt to FCF ratio of 162.01. This is a negative value and a sign of low solvency as UNIT would need 162.01 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 162.01, UNIT is doing worse than 63.89% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 162.01 | ||
| Altman-Z | -0.57 |
ROIC/WACC1.61
WACC7.77%
2.3 Liquidity
A Current Ratio of 0.21 indicates that UNIT may have some problems paying its short term obligations.
UNIT has a Current ratio of 0.21. This is amonst the worse of the industry: UNIT underperforms 97.22% of its industry peers.
UNIT has a Quick Ratio of 0.21. This is a bad value and indicates that UNIT is not financially healthy enough and could expect problems in meeting its short term obligations.
With a Quick ratio value of 0.21, UNIT is not doing good in the industry: 97.22% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 |
3. Growth
3.1 Past
UNIT shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 276.33%, which is quite impressive.
The Earnings Per Share has been growing by 55.59% on average over the past years. This is a very strong growth
UNIT shows a small growth in Revenue. In the last year, the Revenue has grown by 1.94%.
Measured over the past years, UNIT shows a small growth in Revenue. The Revenue has been growing by 1.99% on average per year.
EPS 1Y (TTM)276.33%
EPS 3Y9.23%
EPS 5Y55.59%
EPS Q2Q%-157.14%
Revenue 1Y (TTM)1.94%
Revenue growth 3Y1.97%
Revenue growth 5Y1.99%
Sales Q2Q%1.96%
3.2 Future
The Earnings Per Share is expected to grow by 21.33% on average over the next years. This is a very strong growth
The Revenue is expected to grow by 27.43% on average over the next years. This is a very strong growth
EPS Next Y-155.74%
EPS Next 2Y-58.13%
EPS Next 3Y-43.17%
EPS Next 5Y21.33%
Revenue Next Year91.36%
Revenue Next 2Y78.29%
Revenue Next 3Y47.74%
Revenue Next 5Y27.43%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past 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 accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 23.36, which indicates a rather expensive current valuation of UNIT.
UNIT's Price/Earnings is on the same level as the industry average.
UNIT is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.76, which is the current average of the S&P500 Index.
The Forward Price/Earnings Ratio is negative for UNIT. No positive earnings are expected for the next year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.36 | ||
| Fwd PE | N/A |
4.2 Price Multiples
UNIT's Enterprise Value to EBITDA ratio is a bit cheaper when compared to the industry. UNIT is cheaper than 66.67% of the companies in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UNIT is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23 | ||
| EV/EBITDA | 7.2 |
4.3 Compensation for Growth
The decent profitability rating of UNIT may justify a higher PE ratio.
UNIT's earnings are expected to decrease with -43.17% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)0.42
EPS Next 2Y-58.13%
EPS Next 3Y-43.17%
5. Dividend
5.1 Amount
UNIT has a Yearly Dividend Yield of 11.03%, which is a nice return.
In the last 3 months the price of UNIT has falen by -28.29%. A price decline artificially increases the dividend yield. It may be a sign investors do not expect the dividend to last.
UNIT's Dividend Yield is rather good when compared to the industry average which is at 5.29. UNIT pays more dividend than 100.00% of the companies in the same industry.
UNIT's Dividend Yield is rather good when compared to the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.03% |
5.2 History
The dividend of UNIT has a limited annual growth rate of 0.38%.
UNIT has been paying a dividend for at least 10 years, so it has a reliable track record.
Dividend Growth(5Y)0.38%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
0.06% of the earnings are spent on dividend by UNIT. This is a low number and sustainable payout ratio.
