Ubiquiti (NYSE:UI) Hits New 12-Month High - Here's What Happened

Key Points

• Ubiquiti Inc. (NYSE:UI) reached a new 12-month high with shares trading at $657.12 and closing at $655.64 during mid-day trading, reflecting a significant increase from its previous close of $642.14.
• Analysts have set mixed ratings for Ubiquiti, with UBS Group setting a target price of $600, Barclays moving their target from $247 to $299, and BWS Financial raising their target from $440 to $600 with a "buy" rating.
• The company reported strong earnings for the last quarter, exceeding earnings per share expectations at $3.54, compared to the consensus estimate of $2.23, along with a revenue of $759.15 million against an expected $618.80 million.

Ubiquiti Inc. (NYSE:UI - Get Free Report)'s share price hit a new 52-week high during mid-day trading on Wednesday . The company traded as high as $657.12 and last traded at $655.64, with a volume of 243947 shares trading hands. The stock had previously closed at $642.14.

Analyst Ratings Changes

A number of equities research analysts have recently issued reports on UI shares. UBS Group set a $600.00 target price on shares of Ubiquiti in a research report on Monday, August 25th. Barclays upped their price objective on shares of Ubiquiti from $247.00 to $299.00 and gave the stock an "underweight" rating in a research report on Friday, August 22nd. Finally, BWS Financial upped their price objective on shares of Ubiquiti from $440.00 to $600.00 and gave the stock a "buy" rating in a research report on Monday, August 25th. One analyst has rated the stock with a Buy rating and one has issued a Sell rating to the company. According to MarketBeat, the company has an average rating of "Hold" and a consensus target price of $499.67.

Ubiquiti Price Performance

The firm has a market cap of $39.66 billion, a P/E ratio of 55.70 and a beta of 1.42. The company's 50-day moving average is $502.66 and its two-hundred day moving average is $409.11.

Ubiquiti (NYSE:UI - Get Free Report) last posted its earnings results on Friday, August 22nd. The company reported $3.54 EPS for the quarter, topping analysts' consensus estimates of $2.23 by $1.31. The firm had revenue of $759.15 million during the quarter, compared to analysts' expectations of $618.80 million. Ubiquiti had a net margin of 27.66% and a return on equity of 166.22%. During the same quarter in the prior year, the business earned $1.74 earnings per share. On average, analysts expect that Ubiquiti Inc. will post 7.21 EPS for the current fiscal year.

Ubiquiti Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, September 8th. Stockholders of record on Tuesday, September 2nd were issued a $0.80 dividend. This represents a $3.20 dividend on an annualized basis and a dividend yield of 0.5%. This is an increase from Ubiquiti's previous quarterly dividend of $0.60. The ex-dividend date of this dividend was Tuesday, September 2nd. Ubiquiti's dividend payout ratio (DPR) is currently 27.19%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in UI. AQR Capital Management LLC lifted its holdings in shares of Ubiquiti by 133.9% in the first quarter. AQR Capital Management LLC now owns 232,015 shares of the company's stock worth $70,521,000 after acquiring an additional 132,816 shares during the last quarter. TD Asset Management Inc bought a new position in shares of Ubiquiti in the first quarter worth about $34,013,000. Long Walk Management LP acquired a new position in shares of Ubiquiti in the second quarter valued at approximately $28,480,000. Epoch Investment Partners Inc. acquired a new position in shares of Ubiquiti in the first quarter valued at approximately $18,897,000. Finally, Pacer Advisors Inc. increased its stake in shares of Ubiquiti by 76.2% in the first quarter. Pacer Advisors Inc. now owns 108,934 shares of the company's stock valued at $33,785,000 after buying an additional 47,109 shares during the period. 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.

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