Hsbc Holdings PLC Makes New $621,000 Investment in Ubiquiti Inc. $UI

Key Points

• HSBC Holdings PLC has acquired a new position in Ubiquiti Inc., purchasing 2,029 shares valued at approximately $621,000 during the first quarter.
• Ubiquiti recently announced a dividend increase to $0.80 per share, up from $0.60, reflecting a commitment to return value to shareholders.
• The company's earnings report revealed an EPS of $3.54, significantly beating analyst estimates, alongside a revenue of $759.15 million for the quarter.

Hsbc Holdings PLC acquired a new stake in Ubiquiti Inc. (NYSE:UI - Free Report) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 2,029 shares of the company's stock, valued at approximately $621,000.

Other large investors have also recently bought and sold shares of the company. Golden State Wealth Management LLC acquired a new stake in Ubiquiti during the 1st quarter worth about $25,000. Brooklyn Investment Group lifted its holdings in Ubiquiti by 78.8% during the first quarter. Brooklyn Investment Group now owns 93 shares of the company's stock worth $29,000 after acquiring an additional 41 shares during the period. Versant Capital Management Inc grew its position in Ubiquiti by 484.2% during the first quarter. Versant Capital Management Inc now owns 111 shares of the company's stock valued at $34,000 after buying an additional 92 shares during the period. Lazard Asset Management LLC purchased a new stake in shares of Ubiquiti during the 4th quarter worth approximately $74,000. Finally, New Age Alpha Advisors LLC bought a new stake in shares of Ubiquiti in the first quarter valued at $92,000. 4.00% of the stock is currently owned by institutional investors and hedge funds.

Ubiquiti Price Performance

UI stock traded up $18.23 during trading on Thursday, hitting $563.20. 102,462 shares of the stock traded hands, compared to its average volume of 116,844. Ubiquiti Inc. has a 1 year low of $186.40 and a 1 year high of $567.59. The firm's 50 day moving average is $446.74 and its two-hundred day moving average is $381.65. The stock has a market cap of $34.07 billion, a price-to-earnings ratio of 47.89 and a beta of 1.42.

Ubiquiti (NYSE:UI - Get Free Report) last announced its quarterly earnings data on Friday, August 22nd. The company reported $3.54 EPS for the quarter, beating the consensus estimate of $2.23 by $1.31. The company had revenue of $759.15 million for the quarter, compared to the consensus estimate of $618.80 million. Ubiquiti had a net margin of 27.66% and a return on equity of 166.22%. During the same period in the prior year, the firm posted $1.74 EPS. As a group, analysts anticipate that Ubiquiti Inc. will post 7.21 EPS for the current fiscal year.

Ubiquiti Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, September 8th. Shareholders of record on Tuesday, September 2nd will be paid a dividend of $0.80 per share. The ex-dividend date is Tuesday, September 2nd. This represents a $3.20 annualized dividend and a yield of 0.6%. This is an increase from Ubiquiti's previous quarterly dividend of $0.60. Ubiquiti's dividend payout ratio (DPR) is currently 27.19%.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on UI. Barclays lifted their price objective on shares of Ubiquiti from $247.00 to $299.00 and gave the company an "underweight" rating in a research note on Friday, August 22nd. BWS Financial increased their target price on Ubiquiti from $440.00 to $600.00 and gave the company a "buy" rating in a research note on Monday, August 25th. Finally, UBS Group set a $600.00 price objective on shares of Ubiquiti in a research note on Monday, August 25th. One research analyst has rated the stock with a Buy rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, Ubiquiti has a consensus rating of "Hold" and an average price target of $499.67.

Ubiquiti Company Profile

Ubiquiti Inc develops networking technology for service providers, enterprises, and consumers. The company develops technology platforms for high-capacity distributed Internet access, unified information technology, and consumer electronics for professional, home, and personal use. Its service provider product platforms offer carrier-class network infrastructure for fixed wireless broadband, wireless backhaul systems, and routing and related software; and enterprise product platforms provide wireless LAN infrastructure, video surveillance products, switching and routing solutions, security gateways, door access systems, and other WLAN products.