Ubiquiti
Market Cap
US$9.4b
Last Updated
2020/02/21 01:59 UTC
Data Sources
Company Financials +
Executive Summary
Ubiquiti Inc. develops networking technology for service providers, enterprises, and consumers worldwide.
Rewards
Risk Analysis
Snowflake Analysis
Acceptable track record with imperfect balance sheet.
Similar Companies
Share Price & News
How has Ubiquiti's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: UI's share price has been volatile over the past 3 months.
Market Performance
7 Day Return
0.4%
UI
0.009%
US Communications
0.06%
US Market
1 Year Return
1.3%
UI
-7.3%
US Communications
19.3%
US Market
Return vs Industry: UI exceeded the US Communications industry which returned -7.3% over the past year.
Return vs Market: UI underperformed the US Market which returned 19.3% over the past year.
Shareholder returns
| UI | Industry | Market | |
|---|---|---|---|
| 7 Day | 0.4% | 0.009% | 0.06% |
| 30 Day | -14.6% | -3.7% | 1.7% |
| 90 Day | -25.0% | 4.5% | 9.0% |
| 1 Year | 2.2%1.3% | -5.4%-7.3% | 21.8%19.3% |
| 3 Year | 197.6%193.1% | 32.6%24.4% | 49.5%39.9% |
| 5 Year | 366.5%359.4% | 59.9%42.2% | 73.1%54.1% |
Price Volatility Vs. Market
How volatile is Ubiquiti's share price compared to the market and industry in the last 5 years?
Simply Wall St News
6 months ago | Simply Wall St
At US$124, Is It Time To Put Ubiquiti Networks, Inc. (NASDAQ:UBNT) On Your Watch List?7 months ago | Simply Wall St
Despite Its High P/E Ratio, Is Ubiquiti Networks, Inc. (NASDAQ:UBNT) Still Undervalued?7 months ago | Simply Wall St
With EPS Growth And More, Ubiquiti Networks (NASDAQ:UBNT) Is InterestingValuation
Is Ubiquiti undervalued compared to its fair value and its price relative to the market?
29.03x
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: UI ($145.35) is trading above our estimate of fair value ($103.3)
Significantly Below Fair Value: UI is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: UI is poor value based on its PE Ratio (29x) compared to the Communications industry average (24.9x).
PE vs Market: UI is poor value based on its PE Ratio (29x) compared to the US market (18.5x).
Price to Earnings Growth Ratio
PEG Ratio: Insufficient data to calculate UI's PEG Ratio to determine if it is good value.
Price to Book Ratio
PB vs Industry: UI has negative assets, so we can't compare its PB Ratio to the US Communications industry average.
Next Steps
Future Growth
How is Ubiquiti forecast to perform in the next 1 to 3 years based on estimates from 4 analysts?
7.5%
Forecasted annual revenue growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: Insufficient data to determine if UI's forecast earnings growth is above the savings rate (1.7%).
Earnings vs Market: Insufficient data to determine if UI's earnings are forecast to grow faster than the US market
High Growth Earnings: Insufficient data to determine if earnings are expected to grow significantly over the next 3 years.
Revenue vs Market: UI's revenue (7.5% per year) is forecast to grow slower than the US market (7.6% per year).
High Growth Revenue: UI's revenue (7.5% 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 UI's Return on Equity is forecast to be high in 3 years time
Next Steps
Past Performance
How has Ubiquiti performed over the past 5 years?
15.6%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: UI has high quality earnings.
Growing Profit Margin: UI's current net profit margins (28.5%) are lower than last year (30.3%).
Past Earnings Growth Analysis
Earnings Trend: UI's earnings have grown by 15.6% per year over the past 5 years.
Accelerating Growth: UI's earnings growth over the past year (2%) is below its 5-year average (15.6% per year).
Earnings vs Industry: UI earnings growth over the past year (2%) exceeded the Communications industry -20.1%.
Return on Equity
High ROE: UI's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.
Return on Assets
Return on Capital Employed
Next Steps
Financial Health
How is Ubiquiti's financial position?
Financial Position Analysis
Short Term Liabilities: UI has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.
Long Term Liabilities: UI has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.
Debt to Equity History and Analysis
Debt Level: UI has negative shareholder equity, which is a more serious situation than a high debt level.
Reducing Debt: UI's has negative shareholder equity, so we do not need to check if its debt has reduced over time.
Debt Coverage: UI's debt is well covered by operating cash flow (56%).
Interest Coverage: UI's interest payments on its debt are well covered by EBIT (18.3x coverage).
Balance Sheet
Inventory Level: UI has a high level of physical assets or inventory.
