NasdaqGS:UEIC

Stock Analysis Report

NOT FOR DISTRIBUTION
Header cover image

Executive Summary

Universal Electronics Inc. designs, develops, and manufactures pre-programmed and universal control products, audio-video (AV) accessories, and intelligent wireless security and smart home products for consumer electronics, subscription broadcasting, home entertainment, automation, security, and hospitality and climate control markets. More Details


Snowflake Analysis

Excellent balance sheet and good value.


Similar Companies

Share Price & News

How has Universal Electronics's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: UEIC's share price has been volatile over the past 3 months.


Market Performance


7 Day Return

6.6%

UEIC

-0.6%

US Consumer Durables

-1.5%

US Market


1 Year Return

-25.4%

UEIC

21.1%

US Consumer Durables

12.9%

US Market

Return vs Industry: UEIC underperformed the US Consumer Durables industry which returned 21.1% over the past year.

Return vs Market: UEIC underperformed the US Market which returned 12.9% over the past year.


Shareholder returns

UEICIndustryMarket
7 Day6.6%-0.6%-1.5%
30 Day-12.0%-1.3%-1.8%
90 Day-13.2%22.4%6.6%
1 Year-25.4%-25.4%22.5%21.1%15.4%12.9%
3 Year-38.6%-38.6%24.2%19.0%39.6%30.2%
5 Year-8.6%-8.6%52.3%43.0%93.4%71.7%

Price Volatility Vs. Market

How volatile is Universal Electronics's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Universal Electronics undervalued compared to its fair value and its price relative to the market?

>50%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: UEIC ($38.16) is trading below our estimate of fair value ($107.83)

Significantly Below Fair Value: UEIC is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: UEIC is poor value based on its PE Ratio (17.7x) compared to the US Consumer Durables industry average (13.3x).

PE vs Market: UEIC is good value based on its PE Ratio (17.7x) compared to the US market (18.2x).


Price to Earnings Growth Ratio

PEG Ratio: UEIC is good value based on its PEG Ratio (0.6x)


Price to Book Ratio

PB vs Industry: UEIC is overvalued based on its PB Ratio (1.9x) compared to the US Consumer Durables industry average (1.6x).


Next Steps

Future Growth

How is Universal Electronics forecast to perform in the next 1 to 3 years based on estimates from 3 analysts?

28.7%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UEIC's forecast earnings growth (28.7% per year) is above the savings rate (2.2%).

Earnings vs Market: UEIC's earnings (28.7% per year) are forecast to grow faster than the US market (23.1% per year).

High Growth Earnings: earnings are expected to grow significantly over the next 3 years.

Revenue vs Market: UEIC's revenue (3.2% per year) is forecast to grow slower than the US market (9.8% per year).

High Growth Revenue: UEIC's revenue (3.2% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: Insufficient data to determine if UEIC's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Universal Electronics performed over the past 5 years?

-33.4%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UEIC has a large one-off gain of $9.2M impacting its June 30 2020 financial results.

Growing Profit Margin: UEIC became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: UEIC's earnings have declined by 33.4% per year over the past 5 years.

Accelerating Growth: UEIC has become profitable in the last year, making the earnings growth rate difficult to compare to its 5-year average.

Earnings vs Industry: UEIC has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Durables industry (15.3%).


Return on Equity

High ROE: UEIC's Return on Equity (10.5%) is considered low.


Next Steps

Financial Health

How is Universal Electronics's financial position?


Financial Position Analysis

Short Term Liabilities: UEIC's short term assets ($351.0M) exceed its short term liabilities ($222.2M).

Long Term Liabilities: UEIC's short term assets ($351.0M) exceed its long term liabilities ($18.0M).


Debt to Equity History and Analysis

Debt Level: UEIC's debt to equity ratio (25.5%) is considered satisfactory.

Reducing Debt: UEIC's debt to equity ratio has increased from 4.3% to 25.5% over the past 5 years.

Debt Coverage: UEIC's debt is well covered by operating cash flow (95.2%).

