Universal Technical Institute (NYSE:UTI) Downgraded to "Hold" Rating by Wall Street Zen

Key Points

• Universal Technical Institute has been downgraded from a "buy" to a "hold" rating by Wall Street Zen, as indicated in a note to investors.
• Despite the downgrade, analyst ratings remain relatively positive with one hold rating, five buy ratings, and one strong buy rating, giving the stock a consensus rating of "Buy" and an average target price of $35.83.
• Insider selling activity has been noted, with significant sales reported by Director George W. Brochick and COO Todd A. Hitchcock, representing decreases in their ownership stakes.

Universal Technical Institute (NYSE:UTI - Get Free Report) was downgraded by investment analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a report released on Saturday.

UTI has been the topic of a number of other research reports. Barrington Research restated an "outperform" rating and set a $36.00 price objective on shares of Universal Technical Institute in a research note on Tuesday, July 29th. Truist Financial boosted their price objective on Universal Technical Institute from $37.00 to $40.00 and gave the stock a "buy" rating in a research note on Thursday, May 22nd. Rosenblatt Securities restated a "buy" rating and set a $36.00 price objective on shares of Universal Technical Institute in a research note on Thursday, August 7th. Finally, Lake Street Capital restated a "buy" rating and set a $38.00 price objective (up previously from $35.00) on shares of Universal Technical Institute in a research note on Wednesday, May 21st. One equities research analyst has rated the stock with a hold rating, five have issued a buy rating and one has given a strong buy rating to the stock. Based on data from MarketBeat, Universal Technical Institute has an average rating of "Buy" and a consensus target price of $35.83.

Universal Technical Institute Trading Down 2.3%

Universal Technical Institute stock traded down $0.62 during midday trading on Friday, reaching $25.92. The stock had a trading volume of 320,808 shares, compared to its average volume of 765,130. Universal Technical Institute has a twelve month low of $15.14 and a twelve month high of $36.32. The stock has a market capitalization of $1.41 billion, a PE ratio of 22.77, a price-to-earnings-growth ratio of 1.62 and a beta of 1.58. The company has a debt-to-equity ratio of 0.23, a quick ratio of 1.00 and a current ratio of 1.00. The stock's 50-day simple moving average is $32.16 and its 200 day simple moving average is $29.99.

Universal Technical Institute (NYSE:UTI - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $0.19 earnings per share for the quarter, beating analysts' consensus estimates of $0.12 by $0.07. Universal Technical Institute had a return on equity of 22.12% and a net margin of 7.79%. The firm had revenue of $204.30 million for the quarter, compared to analysts' expectations of $200.01 million. Analysts expect that Universal Technical Institute will post 1 EPS for the current year.

Insider Activity at Universal Technical Institute

In related news, COO Todd A. Hitchcock sold 27,500 shares of the business's stock in a transaction dated Thursday, May 15th. The stock was sold at an average price of $33.36, for a total value of $917,400.00. Following the transaction, the chief operating officer owned 80,521 shares in the company, valued at approximately $2,686,180.56. The trade was a 25.46% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 15.10% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of UTI. Covestor Ltd increased its holdings in Universal Technical Institute by 24.4% in the fourth quarter. Covestor Ltd now owns 1,977 shares of the company's stock valued at $51,000 after buying an additional 388 shares during the last quarter. Verdence Capital Advisors LLC increased its holdings in Universal Technical Institute by 4.9% in the second quarter. Verdence Capital Advisors LLC now owns 10,892 shares of the company's stock valued at $369,000 after buying an additional 513 shares during the last quarter. New York State Teachers Retirement System increased its holdings in Universal Technical Institute by 17.0% in the second quarter. New York State Teachers Retirement System now owns 4,254 shares of the company's stock valued at $144,000 after buying an additional 618 shares during the last quarter. Principal Financial Group Inc. increased its holdings in Universal Technical Institute by 2.9% in the first quarter. Principal Financial Group Inc. now owns 27,399 shares of the company's stock valued at $704,000 after buying an additional 776 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its holdings in Universal Technical Institute by 3.6% in the fourth quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 22,472 shares of the company's stock valued at $578,000 after buying an additional 777 shares during the last quarter. Institutional investors and hedge funds own 75.67% of the company's stock.

Universal Technical Institute Company Profile

Universal Technical Institute, Inc provides transportation, skilled trades, and healthcare education programs in the United States. The company operates in two segments, UTI and Concorde. It offers certificate, diploma, or degree programs under various brands, such as Universal Technical Institute, Motorcycle Mechanics Institute, Marine Mechanics Institute, NASCAR Technical Institute, and MIAT College of Technology.