Ubiquiti Inc.

Ubiquiti Inc.

UIยทNYSE

$576.13

+0.12%
TechnologyCommunication Equipment

Ubiquiti Inc. develops networking technology for service providers, enterprises, and consumers. 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 consumer products under the Ubiquiti Labs brand name. The company also provides technology platforms, such as airMAX, 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, a plug and play fiber network technology to build high speed fiber internet networks. In addition, it offers UniFi -Enterprise WLAN, an enterprise Wi-Fi system that allows for on-site and remote management through the cloud; UniFi Protect, a video surveillance system, which provides statistical reporting and advanced analytics; UniFi Switch that deliver performance, switching, and power of Ethernet support for enterprise networks; UniFi Console, an enterprise class router and security gateway device; and UniFi Access, a door access system. Further, offers base stations, radios, backhaul equipment, and customer premise equipment; embedded radio products; antennas; and mounting brackets, cables, and power over Ethernet adapters. It serves customers through a network of approximately 100 distributors, online retailers, and direct to customers 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.

At a Glance

Live Snapshot
Market Cap$34.87B
EPS11.7700
P/E Ratio48.95
Earnings Date08/28/2026

Intrinsic Alpha Methodology

Thesis Lenses

Signal ยท Driver ยท Risk

Signal

High confidence

Valuation multiple is elevated (P/E 49.0).

Valuation inputs: P/E 49.0, earnings yield +2.0%, momentum +0.1%.

If multiples stay elevated while momentum fades, downside repricing risk rises.

Driver

High confidence

Return profile is strong (ROE +1.1%, ROIC +72.6%).

Profitability stack: net margin +27.7%, ROE +1.1%, ROIC +72.6%.

Quality deterioration often appears in margins before it shows up in headline EPS.

Risk

High confidence

Downside profile looks controlled across current risk inputs.

Risk factors: liabilities/assets +54.4%, momentum +0.1%, net margin +27.7%.

Higher leverage with weak momentum and thin margins can amplify drawdown severity.

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Ubiquiti Inc. Market vs Earnings Trajectory

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Loading price and EPS data...

Ubiquiti Inc.

Ubiquiti Inc. Fair Value Envelope

UI ยท NYSE

Our analysis suggests that UI has a fair value of HIDDEN per share in the Base Case projection. With shares currently trading at $576.13, this represents a potential HIDDEN relative to our calculated worth for Ubiquiti Inc..

Intrinsic Value
Current Price: $576.13
3Y+92.0%
5Y+103.0%
10Y+365.0%
3Y+52.0%
5Y+100.0%
10Y+286.0%
3Y+88.0%
5Y+87.0%
10Y+233.0%
3Y+73.0%
5Y+39.0%
10Y+224.0%
3Y+76.0%
5Y+46.0%
10Y+228.0%
3Y+74.0%
5Y+99.0%
10Y+96.0%
Ubiquiti Inc.

Ubiquiti Inc. Profit Bridge

UI ยท NYSE
Revenue2.57B
Cost of Goods Sold (1.46B)
Gross Profit1.12B
Operating Expenses (281.17M)
Operating Income836.28M
Interest Expense (30.63M)
Other Income/Expense-30.63M
Pretax Income805.65M
Income Tax (93.73M)
Net Income711.92M
Net Income
711.92M

Profitability Analysis

Gross Margin

43.4%

Strong gross margins indicate healthy pricing and efficient production or service delivery.

Operating Margin

32.5%

Outstanding operational efficiency. The company generates substantial profit from core operations.

Net Profit Margin

27.7%

Exceptional profitability. The company converts a significant portion of revenue to bottom-line earnings.

Effective Tax Rate

11.6%

Below-average tax rate suggests effective tax planning, favorable jurisdictions, or tax credits.

Profitability Insight

Exceptional profitability across all levels: Strong pricing power, efficient operations, and healthy bottom line indicate a high-quality business with sustainable competitive advantages.

43.42%
Gross Profit Margin
13%
3Y+10.0%
5Y-8.0%
10Y-11.0%
32.50%
Operating Profit Margin
26%
3Y+19.0%
5Y-13.0%
10Y-11.0%
27.66%
Net Profit Margin
52%
3Y+24.0%
5Y-7.0%
10Y-14.0%
106.53%
Return on Equity
-71%
3Y-208.0%
5Y-183.0%
10Y+120.0%
48.55%
Return on Assets
60%
3Y+8.0%
5Y-6.0%
10Y+70.0%
72.62%
Return on Invested Capital
62%
3Y+5.0%
5Y-9.0%
10Y+125.0%
UI

Ubiquiti Inc. Cash Conversion Engine

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Net Income711.92M
Depreciation & Amortization21.90M
Stock-Based Compensation7.21M
Change in Working Capital-59.35M
Others30.54M
Capital Expenditures-12.59M
Free Cash Flow627.44M

Cash Flow Quality Analysis

FCF Conversion Rate

88.1%

Strong cash conversion. Most reported earnings translate into actual cash flow, suggesting solid fundamentals.

