NYSE:UTI

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Universal Technical Institute

Executive Summary

Universal Technical Institute, Inc. provides postsecondary education for students seeking careers as professional automotive, diesel, collision repair, motorcycle, and marine technicians in the United States. More Details


Snowflake Analysis

Flawless balance sheet and fair value.


Similar Companies

Share Price & News

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


Latest Share Price and Events

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


Market Performance


7 Day Return

-6.1%

UTI

-2.2%

US Consumer Services

-4.1%

US Market


1 Year Return

-16.2%

UTI

33.5%

US Consumer Services

12.0%

US Market

Return vs Industry: UTI underperformed the US Consumer Services industry which returned 33.5% over the past year.

Return vs Market: UTI underperformed the US Market which returned 12% over the past year.


Shareholder returns

UTIIndustryMarket
7 Day-6.1%-2.2%-4.1%
30 Day-3.5%-3.9%-0.2%
90 Day-34.1%-5.3%2.8%
1 Year-16.2%-16.2%33.9%33.5%14.6%12.0%
3 Year46.3%46.3%58.2%52.5%35.8%26.8%
5 Year-1.6%-2.4%236.3%212.4%75.2%55.6%

Price Volatility Vs. Market

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


Simply Wall St News

Valuation

Is Universal Technical Institute 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: UTI ($4.9) is trading below our estimate of fair value ($73.84)

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


Price To Earnings Ratio

PE vs Industry: UTI is poor value based on its PE Ratio (77.6x) compared to the US Consumer Services industry average (32.4x).

PE vs Market: UTI is poor value based on its PE Ratio (77.6x) compared to the US market (18.1x).


Price to Earnings Growth Ratio

PEG Ratio: UTI is poor value based on its PEG Ratio (2.1x)


Price to Book Ratio

PB vs Industry: UTI is good value based on its PB Ratio (1.6x) compared to the US Consumer Services industry average (2.6x).


Next Steps

Future Growth

How is Universal Technical Institute forecast to perform in the next 1 to 3 years based on estimates from 6 analysts?

37.8%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: UTI's forecast earnings growth (37.8% per year) is above the savings rate (2.2%).

Earnings vs Market: UTI's earnings (37.8% per year) are forecast to grow faster than the US market (22% per year).

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

Revenue vs Market: UTI's revenue (7.1% per year) is forecast to grow slower than the US market (10% per year).

High Growth Revenue: UTI's revenue (7.1% 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 UTI's Return on Equity is forecast to be high in 3 years time


Next Steps

Past Performance

How has Universal Technical Institute performed over the past 5 years?

13.5%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: UTI has high quality earnings.

Growing Profit Margin: UTI became profitable in the past.


Past Earnings Growth Analysis

Earnings Trend: UTI has become profitable over the past 5 years, growing earnings by 13.5% per year.

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

Earnings vs Industry: UTI has become profitable in the last year, making it difficult to compare its past year earnings growth to the Consumer Services industry (10.5%).


Return on Equity

High ROE: UTI's Return on Equity (4.1%) is considered low.


Next Steps

Financial Health

How is Universal Technical Institute's financial position?


Financial Position Analysis

Short Term Liabilities: UTI's short term assets ($170.2M) exceed its short term liabilities ($120.8M).

Long Term Liabilities: UTI's short term assets ($170.2M) exceed its long term liabilities ($129.8M).


Debt to Equity History and Analysis

Debt Level: UTI is debt free.

Reducing Debt: UTI has not had any debt for past 5 years.

Debt Coverage: UTI has no debt, therefore it does not need to be covered by operating cash flow.

Interest Coverage: UTI has no debt, therefore coverage of interest payments is not a concern.


Balance Sheet


Next Steps

Dividend

What is Universal Technical Institute current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

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

High Dividend: Unable to evaluate UTI'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 UTI's dividends per share have been stable in the past.

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


Current Payout to Shareholders

Dividend Coverage: UTI is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of UTI'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?

