Ubiquiti (NYSE:UI) Hits New 12-Month High Following Dividend Announcement

Key Points

• Ubiquiti Inc. shares reached a new 12-month high of $514.00 following the announcement of a $0.80 dividend, which is a significant increase from the previous $0.60 dividend.
• The company reported earnings per share (EPS) of $3.54 for the last quarter, exceeding analyst expectations of $2.23, and recorded a revenue of $759.15 million.
• Analysts have mixed opinions on Ubiquiti, with one giving a "buy" rating and another a "sell," leading to an average target price of $369.50 for the stock.

Ubiquiti Inc. (NYSE:UI - Get Free Report)'s share price hit a new 52-week high during trading on Saturday after the company announced a dividend. The stock traded as high as $514.00 and last traded at $508.60, with a volume of 699091 shares trading hands. The stock had previously closed at $390.57.The newly announced dividend which will be paid on Monday, September 8th. Investors of record on Tuesday, September 2nd will be issued a $0.80 dividend. This represents a $3.20 annualized dividend and a yield of 0.6%. This is a positive change from Ubiquiti's previous quarterly dividend of $0.60. Ubiquiti's payout ratio is presently 26.43%.

Wall Street Analyst Weigh In

UI has been the topic of several recent research reports. Barclays lifted their target price on shares of Ubiquiti from $247.00 to $299.00 and gave the stock an "underweight" rating in a research note on Friday. BWS Financial reissued a "buy" rating and issued a $440.00 price objective on shares of Ubiquiti in a report on Friday, July 11th. One investment analyst has rated the stock with a Buy rating and one has given a Sell rating to the company. According to MarketBeat.com, Ubiquiti presently has an average rating of "Hold" and an average target price of $369.50.

Ubiquiti Stock Performance

The stock has a fifty day simple moving average of $423.25 and a two-hundred day simple moving average of $373.02. The stock has a market cap of $30.77 billion, a PE ratio of 56.01 and a beta of 1.35.

Ubiquiti (NYSE:UI - Get Free Report) last announced its earnings results on Friday, August 22nd. The company reported $3.54 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.23 by $1.31. The company had revenue of $759.15 million for the quarter, compared to analyst estimates of $618.80 million. Ubiquiti had a return on equity of 217.49% and a net margin of 23.65%.During the same period in the prior year, the company posted $1.74 EPS. On average, equities analysts predict that Ubiquiti Inc. will post 7.21 EPS for the current fiscal year.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the company. Illinois Municipal Retirement Fund acquired a new position in shares of Ubiquiti in the 1st quarter valued at $571,000. Raymond James Financial Inc. acquired a new stake in Ubiquiti in the 4th quarter valued at approximately $1,246,000. Federated Hermes Inc. acquired a new stake in shares of Ubiquiti during the 1st quarter worth approximately $404,000. Entropy Technologies LP acquired a new stake in Ubiquiti in the 1st quarter valued at $327,000. Finally, BNP Paribas Financial Markets acquired a new stake in Ubiquiti in the 4th quarter valued at $484,000. Institutional investors own 4.00% of the company's stock.

Ubiquiti Company Profile

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.

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