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

Key Points

• Universal Technical Institute shares hit a new 52-week low, trading as low as $20.18 and closing near $20.33, well below the 50-day and 200-day moving averages of $32.65 and $36.12.
• Despite the selloff, analysts maintain a generally positive outlook: four rate UTI a Buy and two rate it a Hold, producing a “Moderate Buy” consensus and an average price target of $42.83.
• The company slightly exceeded quarterly EPS expectations, reporting $0.04 versus the $0.02 consensus, while revenue of $218.91 million fell just short of estimates. Insiders recently sold shares, while institutional ownership stands at 75.67%.

Universal Technical Institute Inc (NYSE:UTI - Get Free Report)'s stock price reached a new 52-week low on Friday . The stock traded as low as $20.18 and last traded at $20.3280, with a volume of 1323002 shares changing hands. The stock had previously closed at $20.60.

Analyst Upgrades and Downgrades

UTI has been the topic of a number of recent analyst reports. Weiss Ratings upgraded shares of Universal Technical Institute from a "hold (c)" rating to a "hold (c+)" rating in a report on Tuesday, August 25th. B. Riley Financial decreased their price objective on shares of Universal Technical Institute from $49.00 to $48.00 and set a "buy" rating for the company in a research report on Thursday, August 6th. Truist Financial lowered their price objective on shares of Universal Technical Institute from $47.00 to $38.00 and set a "buy" rating on the stock in a research note on Thursday, August 6th. Northland Securities set a $35.00 price objective on shares of Universal Technical Institute in a research note on Thursday. Finally, Rosenblatt Securities reaffirmed a "buy" rating and issued a $45.00 target price on shares of Universal Technical Institute in a report on Thursday, August 6th. Four equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company's stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $42.83.

Universal Technical Institute Price Performance

The company's 50-day moving average price is $32.65 and its two-hundred day moving average price is $36.12. The company has a debt-to-equity ratio of 0.46, a current ratio of 1.30 and a quick ratio of 1.30. The company has a market capitalization of $1.11 billion, a P/E ratio of 32.78, a price-to-earnings-growth ratio of 2.34 and a beta of 1.17.

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

Insiders Place Their Bets

In other Universal Technical Institute news, insider Kevin Prehn sold 4,545 shares of the stock in a transaction on Monday, June 22nd. The stock was sold at an average price of $40.00, for a total transaction of $181,800.00. Following the transaction, the insider owned 27,025 shares in the company, valued at $1,081,000. This trade represents a 14.40% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Jerome Grant sold 94,500 shares of Universal Technical Institute stock in a transaction on Monday, June 29th. The stock was sold at an average price of $41.40, for a total value of $3,912,300.00. Following the sale, the chief executive officer directly owned 335,715 shares of the company's stock, valued at $13,898,601. This represents a 21.97% decrease in their position. The SEC filing for this sale provides additional information. Corporate insiders own 9.80% of the company's stock.

Institutional Investors Weigh In On Universal Technical Institute

Several institutional investors have recently made changes to their positions in the stock. Pinnacle Wealth Management Advisory Group LLC bought a new position in Universal Technical Institute during the 2nd quarter worth $526,000. Baird Financial Group Inc. acquired a new stake in shares of Universal Technical Institute during the 2nd quarter worth $13,471,000. Nykredit A S acquired a new stake in shares of Universal Technical Institute during the 2nd quarter worth $25,000. HighTower Advisors LLC increased its position in shares of Universal Technical Institute by 9.4% in the second quarter. HighTower Advisors LLC now owns 10,785 shares of the company's stock worth $461,000 after purchasing an additional 929 shares during the period. Finally, California State Teachers Retirement System lifted its position in Universal Technical Institute by 3,504.2% during the second quarter. California State Teachers Retirement System now owns 2,423,434 shares of the company's stock worth $103,650,000 after purchasing an additional 2,356,195 shares during the period. 75.67% of the stock is currently owned by institutional investors.

Universal Technical Institute Company Profile

Universal Technical Institute, Inc NYSE: UTI is a leading provider of post-secondary education for students pursuing careers as professional automotive, diesel, collision repair, motorcycle and marine technicians, as well as in welding and CNC machining. The company designs and delivers hands-on training through a blend of classroom instruction and experiential lab work, preparing graduates for entry-level positions in the transportation, manufacturing and energy sectors. UTI's curriculum emphasizes industry-recognized credentials and proprietary coursework developed in collaboration with original equipment manufacturers (OEMs) to ensure alignment with evolving employer needs.

Through a network of campus locations across the United States and select centers in Canada, Universal Technical Institute offers diploma and certificate programs ranging from 36 to 74 weeks in length.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.