CapEx Intensity

2.0%

Asset-light business model. Low capital requirements leave more cash available for shareholders and growth investments.

FCF Growth Trend

+18.5%

Strong FCF growth demonstrates improving cash generation and business momentum. Positive signal for sustainability.

Working Capital Impact

-$59.35M

Minimal working capital impact on FCF. Changes in operating assets and liabilities well-managed.

Cash Flow Quality Insight

Asset-light with strong cash conversion: Low capital requirements combined with efficient cash generation creates significant shareholder value through dividends, buybacks, or strategic investments.

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Ubiquiti Inc. Funding & Solvency Profile

UI ยท NYSE
Cash & Cash Equivalents368.66M
Net Receivables245.84M
Inventory654.01M
Other Current Assets135.03M
Total Current Assets1 B
Property, Plant & Equipment136.72M
Goodwill & Intangible Assets0.00
Long-Term Investments0.00
Other Non-Current Assets67.31M
Total Non-Current Assets204 M
Total Assets
1.72B

Financial Health Analysis

Current Ratio

3.56x

Excellent liquidity position. The company can easily cover its short-term obligations with substantial cushion.

Debt-to-Equity Ratio

0.43x

Conservative capital structure. The company relies primarily on equity financing, indicating low financial risk.

Working Capital

1 B

Strong working capital position provides significant operational flexibility and financial cushion.

Asset Composition

82% Current

Asset-light business model with high liquidity. Majority of assets are easily convertible to cash.

Financial Health Insight

Strong financial foundation: Excellent liquidity combined with conservative leverage suggests the company is well-positioned to weather economic uncertainties and fund growth opportunities.

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Ubiquiti Inc. Street Expectations Map

UI ยท NYSE

Wall Street analysts project that UI stock may rise significantly over the coming 12 months. The consensus 1-year price target stands at 672.00, with estimates ranging from a low of 672.00 to a high of 672.00.

Lowest Target
672.00
16.64%
Consensus Target
672.00
16.64%
Highest Target
672.00
16.64%

The consensus 1-year price target stands at 672.00, with estimates ranging from a low of 672.00 to a high of 672.00.

Analyst Consensus Analysis

Upside Potential

+16.6%

Strong upside potential. Consensus indicates attractive return opportunity with favorable risk-reward profile.

Analyst Agreement

0.0% spread

High analyst agreement. Narrow target range indicates strong consensus on valuation, suggesting clear investment thesis and predictable outlook.

Analyst Conviction

Very High

Strong buy conviction: High upside with tight consensus suggests compelling investment opportunity backed by analyst confidence.

Market Sentiment Insight

Monitor and evaluate: Current analyst consensus suggests limited conviction or near-term catalysts. Stay informed on company developments and reassess positioning as new information emerges.

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Ubiquiti Inc. Insider Positioning

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During the last 12 months, insiders have sold $542K worth of UI shares, with no buying activity reported.

3 Months

Bought

0

0.00

Sold

500

340.26K

Net Activity

-340K

-$340K

3-6 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

6-9 Months

Bought

0

0.00

Sold

350

201.80K

Net Activity

-202K

-$202K

9-12 Months

Bought

0

0.00

Sold

0

0.00

Net Activity

+0

+$0

Top Buyers

No buying activity

Top Sellers

1
RK

Radigan Kevin

Officer: Chief Accounting Officer

850 sharesโ€ข2 transactions

$542K

Insider Activity Analysis

Net Insider Sentiment

Bearish

Strong bearish signal with $542K net selling. Heavy insider selling may indicate concerns about valuation or near-term prospects.

Buy/Sell Ratio

0.00:1

Very poor ratio. Heavy selling with minimal buying suggests insiders may be concerned about valuation or outlook.

Recent Trend (3 Months)

$340K

Heavy recent selling activity. Recent insider sales notably exceed purchasesโ€”may warrant investigation into company developments.

Insider Participation

High Selling

1 insider sellers vs. 0 buyers. Widespread selling across multiple insiders may signal concerns.

Insider Activity Insight

Persistent selling pressure: Consistent insider selling with weak buy/sell ratio suggests insiders may be capitalizing on current valuation. Exercise caution and review recent earnings quality and management commentary.

0.10%
Dividend Yield
-30%
3Y-54.0%
5Y-25.0%
10Y-
ย 

ui Dividend History

UI
10Y CAGR +16%
Latest $0.8
Annual $3.8
5 year growth trend
Last Period: +0%