Universal Technical Institute (NYSE:UTI) Lowered 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 analysts at Wall Street Zen from a "buy" rating to a "hold" rating in a research note issued on Saturday.

UTI has been the subject of several other reports. Rosenblatt Securities reaffirmed a "buy" rating and set a $36.00 price objective on shares of Universal Technical Institute in a research note on Thursday, August 7th. Barrington Research reaffirmed an "outperform" rating and set a $36.00 price objective on shares of Universal Technical Institute in a research note on Tuesday, July 29th. Lake Street Capital reissued a "buy" rating and issued a $38.00 price target (up from $35.00) on shares of Universal Technical Institute in a research note on Wednesday, May 21st. Finally, Truist Financial increased their price target on shares of Universal Technical Institute from $37.00 to $40.00 and gave the stock a "buy" rating in a research note on Thursday, May 22nd. One 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 company. According to data from MarketBeat.com, the stock currently has an average rating of "Buy" and an average target price of $35.83.

Universal Technical Institute Trading Up 2.4%

NYSE UTI traded up $0.63 during trading on Friday, hitting $26.39. 971,480 shares of the company's stock traded hands, compared to its average volume of 765,264. The stock has a fifty day moving average of $32.33 and a two-hundred day moving average of $30.02. The company has a debt-to-equity ratio of 0.23, a current ratio of 1.00 and a quick ratio of 1.00. Universal Technical Institute has a 12-month low of $15.14 and a 12-month high of $36.32. The firm has a market cap of $1.44 billion, a P/E ratio of 23.20, a PEG ratio of 1.68 and a beta of 1.58.

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

Insider Transactions at Universal Technical Institute

In related news, COO Todd A. Hitchcock sold 27,500 shares of the firm's stock in a transaction that occurred on Thursday, May 15th. The shares were sold at an average price of $33.36, for a total value of $917,400.00. Following the sale, the chief operating officer owned 80,521 shares in the company, valued at approximately $2,686,180.56. This trade represents a 25.46% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Corporate insiders own 15.10% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors have recently added to or reduced their stakes in the business. American Century Companies Inc. raised its position in Universal Technical Institute by 15.7% in the second quarter. American Century Companies Inc. now owns 1,554,199 shares of the company's stock worth $52,672,000 after acquiring an additional 210,377 shares during the period. Rhumbline Advisers raised its position in shares of Universal Technical Institute by 17.5% during the 2nd quarter. Rhumbline Advisers now owns 69,687 shares of the company's stock valued at $2,362,000 after purchasing an additional 10,382 shares during the period. Franklin Resources Inc. bought a new stake in Universal Technical Institute in the 2nd quarter valued at $721,000. Legal & General Group Plc increased its holdings in Universal Technical Institute by 12.6% in the 2nd quarter. Legal & General Group Plc now owns 62,552 shares of the company's stock valued at $2,120,000 after acquiring an additional 7,013 shares during the last quarter. Finally, Swiss National Bank increased its holdings in Universal Technical Institute by 4.5% in the 2nd quarter. Swiss National Bank now owns 88,300 shares of the company's stock valued at $2,992,000 after acquiring an additional 3,800 shares during the last quarter. 75.67% of the stock is currently owned by institutional investors.

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.