Uniti Group (NASDAQ:UNIT) Shares Down 9.4% After Earnings Miss

Key Points

• Uniti shares fell 9.4% to about $3.99 after quarterly results missed expectations; trading volume was roughly 130% above average.
• The company reported a loss of $1.03 per share, versus the expected loss of $0.54, while revenue of $848.1 million also came in below estimates of $855.8 million.
• Uniti cited a second consecutive quarter of record Waves bookings and raised full-year revenue guidance, while analysts including JPMorgan and Wells Fargo cut their price targets.

Uniti Group Inc. (NASDAQ:UNIT - Get Free Report) was down 9.4% on Tuesday after the company announced weaker than expected quarterly earnings. The company traded as low as $3.99 and last traded at $3.9850. Approximately 6,054,087 shares were traded during trading, an increase of 130% from the average session volume of 2,634,736 shares. The stock had previously closed at $4.40.

The real estate investment trust reported ($1.03) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.54) by ($0.49). Uniti Group had a net margin of 28.68% and a negative return on equity of 133.07%. The business had revenue of $848.10 million during the quarter, compared to analyst estimates of $855.83 million.

Key Uniti Group News

Here are the key news stories impacting Uniti Group this week:

• Positive Sentiment: Uniti said it recorded a second consecutive quarter of record Waves bookings and raised its full-year revenue guidance. Its 2026 revenue outlook is $3.7 billion, in line with consensus, rather than a forecast beat. Uniti Group Q3 results
• Positive Sentiment: Kinetic reported adding 162,000 fiber locations across its 18-state footprint in Q3, including new builds in Texas, Georgia, Oklahoma, Kentucky and North Carolina. The expansion could support future broadband growth, though the announcements did not quantify its financial impact. Kinetic fiber expansion
• Neutral Sentiment: JPMorgan cut its price target to $9 from $11 but maintained a neutral rating. The lower target signals reduced expectations, while still indicating substantial potential upside from the share price cited in the report. JPMorgan analyst recommendations
• Negative Sentiment: Q3 EPS was a loss of $1.03, versus analysts’ expected loss of $0.54; revenue of $848.1 million also fell short of the $855.8 million consensus. The loss was worse than the $0.16-per-share profit a year earlier. Q3 earnings report
• Negative Sentiment: Wells Fargo lowered its target to $4 from $9 and kept an equal-weight rating, reflecting sharply reduced expectations. Wells Fargo analyst recommendations

Analyst Ratings Changes

A number of analysts have recently issued reports on UNIT shares. Weiss Ratings lowered Uniti Group from a "hold (c+)" rating to a "hold (c)" rating in a report on Wednesday, October 14th. TD Cowen decreased their price objective on shares of Uniti Group from $12.00 to $11.00 and set a "buy" rating for the company in a report on Friday, July 31st. JPMorgan Chase & Co. dropped their price target on shares of Uniti Group from $11.00 to $9.00 and set a "neutral" rating on the stock in a research report on Tuesday. Wells Fargo & Company dropped their price objective on shares of Uniti Group from $9.00 to $4.00 and set an "equal weight" rating on the stock in a report on Tuesday. Finally, Raymond James Financial reissued a "strong-buy" rating and issued a $12.00 price target on shares of Uniti Group in a report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, one has given a Buy rating and seven have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of "Hold" and an average price target of $10.25.

Institutional Trading of Uniti Group

Large investors have recently added to or reduced their stakes in the company. Sterling Capital Management LLC raised its stake in Uniti Group by 237.5% in the 3rd quarter. Sterling Capital Management LLC now owns 4,934 shares of the real estate investment trust's stock valued at $41,000 after acquiring an additional 3,472 shares during the period. Fortitude Family Office LLC raised its stake in Uniti Group by 7,156.7% in the third quarter. Fortitude Family Office LLC now owns 4,354 shares of the real estate investment trust's stock valued at $36,000 after purchasing an additional 4,294 shares in the last quarter. Parallel Advisors LLC lifted its holdings in shares of Uniti Group by 1,409.9% during the 3rd quarter. Parallel Advisors LLC now owns 4,741 shares of the real estate investment trust's stock worth $40,000 after acquiring an additional 4,427 shares during the period. KBC Group NV acquired a new stake in Uniti Group in the first quarter valued at about $43,000. Finally, The Manufacturers Life Insurance Company boosted its stake in shares of Uniti Group by 5.4% during the first quarter. The Manufacturers Life Insurance Company now owns 92,743 shares of the real estate investment trust's stock valued at $870,000 after purchasing an additional 4,782 shares in the last quarter. Institutional investors and hedge funds own 87.51% of the company's stock.

Uniti Group Trading Down 9.4%

The stock's 50-day moving average price is $7.53 and its 200-day moving average price is $9.36. The stock has a market cap of $967.28 million, a price-to-earnings ratio of 1.47 and a beta of 1.45.

About Uniti Group

Uniti Group is a communications infrastructure company that owns, builds and operates fiber-optic networks and related broadband assets. Its network infrastructure supports broadband, wireless, enterprise and government communications, including fiber connectivity for businesses and other network operators. Founded in 2015 as a spin-off from Windstream, Uniti initially focused on owning and leasing communications infrastructure, including fiber networks. In 2025, Uniti combined with Windstream, bringing together infrastructure operations with Windstream's Kinetic broadband and enterprise services.

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