Ubiquiti (NYSE:UI) Releases Quarterly Earnings Results, Beats Estimates By $1.07 EPS

Key Points

• Ubiquiti beat quarterly expectations, posting EPS of $5.32 versus the $4.25 consensus and revenue of $1.03 billion versus estimates of $977.45 million. Revenue reportedly grew 40% year over year.
• Shares rose 15.2% on Friday following the results, trading at $592.50.
• The company declared a quarterly dividend of $1.00 per share ($4.00 annualized, with a 0.7% yield); shareholders of record November 16 are scheduled to be paid November 23.

Ubiquiti (NYSE:UI - Get Free Report) posted its quarterly earnings results on Friday. The company reported $5.32 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.25 by $1.07, FiscalAI reports. Ubiquiti had a return on equity of 85.57% and a net margin of 29.33%. The business had revenue of $1.03 billion for the quarter, compared to analyst estimates of $977.45 million.

Ubiquiti Stock Up 15.2%

UI stock traded up $78.30 during trading on Friday, reaching $592.50. 170,123 shares of the company's stock were exchanged, compared to its average volume of 80,602. Ubiquiti has a 1-year low of $500.23 and a 1-year high of $1,099.99. The company's fifty day moving average price is $586.72 and its 200-day moving average price is $657.17. The firm has a market cap of $35.85 billion, a PE ratio of 34.12 and a beta of 1.34.

Ubiquiti Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Monday, November 23rd. Shareholders of record on Monday, November 16th will be paid a dividend of $1.00 per share. The ex-dividend date of this dividend is Monday, November 16th. This represents a $4.00 annualized dividend and a yield of 0.7%. Ubiquiti's payout ratio is presently 25.24%.

Key Stories Impacting Ubiquiti

Here are the key news stories impacting Ubiquiti this week:

• Positive Sentiment: For the quarter ended September 30, Ubiquiti reported earnings of $5.32 per share, ahead of the $4.25 consensus estimate, and revenue of $1.03 billion versus expectations of $977.45 million. Revenue reportedly rose 40% year over year, while profit also advanced—evidence of strong growth and operating performance. Ubiquiti Soars 15% on Record $1 Billion Quarter as Revenue Jumps 40%
• Positive Sentiment: The company declared a quarterly dividend of $1.00 per share, equivalent to $4.00 annually and a stated 0.7% yield. Shareholders of record November 16 are scheduled to be paid November 23.
• Negative Sentiment: One earnings recap cautioned that margin risks remain. The supplied reports do not detail the potential pressures, but margin trends could temper the otherwise upbeat growth picture. Ubiquiti Q1 2027: First $1B Quarter, But Margin Risks Loom

Wall Street Analysts Forecast Growth

UI has been the subject of a number of research reports. Barclays decreased their target price on Ubiquiti from $672.00 to $489.00 and set an "underweight" rating for the company in a research note on Monday, August 24th. Zacks Research raised Ubiquiti from a "hold" rating to a "strong-buy" rating in a report on Friday, September 18th. BWS Financial restated a "buy" rating and set a $980.00 price objective on shares of Ubiquiti in a research report on Tuesday, September 29th. Finally, Weiss Ratings downgraded Ubiquiti from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Friday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $734.50.

Ubiquiti Company Profile

Ubiquiti Inc develops and sells networking technology for businesses, service providers and consumers worldwide. The company's products are designed to provide wireless connectivity, routing, switching, network management and related communications capabilities.

Ubiquiti's product portfolio includes the UniFi platform for enterprise and small-business networks, with products such as wireless access points, switches, gateways, security cameras and access-control systems. It also offers solutions for wireless internet service providers and other network operators through its UISP and related product lines, as well as consumer-oriented connectivity products under brands including AmpliFi.

Founded in 2005 by Robert Pera, Ubiquiti distributes its products internationally through distributors, online channels and other sales partners.

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