📊 UCTT Key Takeaways
Is Ultra Clean Holdings, Inc. (UCTT) a Good Investment?
Ultra Clean Holdings exhibits severe operational distress with negative operating cash flow (-$33.3M), inability to service debt from operations (0.9x interest coverage), and deteriorating profitability (-$17.9M net loss, -597% YoY). While cash reserves of $323.5M provide temporary runway, the combination of declining revenue, razor-thin margins (2.1% operating), and unsustainable free cash flow burn (-$42.9M) indicates fundamental business challenges that threaten financial viability.
Ultra Clean Holdings, Inc. Key Strengths (UCTT)
- Strong cash position of $323.5M provides operational runway of 7-8 years at current burn rate
- Excellent short-term liquidity with 3.07x current ratio and 1.72x quick ratio
- Moderate leverage at 0.96x debt-to-equity with debt capacity remaining
UCTT Stock Risks: Ultra Clean Holdings, Inc. Investment Risks
- Critical: Interest coverage of 0.9x means company cannot cover debt service from operating income—unsustainable capital structure
- Negative operating cash flow of -$33.3M indicates structural operational dysfunction, not temporary cyclicality
- Free cash flow of -$42.9M is deeply negative and unsustainable; company is depleting reserves to maintain operations
- Revenue declining -2.1% with extremely thin gross margins (15.8%) showing pricing pressure and low competitiveness
- Unprofitable with -3.4% net margin; massive -597% YoY deterioration in net income signals accelerating distress
Key Metrics to Watch
- Operating Cash Flow (must turn positive to signal operational recovery)
- Interest Coverage Ratio (must exceed 1.2x minimum; currently critical at 0.9x)
- Free Cash Flow trend (determine if -$42.9M burn rate accelerates or improves)
- Gross Margin expansion (15.8% is dangerously low; needs 20%+ to sustain operations)
- Revenue stabilization (currently declining; need to show growth to justify debt load)
Ultra Clean Holdings, Inc. (UCTT) Financial Metrics & Key Ratios
💡 AI Analyst Insight
Strong liquidity with a 3.07x current ratio provides a solid financial cushion.
UCTT Profit Margin, ROE & Profitability Analysis
UCTT vs Technology Sector: How Ultra Clean Holdings, Inc. Compares
How Ultra Clean Holdings, Inc. compares to Technology sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Ultra Clean Holdings, Inc. Stock Overvalued? UCTT Valuation Analysis 2026
Based on fundamental analysis, Ultra Clean Holdings, Inc. shows some fundamental concerns relative to the Technology sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
Ultra Clean Holdings, Inc. Balance Sheet: UCTT Debt, Cash & Liquidity
UCTT Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Ultra Clean Holdings, Inc.'s revenue has grown significantly by 117% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.70 indicates the company is currently unprofitable.
UCTT Revenue Growth, EPS Growth & YoY Performance
UCTT Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $518.6M | -$5.0M | $-0.11 |
| Q3 2025 | $510.0M | -$2.3M | $-0.05 |
| Q2 2025 | $516.1M | $9.7M | $0.21 |
| Q1 2025 | $477.7M | -$5.0M | $-0.11 |
| Q3 2024 | $435.0M | -$2.3M | $-0.05 |
| Q2 2024 | $421.5M | -$9.4M | $-0.21 |
| Q1 2024 | $433.3M | -$3.4M | $-0.08 |
| Q3 2023 | $421.5M | $2.8M | $0.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Ultra Clean Holdings, Inc. Dividends, Buybacks & Capital Allocation
UCTT SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Ultra Clean Holdings, Inc. (CIK: 0001275014)
📋 Recent SEC Filings
❓ Frequently Asked Questions about UCTT
What is the AI rating for UCTT?
Ultra Clean Holdings, Inc. (UCTT) has an AI grade of D with 87% confidence, based on fundamental analysis of SEC EDGAR filings.
What are UCTT's key strengths?
Claude: Strong cash position of $323.5M provides operational runway of 7-8 years at current burn rate. Excellent short-term liquidity with 3.07x current ratio and 1.72x quick ratio.
What are the risks of investing in UCTT?
Claude: Critical: Interest coverage of 0.9x means company cannot cover debt service from operating income—unsustainable capital structure. Negative operating cash flow of -$33.3M indicates structural operational dysfunction, not temporary cyclicality.
What is UCTT's revenue and growth?
Ultra Clean Holdings, Inc. reported revenue of $533.7M.
Does UCTT pay dividends?
Ultra Clean Holdings, Inc. does not currently pay dividends.
Where can I find UCTT SEC filings?
Official SEC filings for Ultra Clean Holdings, Inc. (CIK: 0001275014) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is UCTT's EPS?
Ultra Clean Holdings, Inc. has a diluted EPS of $-0.40.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is UCTT's fundamental grade?
Based on our AI fundamental analysis in June 2026, Ultra Clean Holdings, Inc. has a D grade with 87% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is UCTT stock overvalued or undervalued?
Valuation metrics for UCTT: ROE of -2.9% (sector avg: 22%), net margin of -3.4% (sector avg: 18%). Compare these metrics with sector averages to assess valuation.
What is UCTT's AI grade for 2026?
Our dual AI analysis gives Ultra Clean Holdings, Inc. a combined D grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is UCTT's free cash flow?
Ultra Clean Holdings, Inc.'s operating cash flow is $-33.3M, with capital expenditures of $9.6M. FCF margin is -8.0%.
How does UCTT compare to other Technology stocks?
Vs Technology sector averages: Net margin -3.4% (avg: 18%), ROE -2.9% (avg: 22%), current ratio 3.07 (avg: 2.5).