Debt Coverage by Assets: UI has negative shareholder equity (liabilities exceed assets) therefore debt is not covered by short term assets.
Next Steps
Dividend
What is Ubiquiti's current dividend yield, its reliability and sustainability?
0.83%
Current Dividend Yield
Dividend Yield vs Market
Current dividend yield vs market & industry
Notable Dividend: UI's dividend (0.83%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.44%).
High Dividend: UI's dividend (0.83%) is low compared to the top 25% of dividend payers in the US market (3.71%).
Stability and Growth of Payments
Stable Dividend: UI is not paying a notable dividend for the US market, therefore no need to check if payments are stable.
Growing Dividend: UI is not paying a notable dividend for the US market, therefore no need to check if payments are increasing.
Current Payout to Shareholders
Dividend Coverage: UI is not paying a notable dividend for the US market.
Future Payout to Shareholders
Future Dividend Coverage: No need to calculate the sustainability of UI'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?
9.8yrs
Average management tenure
CEO
Robert Pera (41yo)
16.3yrs
Tenure
Mr. Robert J. Pera founded Ubiquiti Networks, Inc. in October 2003 and has been its Chief Executive Officer since October 2003. Mr. Pera is a Controlling Owner and Chairman at Memphis Basketball, LLC. He h ...
Leadership Team
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 16.3yrs | no data | 86.72% $8.2b | |
| Chief Accounting & Finance Officer | 1.1yrs | US$698.97k | 0.00049% $46.2k | |
| Executive Vice President of Operations & Legal Affairs | 0yrs | no data | no data | |
| Chief Technology Officer | 9.8yrs | US$400.00k | no data | |
| Senior Vice President of Investor Relations | 0yrs | no data | no data |
9.8yrs
Average Tenure
56yo
Average Age
Experienced Management: UI's management team is seasoned and experienced (9.8 years average tenure).
Board Members
| Name | Position | Tenure | Compensation | Ownership |
|---|---|---|---|---|
| Founder | 16.3yrs | no data | 86.72% $8.2b | |
| Lead Independent Director | 0yrs | US$200.00k | no data | |
| Independent Director | 6.3yrs | US$200.00k | 0.015% $1.5m | |
| Independent Director | 3.5yrs | US$200.00k | no data |
6.3yrs
Average Tenure
51.5yo
Average Age
Experienced Board: UI's board of directors are considered experienced (6.3 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.
Ownership Breakdown
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Top Shareholders
Company Information
Ubiquiti Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Ubiquiti Inc.
- Ticker: UI
- Exchange: NYSE
- Founded: 2003
- Industry: Communications Equipment
- Sector: Tech
- Market Cap: US$9.432b
- Shares outstanding: 64.89m
- Website: https://www.ui.com
Number of Employees
Location
- Ubiquiti Inc.
- 685 Third Avenue
- 27th Floor
- New York
- New York
- 10017
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| UI | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Oct 2011 |
| 3UB | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Oct 2011 |
| 0LI9 | LSE (London Stock Exchange) | Yes | Common Stock | GB | USD | Oct 2011 |
Biography
Ubiquiti Inc. develops networking technology for service providers, enterprises, and consumers worldwide. It develops technology platforms for high-capacity distributed Internet access, unified information technology, and consumer electronics for professional, home, and personal use. Its service provider product platforms offer carrier-class network infrastructure for fixed wireless broadband, wireless backhaul systems, and routing; and enterprise product platforms provide wireless LAN infrastructure, video surveillance products, switching and routing solutions, security gateways, and other WLAN products, as well as offers consumer products under the Ubiquiti Labs brand name. The company also provides technology platforms, such as airMAX platform, which include proprietary protocols that contain technologies for minimizing signal noise; EdgeMAX, a software and system routing platform; airFiber, a point-to-point radio system; and UFiber GPON platform to build high speed fiber Internet networks. In addition, it offers UniFi Enterprise WLAN; UniFi Video, a video surveillance system; UniFi Switch that deliver performance, switching, and PoE+ support for enterprise networks; and UniFi Security Gateway that provide routing and network security, as well as develops AmpliFi platform, a Wi-Fi system solution for connected homes. Further, Ubiquiti Inc. offers embedded radio products; and mounting brackets, cables, and power over Ethernet adapters. It serves customers through a network of approximately 100 distributors and online retailers worldwide. The company was formerly known as Ubiquiti Networks, Inc. and changed its name to Ubiquiti Inc. in August 2019. Ubiquiti Inc. was incorporated in 2003 and is headquartered in New York, New York.
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2020/02/21 01:59 |
| End of Day Share Price | 2020/02/20 00:00 |
| Earnings | 2019/12/31 |
| Annual Earnings | 2019/06/30 |
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.