Universal Technical Institute (NYSE:UTI) Hits New 1-Year Low - Here's Why

Key Points

• Universal Technical Institute shares fell to a new 52-week low of $19.43, down 6.1% intraday, with the stock trading well below its 50-day and 200-day moving averages.
• Analyst sentiment remains cautiously positive: four analysts rate UTI a Buy and three rate it a Hold, producing a “Moderate Buy” consensus and an average price target of $42.83, despite recent target cuts and a downgrade to Hold by Texas Capital.
• The company exceeded quarterly EPS expectations, reporting $0.04 versus the $0.02 consensus, though revenue of $218.91 million fell slightly short of estimates. Institutional investors own approximately 75.67% of the stock.

Universal Technical Institute Inc (NYSE:UTI - Get Free Report) hit a new 52-week low during mid-day trading on Monday. The stock traded as low as $19.43 and last traded at $19.8390, with a volume of 374131 shares changing hands. The stock had previously closed at $20.30.

Analyst Ratings Changes

UTI has been the subject of a number of recent research reports. Weiss Ratings raised shares of Universal Technical Institute from a "hold (c)" rating to a "hold (c+)" rating in a research note on Tuesday, August 25th. Texas Capital lowered Universal Technical Institute from a "strong-buy" rating to a "hold" rating in a research note on Monday, September 21st. B. Riley Financial lowered their target price on Universal Technical Institute from $49.00 to $48.00 and set a "buy" rating on the stock in a report on Thursday, August 6th. Truist Financial dropped their price target on Universal Technical Institute from $47.00 to $38.00 and set a "buy" rating for the company in a research report on Thursday, August 6th. Finally, Northland Securities set a $35.00 price target on Universal Technical Institute in a report on Thursday, September 10th. Four investment analysts have rated the stock with a Buy rating and three have issued a Hold rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $42.83.

Universal Technical Institute Stock Down 6.1%

The company has a quick ratio of 1.30, a current ratio of 1.30 and a debt-to-equity ratio of 0.46. The firm has a market cap of $1.05 billion, a PE ratio of 30.73, a P/E/G ratio of 2.23 and a beta of 1.17. The firm's 50 day moving average is $26.95 and its 200-day moving average is $34.98.

Universal Technical Institute (NYSE:UTI - Get Free Report) last released its earnings results on Wednesday, August 5th. The company reported $0.04 EPS for the quarter, topping the consensus estimate of $0.02 by $0.02. Universal Technical Institute had a net margin of 3.88% and a return on equity of 10.18%. The firm had revenue of $218.91 million during the quarter, compared to analysts' expectations of $220.40 million. As a group, equities research analysts expect that Universal Technical Institute Inc will post 0.61 earnings per share for the current fiscal year.

Hedge Funds Weigh In On Universal Technical Institute

Several large investors have recently added to or reduced their stakes in UTI. Nykredit A S purchased a new stake in Universal Technical Institute in the 2nd quarter valued at about $25,000. PNC Financial Services Group Inc. lifted its holdings in shares of Universal Technical Institute by 543.5% during the 1st quarter. PNC Financial Services Group Inc. now owns 888 shares of the company's stock worth $32,000 after acquiring an additional 750 shares during the period. Clearstead Advisors LLC lifted its holdings in shares of Universal Technical Institute by 187.5% during the 4th quarter. Clearstead Advisors LLC now owns 1,446 shares of the company's stock worth $38,000 after acquiring an additional 943 shares during the period. State of Wyoming acquired a new position in shares of Universal Technical Institute in the 2nd quarter valued at $109,000. Finally, Focus Partners Advisor Solutions LLC acquired a new stake in shares of Universal Technical Institute during the 2nd quarter worth $235,000. 75.67% of the stock is currently owned by hedge funds and other institutional investors.

About Universal Technical Institute

Universal Technical Institute, Inc NYSE: UTI is a provider of postsecondary education and training for careers in the transportation, skilled trades and energy industries. The company offers programs in automotive, diesel, collision repair, motorcycle, marine, welding, CNC machining, wind energy and other technical fields, combining classroom instruction with hands-on laboratory experience.

Universal Technical Institute operates through a portfolio of specialized school brands, including Universal Technical Institute, Motorcycle Mechanics Institute, Marine Mechanics Institute, NASCAR Technical Institute and MIAT College of Technology.

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