0.9yrs

Average management tenure


CEO

Jerome Grant (57 yo)

0.92

Tenure

US$442,518

Compensation

Mr. Jerome A. Grant has been Chief Executive Officer and Director of Universal Technical Institute, Inc. since November 1, 2019. Mr. Grant had been Chief Operating Officer and Executive Vice President at U ...


CEO Compensation Analysis

Compensation vs Market: Jerome's total compensation ($USD442.52K) is below average for companies of similar size in the US market ($USD1.36M).

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


Leadership Team

NamePositionTenureCompensationOwnership
Jerome Grant
CEO & Director0.92yrUS$442.52k0.12%
$ 194.1k
Troy Anderson
Executive VP & CFO1.08yrsUS$382.87kno data
Sherrell Smith
Executive Vice President of Campus Operations & Services2.5yrsUS$537.09k0.19%
$ 301.7k
Lori Smith
Senior VP & CIO0.75yrno data0.63%
$ 1.0m
Christopher Kevane
Senior VP & Chief Legal Officer0.58yrno datano data
Jody Kent
Vice President of Communications & Public Affairsno datano datano data
Sonia Mason
Senior VP & Chief Human Resource Officer0.17yrno datano data
Eric Severson
Senior Vice President of Admissions2.25yrsno data0.023%
$ 36.1k
Todd Hitchcock
Senior VP & Chief Strategy and Transformation Officer0.75yrno datano data
Bart Fesperman
Senior VP & Chief Commercial Officer0.17yrno datano data
Roger Speer
President of Sacramento Campus7.33yrsUS$544.93kno data
Michael Romano
Campus President of Avondale Arizona Facility10yrsno datano data

0.9yrs

Average Tenure

56.5yo

Average Age

Experienced Management: UTI's management team is not considered experienced ( 0.9 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jerome Grant
CEO & Director0.92yrUS$442.52k0.12%
$ 194.1k
Linda Srere
Independent Director15.58yrsUS$155.68k0.30%
$ 476.9k
Kenneth Trammell
Independent Director9.33yrsUS$157.68k0.28%
$ 445.1k
Robert DeVincenzi
Independent Non-Executive Chairman3.08yrsUS$450.05k0.26%
$ 416.9k
Roderick Paige
Independent Director10.08yrsUS$99.00k0.28%
$ 439.8k
William Lennox
Independent Director6.75yrsUS$116.00k0.25%
$ 400.5k
Kimberly McWaters
Non-Executive Director15.58yrsUS$1.05m0.11%
$ 175.0k
John White
Director23.75yrsUS$85.00k0.46%
$ 743.0k
George Brochick
Independent Director0.58yrno data0.017%
$ 27.2k
Christopher Shackelton
Director4.33yrsUS$110.00k0%
$ 0
David Blaszkiewicz
Independent Director8.83yrsUS$108.00k0.25%
$ 403.6k

8.8yrs

Average Tenure

60yo

Average Age

Experienced Board: UTI's board of directors are considered experienced (8.8 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 been diluted in the past year, with total shares outstanding growing by 27.2%.


Top Shareholders

Company Information

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


Key Information

  • Name: Universal Technical Institute, Inc.
  • Ticker: UTI
  • Exchange: NYSE
  • Founded: 1965
  • Industry: Education Services
  • Sector: Consumer Services
  • Market Cap: US$159.792m
  • Shares outstanding: 32.61m
  • Website: https://www.uti.edu

Number of Employees


Location

  • Universal Technical Institute, Inc.
  • 16220 North Scottsdale Road
  • Suite 500
  • Scottsdale
  • Arizona
  • 85254
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
UTINYSE (New York Stock Exchange)YesCommon StockUSUSDDec 2003
UTIDB (Deutsche Boerse AG)YesCommon StockDEEURDec 2003

Biography

Universal Technical Institute, Inc. provides postsecondary education for students seeking careers as professional automotive, diesel, collision repair, motorcycle, and marine technicians in the United Stat ...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/10/30 03:46
End of Day Share Price2020/10/29 00:00
Earnings2020/06/30
Annual Earnings2019/09/30


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.