Ubiquiti (NYSE:UI) Sets New 52-Week High - Still a Buy?

Key Points

• Ubiquiti's shares reached a new 1-year high, trading at $546.26 with a market cap of $32.90 billion.
• Analysts have set new price targets for Ubiquiti, with BWS Financial and UBS both increasing their targets to $600.00, while Barclays set a lower target of $299.00.
• The company announced a quarterly dividend increase to $0.80 per share, up from the previous $0.60, reflecting a positive change in shareholder returns.

Ubiquiti Inc. (NYSE:UI - Get Free Report) shares hit a new 52-week high on Wednesday . The company traded as high as $546.26 and last traded at $542.25, with a volume of 128492 shares changing hands. The stock had previously closed at $528.52.

Wall Street Analyst Weigh In

Several analysts have recently commented on the company. UBS Group set a $600.00 price target on Ubiquiti in a report on Monday, August 25th. BWS Financial raised their price target on Ubiquiti from $440.00 to $600.00 and gave the company a "buy" rating in a report on Monday, August 25th. Finally, Barclays raised their price target on Ubiquiti from $247.00 to $299.00 and gave the company an "underweight" rating in a report on Friday, August 22nd. One research analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company. Based on data from MarketBeat, the stock has an average rating of "Hold" and an average target price of $499.67.

Ubiquiti Stock Up 1.1%

The stock has a market cap of $35.28 billion, a PE ratio of 49.56 and a beta of 1.42. The business's fifty day moving average is $453.59 and its 200 day moving average is $385.46.

Ubiquiti (NYSE:UI - Get Free Report) last announced its quarterly earnings results on Friday, August 22nd. The company reported $3.54 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.23 by $1.31. Ubiquiti had a net margin of 27.66% and a return on equity of 166.22%. The company had revenue of $759.15 million for the quarter, compared to the consensus estimate of $618.80 million. During the same quarter in the prior year, the firm earned $1.74 earnings per share. As a group, analysts predict that Ubiquiti Inc. will post 7.21 EPS for the current year.

Ubiquiti Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 8th. Shareholders of record on Tuesday, September 2nd will be issued a $0.80 dividend. This represents a $3.20 annualized dividend and a dividend yield of 0.5%. This is a boost from Ubiquiti's previous quarterly dividend of $0.60. The ex-dividend date of this dividend is Tuesday, September 2nd. Ubiquiti's payout ratio is currently 27.19%.

Institutional Trading of Ubiquiti

Several institutional investors and hedge funds have recently modified their holdings of the business. Advisory Services Network LLC grew its holdings in shares of Ubiquiti by 13.2% during the second quarter. Advisory Services Network LLC now owns 1,429 shares of the company's stock worth $622,000 after buying an additional 167 shares in the last quarter. Capital Impact Advisors LLC lifted its stake in shares of Ubiquiti by 1.6% during the second quarter. Capital Impact Advisors LLC now owns 23,056 shares of the company's stock valued at $9,491,000 after buying an additional 365 shares during the period. Caxton Associates LLP lifted its stake in shares of Ubiquiti by 98.4% during the second quarter. Caxton Associates LLP now owns 11,800 shares of the company's stock valued at $4,857,000 after buying an additional 5,853 shares during the period. Corient Private Wealth LLC lifted its stake in shares of Ubiquiti by 422.5% during the second quarter. Corient Private Wealth LLC now owns 3,511 shares of the company's stock valued at $1,445,000 after buying an additional 2,839 shares during the period. Finally, Optimist Retirement Group LLC lifted its stake in shares of Ubiquiti by 7.9% during the second quarter. Optimist Retirement Group LLC now owns 836 shares of the company's stock valued at $344,000 after buying an additional 61 shares during the period. Hedge funds and other institutional investors own 4.00% of the company's stock.

About Ubiquiti

Ubiquiti Inc develops networking technology for service providers, enterprises, and consumers. The company develops technology platforms for high-capacity distributed Internet access, unified information technology, and consumer electronics for professional, home, and personal use. Its service provider product platforms offer carrier-class network infrastructure for fixed wireless broadband, wireless backhaul systems, and routing and related software; and enterprise product platforms provide wireless LAN infrastructure, video surveillance products, switching and routing solutions, security gateways, door access systems, and other WLAN products.