Navellier & Associates Inc. Cuts Stake in Ubiquiti Inc. $UI

Key Points

• Navellier & Associates cut its Ubiquiti stake by 37.4% in the second quarter, selling 7,850 shares and retaining 13,120 shares valued at approximately $7.0 million. Other institutional investors made new purchases or increased holdings, though institutions collectively own only 4% of the company.
• Analyst sentiment is mixed, with one Buy, two Hold, and one Sell rating; Ubiquiti’s consensus rating is Hold with a $734.50 price target. Barclays lowered its target to $489 and maintained an Underweight rating.
• Ubiquiti reported stronger-than-expected quarterly results, posting $4.73 in EPS and $937.32 million in revenue versus estimates of $4.03 and $850.50 million. The company also raised its quarterly dividend to $1.00, equivalent to a 0.7% annual yield.

Navellier & Associates Inc. reduced its position in shares of Ubiquiti Inc. (NYSE:UI - Free Report) by 37.4% in the second quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 13,120 shares of the company's stock after selling 7,850 shares during the quarter. Navellier & Associates Inc.'s holdings in Ubiquiti were worth $7,006,000 at the end of the most recent quarter.

Several other hedge funds have also recently modified their holdings of the business. Bank of America Corp DE increased its position in shares of Ubiquiti by 22.3% in the 1st quarter. Bank of America Corp DE now owns 13,750 shares of the company's stock valued at $10,867,000 after buying an additional 2,508 shares in the last quarter. Militia Capital Management LLC bought a new position in Ubiquiti during the first quarter worth about $1,581,000. Diversify Advisory Services LLC bought a new stake in Ubiquiti in the 2nd quarter valued at $1,526,000. Deutsche Bank AG bought a new stake in shares of Ubiquiti during the 2nd quarter worth about $12,832,000. Finally, Cim LLC acquired a new position in Ubiquiti in the 1st quarter valued at $2,594,000. Hedge funds and other institutional investors own 4.00% of the company's stock.

Wall Street Analyst Weigh In

A number of research firms have commented on UI. Weiss Ratings lowered Ubiquiti from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Friday, August 21st. BWS Financial restated a "buy" rating and issued a $980.00 price target on shares of Ubiquiti in a research report on Thursday. Barclays reduced their price objective on shares of Ubiquiti from $672.00 to $489.00 and set an "underweight" rating on the stock in a research note on Monday. Finally, Zacks Research cut shares of Ubiquiti from a "strong-buy" rating to a "hold" rating in a research report on Friday, August 14th. One analyst has rated the stock with a Buy rating, two have assigned a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat.com, Ubiquiti currently has a consensus rating of "Hold" and a consensus price target of $734.50.

Ubiquiti Trading Up 1.4%

NYSE UI opened at $601.03 on Friday. Ubiquiti Inc. has a 12 month low of $505.73 and a 12 month high of $1,099.99. The business's 50-day moving average price is $553.37 and its two-hundred day moving average price is $690.24. The firm has a market capitalization of $36.38 billion, a PE ratio of 37.92 and a beta of 1.31.

Ubiquiti (NYSE:UI - Get Free Report) last issued its quarterly earnings results on Friday, August 21st. The company reported $4.73 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $4.03 by $0.70. Ubiquiti had a net margin of 29.33% and a return on equity of 85.57%. The firm had revenue of $937.32 million for the quarter, compared to the consensus estimate of $850.50 million. During the same quarter in the previous year, the company earned $4.41 EPS. As a group, analysts forecast that Ubiquiti Inc. will post 15.53 earnings per share for the current fiscal year.

Ubiquiti Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 8th. Shareholders of record on Monday, August 31st will be paid a $1.00 dividend. This represents a $4.00 dividend on an annualized basis and a yield of 0.7%. This is a boost from Ubiquiti's previous quarterly dividend of $0.80. The ex-dividend date of this dividend is Monday, August 31st. Ubiquiti's payout ratio is 20.19%.

About Ubiquiti

Ubiquiti Inc NYSE: UI is a U.S.-based technology company that designs and sells networking and wireless communication products for enterprise, service provider and consumer markets. Its product portfolio includes Wi‑Fi access points, routers and gateways, managed Ethernet switches, network management software, and IP surveillance systems. Ubiquiti's offerings are organized under several well‑known lines—most notably UniFi for managed LAN/Wi‑Fi and networked video, AmpliFi for consumer Wi‑Fi, and product families targeting service‑provider and point‑to‑point wireless broadband applications.

The company emphasizes integrated hardware and software solutions, with centralized management and cloud‑enabled control as core features of its platform approach.

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