Universal Technical Institute (NYSE:UTI) Sets New 12-Month High - Should You Buy?

Key Points

• Universal Technical Institute (NYSE:UTI) hit a new 52-week high, trading as high as $41.53 after closing at $39.75 the prior day. The move came on solid volume and extends a strong rally in the stock.
• Analyst sentiment remains mostly positive, with five Buy ratings and two Hold ratings, and a consensus price target of $42.50. Recent calls included target increases from Barrington Research and reaffirmed Buy ratings from B. Riley Financial.
• The company recently reported $0.01 EPS on revenue of $221.4 million, roughly in line with estimates. Institutional investors have also been increasing exposure, while insiders sold shares in recent months.

Universal Technical Institute Inc (NYSE:UTI - Get Free Report) hit a new 52-week high during mid-day trading on Thursday . The stock traded as high as $41.53 and last traded at $40.86, with a volume of 270135 shares. The stock had previously closed at $39.75.

Wall Street Analyst Weigh In

A number of equities research analysts have weighed in on UTI shares. Wall Street Zen upgraded Universal Technical Institute from a "sell" rating to a "hold" rating in a research report on Saturday, March 7th. B. Riley Financial reaffirmed a "buy" rating on shares of Universal Technical Institute in a research note on Thursday, April 30th. Northland Securities set a $41.00 price objective on Universal Technical Institute in a research note on Thursday, May 7th. Barrington Research increased their target price on Universal Technical Institute from $36.00 to $42.00 and gave the company an "outperform" rating in a report on Thursday, May 7th. Finally, Griffin Securities set a $49.00 target price on Universal Technical Institute in a report on Thursday, April 30th. Five equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $42.50.

Universal Technical Institute Trading Up 2.7%

The company has a debt-to-equity ratio of 0.38, a current ratio of 1.17 and a quick ratio of 1.14. The company has a fifty day moving average of $36.57 and a 200-day moving average of $31.00. The firm has a market capitalization of $2.25 billion, a PE ratio of 53.01, a price-to-earnings-growth ratio of 3.30 and a beta of 1.28.

Universal Technical Institute (NYSE:UTI - Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported $0.01 earnings per share (EPS) for the quarter. Universal Technical Institute had a return on equity of 13.02% and a net margin of 4.91%.The business had revenue of $221.40 million during the quarter, compared to analyst estimates of $221.61 million. On average, sell-side analysts anticipate that Universal Technical Institute Inc will post 0.76 earnings per share for the current fiscal year.

Insider Buying and Selling at Universal Technical Institute

In other Universal Technical Institute news, Director George W. Brochick sold 5,000 shares of the firm's stock in a transaction dated Tuesday, March 17th. The stock was sold at an average price of $36.59, for a total transaction of $182,950.00. Following the transaction, the director directly owned 27,516 shares in the company, valued at $1,006,810.44. This trade represents a 15.38% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, COO Todd A. Hitchcock sold 16,500 shares of the company's stock in a transaction dated Wednesday, March 4th. The stock was sold at an average price of $37.33, for a total value of $615,945.00. Following the sale, the chief operating officer owned 104,084 shares of the company's stock, valued at approximately $3,885,455.72. This trade represents a 13.68% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 160,961 shares of company stock valued at $5,796,977 in the last quarter. Corporate insiders own 9.80% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the stock. Gibbs Wealth Management raised its stake in shares of Universal Technical Institute by 66.3% in the 1st quarter. Gibbs Wealth Management now owns 32,881 shares of the company's stock valued at $1,187,000 after acquiring an additional 13,105 shares in the last quarter. Sei Investments Co. raised its stake in shares of Universal Technical Institute by 371.5% in the 1st quarter. Sei Investments Co. now owns 139,682 shares of the company's stock valued at $5,043,000 after acquiring an additional 110,056 shares in the last quarter. Militia Capital Management LLC bought a new position in shares of Universal Technical Institute in the 1st quarter valued at approximately $7,220,000. PNC Financial Services Group Inc. raised its stake in shares of Universal Technical Institute by 543.5% in the 1st quarter. PNC Financial Services Group Inc. now owns 888 shares of the company's stock valued at $32,000 after acquiring an additional 750 shares in the last quarter. Finally, Dimensional Fund Advisors LP increased its stake in shares of Universal Technical Institute by 0.7% in the first quarter. Dimensional Fund Advisors LP now owns 1,296,989 shares of the company's stock worth $46,826,000 after purchasing an additional 9,153 shares during the period. 75.67% of the stock is owned by institutional investors.

Universal Technical Institute Company Profile

Universal Technical Institute, Inc NYSE: UTI is a leading provider of post-secondary education for students pursuing careers as professional automotive, diesel, collision repair, motorcycle and marine technicians, as well as in welding and CNC machining. The company designs and delivers hands-on training through a blend of classroom instruction and experiential lab work, preparing graduates for entry-level positions in the transportation, manufacturing and energy sectors. UTI's curriculum emphasizes industry-recognized credentials and proprietary coursework developed in collaboration with original equipment manufacturers (OEMs) to ensure alignment with evolving employer needs.

Through a network of campus locations across the United States and select centers in Canada, Universal Technical Institute offers diploma and certificate programs ranging from 36 to 74 weeks in length.

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