Ubiquiti (NYSE:UI) Share Price Crosses Above 50-Day Moving Average - Here's What Happened

Key Points

• Ubiquiti shares crossed above their 50-day moving average of $586.72, reaching $606.75 before last trading at $592.50.
• The company beat quarterly estimates, reporting earnings of $5.32 per share versus $4.25 expected and revenue of $1.03 billion versus $977.45 million; revenue rose 40% year over year.
• Analyst views remain mixed, with a consensus “Moderate Buy” rating and $734.50 target price, while some reports cite potential margin risks. Ubiquiti also declared a $1.00 quarterly dividend, a 0.7% yield.

Ubiquiti Inc. (NYSE:UI - Get Free Report) shares passed above its 50-day moving average during trading on Friday. The stock has a 50-day moving average of $586.72 and traded as high as $606.75. Ubiquiti shares last traded at $592.50, with a volume of 170,123 shares.

Ubiquiti News Summary

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

Analysts Set New Price Targets

A number of equities research analysts have recently weighed in on UI shares. Weiss Ratings lowered Ubiquiti from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Friday, October 30th. BWS Financial restated a "buy" rating and issued a $980.00 target price on shares of Ubiquiti in a research note on Tuesday, September 29th. Barclays dropped their price target on shares of Ubiquiti from $672.00 to $489.00 and set an "underweight" rating on the stock in a research note on Monday, August 24th. Finally, Zacks Research raised Ubiquiti from a "hold" rating to a "strong-buy" rating in a research note on Friday, September 18th. One research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, Ubiquiti presently has an average rating of "Moderate Buy" and a consensus target price of $734.50.

Ubiquiti Trading Up 15.2%

The firm has a market cap of $35.85 billion, a PE ratio of 37.38 and a beta of 1.34. The company's 50 day moving average price is $586.72 and its two-hundred day moving average price is $657.17.

Ubiquiti (NYSE:UI - Get Free Report) last announced its earnings results on Friday, November 6th. The company reported $5.32 earnings per share for the quarter, topping the consensus estimate of $4.25 by $1.07. The firm had revenue of $1.03 billion for the quarter, compared to the consensus estimate of $977.45 million. Ubiquiti had a return on equity of 85.57% and a net margin of 29.33%. Equities research analysts expect that Ubiquiti Inc. will post 16.94 earnings per share for the current fiscal year.

Ubiquiti Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Monday, November 23rd. Stockholders of record on Monday, November 16th will be given a dividend of $1.00 per share. This represents a $4.00 dividend on an annualized basis and a dividend yield of 0.7%. The ex-dividend date is Monday, November 16th. Ubiquiti's dividend payout ratio is 25.24%.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Vision Retirement LLC acquired a new stake in Ubiquiti in the first quarter valued at about $25,000. Fortitude Family Office LLC boosted its position in shares of Ubiquiti by 109.5% during the third quarter. Fortitude Family Office LLC now owns 44 shares of the company's stock valued at $25,000 after buying an additional 23 shares during the period. Compass Financial Management LLC acquired a new stake in shares of Ubiquiti in the 2nd quarter worth $35,000. Pinnacle Holdings LLC purchased a new stake in Ubiquiti during the 2nd quarter worth approximately $49,000. Finally, CX Institutional acquired a new stake in Ubiquiti during the 3rd quarter worth approximately $51,000. 4.00% of the stock is currently owned by institutional investors.

About Ubiquiti

Ubiquiti Inc develops and sells networking technology for businesses, service providers and consumers. Its products include wireless access points, routers, switches and broadband wireless equipment, along with network management software and security devices such as cameras and access control systems.

The company markets products under brands including UniFi, airMAX, EdgeMAX and AmpliFi. Its UniFi platform brings together networking, video surveillance and access control products with centralized management tools.

Founded in 2003 by Robert Pera, Ubiquiti serves customers globally through distributors, online channels and retail partners.

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