Universal Technical Institute (NYSE:UTI) Stock Price Up 5.6% - Here's Why

Key Points

• Universal Technical Institute shares rose 5.6% in mid-day trading, reaching as high as $37.90 after closing at $35.99 the prior day. Trading volume was well below average, with about 316,000 shares changing hands versus a typical 906,000.
• Analyst sentiment remains constructive, with four Buy ratings and two Hold ratings on the stock. The consensus price target is $44.80, and recent firms have raised targets as high as $49.
• Recent insider selling has been significant, including a June sale of 3 million shares by Coliseum Capital Management, L. Over the last 90 days, insiders sold more than 3.1 million shares worth about $129 million.

Shares of Universal Technical Institute Inc (NYSE:UTI - Get Free Report) were up 5.6% during mid-day trading on Thursday . The stock traded as high as $37.90 and last traded at $38.0050. 315,982 shares were traded during mid-day trading, a decline of 65% from the average session volume of 905,632 shares. The stock had previously closed at $35.99.

Wall Street Analyst Weigh In

A number of research firms have commented on UTI. Northland Securities set a $41.00 target price on Universal Technical Institute in a report on Thursday, May 7th. Barrington Research increased their price objective on Universal Technical Institute from $36.00 to $42.00 and gave the company an "outperform" rating in a research report on Thursday, May 7th. B. Riley Financial reiterated a "buy" rating on shares of Universal Technical Institute in a report on Thursday, April 30th. Truist Financial boosted their target price on Universal Technical Institute from $40.00 to $47.00 and gave the stock a "buy" rating in a research report on Monday, June 29th. Finally, Griffin Securities set a $49.00 target price on shares of Universal Technical Institute in a research note on Thursday, April 30th. Four analysts have rated the stock with a Buy rating and two have issued a Hold rating to the company's stock. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $44.80.

Universal Technical Institute Trading Up 4.8%

The company has a current ratio of 1.17, a quick ratio of 1.17 and a debt-to-equity ratio of 0.38. The stock has a market capitalization of $2.08 billion, a PE ratio of 49.04, a P/E/G ratio of 3.27 and a beta of 1.23. The stock has a 50 day moving average price of $41.64 and a 200-day moving average price of $36.12.

Universal Technical Institute (NYSE:UTI - Get Free Report) last posted its earnings results on Wednesday, May 6th. The company reported $0.01 earnings per share for the quarter. The company had revenue of $221.40 million for the quarter, compared to the consensus estimate of $221.61 million. Universal Technical Institute had a return on equity of 13.02% and a net margin of 4.91%. Sell-side analysts expect that Universal Technical Institute Inc will post 0.76 earnings per share for the current year.

Insider Transactions at Universal Technical Institute

In other Universal Technical Institute news, Director Coliseum Capital Management, L sold 3,000,000 shares of the stock in a transaction that occurred on Monday, June 8th. The shares were sold at an average price of $41.40, for a total value of $124,200,000.00. Following the transaction, the director directly owned 971,440 shares in the company, valued at approximately $40,217,616. This trade represents a 75.54% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Linda J. Srere sold 15,000 shares of Universal Technical Institute stock in a transaction on Monday, May 11th. The stock was sold at an average price of $36.59, for a total transaction of $548,850.00. Following the transaction, the director owned 127,564 shares in the company, valued at $4,667,566.76. This represents a 10.52% decrease in their position. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 3,117,545 shares of company stock worth $128,998,420. 9.80% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Universal Technical Institute

Several institutional investors and hedge funds have recently bought and sold shares of the stock. Newbridge Financial Services Group Inc. purchased a new stake in Universal Technical Institute in the second quarter worth about $27,000. PNC Financial Services Group Inc. grew its stake in shares of Universal Technical Institute by 543.5% during 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 during the period. Clearstead Advisors LLC grew its stake in shares of Universal Technical Institute by 187.5% during the 4th quarter. Clearstead Advisors LLC now owns 1,446 shares of the company's stock valued at $38,000 after acquiring an additional 943 shares during the period. NewEdge Advisors LLC purchased a new stake in Universal Technical Institute in the 1st quarter worth approximately $57,000. Finally, SBI Securities Co. Ltd. increased its holdings in Universal Technical Institute by 4,500.0% in the 4th quarter. SBI Securities Co. Ltd. now owns 5,428 shares of the company's stock worth $142,000 after acquiring an additional 5,310 shares in the last quarter. 75.67% of the stock is currently owned by hedge funds and other institutional investors.

About Universal Technical Institute

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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