UNIT's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP0.06%
EPS Next 2Y-58.13%
EPS Next 3Y-43.17%
5.84
-0.2 (-3.31%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryDiversified Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners163.99%
Inst Owner Change-1.13%
Ins Owners2.66%
Ins Owner Change-217.72%
Market Cap864.20M
Revenue(TTM)1.18B
Net Income(TTM)34.01M
Analysts75
Price Target10.15 (73.8%)
Short Float %6.54%
Short Ratio3.08
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 11.03% |
Yearly Dividend0.76
Dividend Growth(5Y)0.38%
DP0.06%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-103.92%
Min EPS beat(2)-252.02%
Max EPS beat(2)44.18%
EPS beat(4)1
Avg EPS beat(4)-69.53%
Min EPS beat(4)-252.02%
Max EPS beat(4)44.18%
EPS beat(8)3
Avg EPS beat(8)-80.8%
EPS beat(12)5
Avg EPS beat(12)-19.4%
EPS beat(16)8
Avg EPS beat(16)-10.84%
Revenue beat(2)0
Avg Revenue beat(2)-2.83%
Min Revenue beat(2)-3.07%
Max Revenue beat(2)-2.58%
Revenue beat(4)0
Avg Revenue beat(4)-2.36%
Min Revenue beat(4)-3.07%
Max Revenue beat(4)-1.33%
Revenue beat(8)0
Avg Revenue beat(8)-2.43%
Revenue beat(12)0
Avg Revenue beat(12)-2.43%
Revenue beat(16)1
Avg Revenue beat(16)-2.01%
PT rev (1m)0%
PT rev (3m)64.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-440.83%
EPS NY rev (1m)0%
EPS NY rev (3m)-336.93%
Revenue NQ rev (1m)-0.58%
Revenue NQ rev (3m)-7.67%
Revenue NY rev (1m)-0.39%
Revenue NY rev (3m)-3.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 23.36 | ||
| Fwd PE | N/A | ||
| P/S | 0.73 | ||
| P/FCF | 23 | ||
| P/OCF | 2.3 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 7.2 |
EPS(TTM)0.25
EY4.28%
EPS(NY)-0.25
Fwd EYN/A
FCF(TTM)0.25
FCFY4.35%
OCF(TTM)2.54
OCFY43.49%
SpS7.98
BVpS-16.52
TBVpS-19.34
PEG (NY)N/A
PEG (5Y)0.42
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.61% | ||
| ROE | N/A | ||
| ROCE | 15.88% | ||
| ROIC | 12.54% | ||
| ROICexc | 13.37% | ||
| ROICexgc | 15.1% | ||
| OM | 52.35% | ||
| PM (TTM) | 2.88% | ||
| GM | N/A | ||
| FCFM | 3.18% |
ROA(3y)-0.04%
ROA(5y)-2.5%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)13.37%
ROIC(5y)12.57%
ROICexc(3y)13.7%
ROICexc(5y)12.86%
ROICexgc(3y)16.26%
ROICexgc(5y)16.26%
ROCE(3y)16.92%
ROCE(5y)15.92%
ROICexgc growth 3Y-3.72%
ROICexgc growth 5Y2.23%
ROICexc growth 3Y2.96%
ROICexc growth 5Y8.21%
OM growth 3Y1.78%
OM growth 5Y5.53%
PM growth 3Y-11.11%
PM growth 5Y58.02%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.21
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 162.01 | ||
| Debt/EBITDA | 6.5 | ||
| Cap/Depr | 106.17% | ||
| Cap/Sales | 28.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 40.14% | ||
| Profit Quality | 110.48% | ||
| Current Ratio | 0.21 | ||
| Quick Ratio | 0.21 | ||
| Altman-Z | -0.57 |
F-Score7
WACC7.77%
ROIC/WACC1.61
Cap/Depr(3y)131.01%
Cap/Depr(5y)124.39%
Cap/Sales(3y)34.85%
Cap/Sales(5y)33.87%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)276.33%
EPS 3Y9.23%
EPS 5Y55.59%
EPS Q2Q%-157.14%
EPS Next Y-155.74%
EPS Next 2Y-58.13%
EPS Next 3Y-43.17%
EPS Next 5Y21.33%
Revenue 1Y (TTM)1.94%
Revenue growth 3Y1.97%
Revenue growth 5Y1.99%
Sales Q2Q%1.96%
Revenue Next Year91.36%
Revenue Next 2Y78.29%
Revenue Next 3Y47.74%
Revenue Next 5Y27.43%
EBIT growth 1Y3.2%
EBIT growth 3Y3.79%
EBIT growth 5Y7.62%
EBIT Next Year90.11%
EBIT Next 3Y36.83%
EBIT Next 5Y24.82%
FCF growth 1Y157.28%
FCF growth 3Y-52.87%
FCF growth 5Y-46.34%
OCF growth 1Y-11.63%
OCF growth 3Y-9.77%
OCF growth 5Y-9.88%
UNITI GROUP INC / UNIT FAQ
What is the fundamental rating for UNIT stock?
ChartMill assigns a fundamental rating of 5 / 10 to UNIT.
What is the valuation status for UNIT stock?
ChartMill assigns a valuation rating of 2 / 10 to UNITI GROUP INC (UNIT). This can be considered as Overvalued.
What is the profitability of UNIT stock?
UNITI GROUP INC (UNIT) has a profitability rating of 6 / 10.
How financially healthy is UNITI GROUP INC?
The financial health rating of UNITI GROUP INC (UNIT) is 1 / 10.
How sustainable is the dividend of UNITI GROUP INC (UNIT) stock?
The dividend rating of UNITI GROUP INC (UNIT) is 8 / 10 and the dividend payout ratio is 0.06%.