Ubiquiti (NYSE:UI) Raised to Buy at Wall Street Zen

Key Points

• Wall Street Zen upgraded Ubiquiti to a "Buy" from "Hold"; analyst views vary (BWS raised its price target to $980 with a Buy, Barclays remains Underweight at $527), leaving a MarketBeat average rating of "Moderate Buy" and an average price target of $702.33.
• Recent results beat expectations: Q4 EPS was $3.88 vs. $3.08 expected and revenue was $814.9M vs. $717.0M expected, with revenue up 35.8% year‑over‑year and strong margins (net margin 29.9%, ROE 113.2%).
• Shares are trading near $1,086 (50‑day MA $801, 200‑day MA $677) implying a rich valuation (P/E 74.0) while institutional ownership remains low at about 4%.

Ubiquiti (NYSE:UI - Get Free Report) was upgraded by stock analysts at Wall Street Zen from a "hold" rating to a "buy" rating in a research report issued to clients and investors on Sunday.

Other analysts also recently issued reports about the stock. BWS Financial lifted their price objective on shares of Ubiquiti from $720.00 to $980.00 and gave the stock a "buy" rating in a report on Monday, April 13th. Barclays lifted their price objective on shares of Ubiquiti from $455.00 to $527.00 and gave the stock an "underweight" rating in a report on Friday, February 6th. Finally, Weiss Ratings raised shares of Ubiquiti from a "hold (c+)" rating to a "buy (b-)" rating in a report on Monday, March 23rd. One equities research analyst has rated the stock with a Strong Buy rating, two have issued a Buy rating and one has issued a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and an average price target of $702.33.

Ubiquiti Price Performance

UI opened at $1,086.36 on Friday. The company has a fifty day moving average price of $801.18 and a 200-day moving average price of $677.22. The firm has a market capitalization of $65.75 billion, a P/E ratio of 74.00 and a beta of 1.32. Ubiquiti has a one year low of $282.82 and a one year high of $1,088.18.

Ubiquiti (NYSE:UI - Get Free Report) last released its quarterly earnings results on Friday, February 6th. The company reported $3.88 EPS for the quarter, beating analysts' consensus estimates of $3.08 by $0.80. The firm had revenue of $814.87 million during the quarter, compared to analyst estimates of $716.95 million. Ubiquiti had a net margin of 29.90% and a return on equity of 113.21%. The business's revenue for the quarter was up 35.8% on a year-over-year basis. During the same period in the previous year, the business earned $2.28 EPS. On average, analysts expect that Ubiquiti will post 7.21 earnings per share for the current year.

Institutional Trading of Ubiquiti

A number of hedge funds have recently made changes to their positions in the stock. Blue Trust Inc. boosted its position in Ubiquiti by 87.5% during the fourth quarter. Blue Trust Inc. now owns 45 shares of the company's stock valued at $25,000 after buying an additional 21 shares during the period. Cherry Tree Wealth Management LLC purchased a new stake in Ubiquiti during the third quarter valued at about $33,000. Quarry LP purchased a new stake in Ubiquiti during the third quarter valued at about $34,000. CIBC Private Wealth Group LLC boosted its position in Ubiquiti by 238.1% during the fourth quarter. CIBC Private Wealth Group LLC now owns 71 shares of the company's stock valued at $39,000 after buying an additional 50 shares during the period. Finally, Exchange Traded Concepts LLC boosted its position in Ubiquiti by 31.0% during the third quarter. Exchange Traded Concepts LLC now owns 76 shares of the company's stock valued at $50,000 after buying an additional 18 shares during the period. 4.00% of the stock is owned by institutional investors.

About Ubiquiti

Ubiquiti Inc NYSE: UI is a U.S.-based technology company that designs and sells networking and wireless communication products for enterprise, service provider and consumer markets. Its product portfolio includes Wi‑Fi access points, routers and gateways, managed Ethernet switches, network management software, and IP surveillance systems. Ubiquiti's offerings are organized under several well‑known lines—most notably UniFi for managed LAN/Wi‑Fi and networked video, AmpliFi for consumer Wi‑Fi, and product families targeting service‑provider and point‑to‑point wireless broadband applications.

The company emphasizes integrated hardware and software solutions, with centralized management and cloud‑enabled control as core features of its platform approach.

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