Interest Coverage: UEIC's interest payments on its debt are well covered by EBIT (12.4x coverage).


Balance Sheet


Next Steps

Dividend

What is Universal Electronics's current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate UEIC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate UEIC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if UEIC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if UEIC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UEIC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

10.7yrs

Average management tenure


CEO

Paul Arling (58 yo)

19.92yrs

Tenure

US$3,816,245

Compensation

Mr. Paul D. Arling has been the Chief Executive Officer of Universal Electronics Inc. since October 2000. Mr. Arling served as the President and Chief Operating Officer of Universal Electronics Inc. from S ...


CEO Compensation Analysis

Compensation vs Market: Paul's total compensation ($USD3.82M) is above average for companies of similar size in the US market ($USD1.98M).

Compensation vs Earnings: Paul's compensation has been consistent with company performance over the past year.


Leadership Team

NamePositionTenureCompensationOwnership
Paul Arling
Chairman & CEO19.92yrsUS$3.82m1.43%
$ 7.6m
Bryan Hackworth
CFO & Senior VP14.08yrsUS$1.44m0.31%
$ 1.7m
Richard Firehammer
Senior VP26.92yrsUS$551.30k0%
$ 0
Menno Koopmans
Senior Vice President of Global Salesno dataUS$767.28k0.029%
$ 156.8k
Cheung Chong
Executive Vice President of Asiano dataUS$1.14m0.079%
$ 418.0k
Joseph Miketo
Senior Vice President of Operations1.58yrsno data0.015%
$ 80.6k
Norman Sheridan
Senior Vice President of Engineeringno datano datano data
Ramzi Ammari
Senior Vice President of Corporate Planning & Strategy10.67yrsno data0.092%
$ 487.3k
Stephen Gutman
Senior VP of Global Sales of Subscription Broadcast5.67yrsno datano data
Hrag Ohannessian
Senior Vice President of Global Sales at Home Automation5.67yrsno datano data
Tak Chan
Senior Vice President of Manufacturing Asia10.67yrsno datano data
Arsham Hatambeiki
Senior Vice President of Product and Technologyno datano datano data

10.7yrs

Average Tenure

58yo

Average Age

Experienced Management: UEIC's management team is seasoned and experienced (10.7 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Paul Arling
Chairman & CEO19.92yrsUS$3.82m1.43%
$ 7.6m
William Mulligan
Independent Director28.67yrsUS$277.25k0.15%
$ 807.2k
Gregory Stapleton
Independent Director12.42yrsUS$266.25k0.24%
$ 1.3m
Edward Zinser
Independent Director13.92yrsUS$277.50k0.19%
$ 1.0m
Carl Vogel
Independent Director10.92yrsUS$266.25k0.30%
$ 1.6m
Satjiv Chahil
Independent Director18.08yrsUS$271.25k0.87%
$ 4.6m
Sue Ann Hamilton
Independent Director0.83yrUS$599.66k0.024%
$ 127.2k

13.9yrs

Average Tenure

63yo

Average Age

Experienced Board: UEIC's board of directors are seasoned and experienced ( 13.9 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Universal Electronics Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Universal Electronics Inc.
  • Ticker: UEIC
  • Exchange: NasdaqGS
  • Founded: 1986
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Market Cap: US$531.628m
  • Shares outstanding: 13.93m
  • Website: https://www.uei.com

Number of Employees


Location

  • Universal Electronics Inc.
  • Scottsdale Quarter
  • Suite H300
  • Scottsdale
  • Arizona
  • 85254-2494
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UEICNasdaqGS (Nasdaq Global Select)YesCommon StockUSUSDFeb 1993
UE1DB (Deutsche Boerse AG)YesCommon StockDEEURFeb 1993

Biography

Universal Electronics Inc. designs, develops, and manufactures pre-programmed and universal control products, audio-video (AV) accessories, and intelligent wireless security and smart home products for con ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/09/22 06:03
End of Day Share Price2020/09/21 00:00
Earnings2020/06/30
Annual Earnings2019/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.