📊 UI Key Takeaways
Is Ubiquiti Inc. (UI) a Good Investment?
Ubiquiti demonstrates exceptional financial health with fortress-like balance sheet, outstanding profitability (46.3% gross margin, 28.9% net margin), and exceptional capital returns (56.2% ROE, 39.4% ROA). However, flat revenue growth (+0.0% YoY) and absence of insider buying activity indicate a mature business generating strong cash flow rather than pursuing growth, limiting upside catalysts.
Ubiquiti Inc. Key Strengths (UI)
- Exceptional profitability with industry-leading gross margin of 46.3% and net margin of 28.9%
- Outstanding returns on equity (56.2%) and assets (39.4%) demonstrate highly efficient capital deployment
- Fortress balance sheet with minimal leverage (0.04x debt/equity), strong cash position ($368.7M), and excellent liquidity (3.56x current ratio)
- Outstanding free cash flow generation of $615.8M with 26.4% FCF margin, indicating high-quality earnings conversion
UI Stock Risks: Ubiquiti Inc. Investment Risks
- Flat revenue growth (+0.0% YoY) signals operational stagnation with no organic growth trajectory
- Zero insider Form 4 filings in past 90 days suggests limited insider confidence in near-term prospects
- Heavy reliance on margin maintenance and capital allocation (share buybacks) to drive EPS growth rather than revenue expansion
- Mature market dynamics in communications equipment sector with potential cyclicality and competitive pressures
Key Metrics to Watch
- Revenue growth rate and new product pipeline success
- Gross margin stability and cost inflation impacts
- Free cash flow conversion and capital allocation decisions
- Operating expense trends as percentage of revenue
- Market share in core networking/communications segments
Ubiquiti Inc. (UI) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The 26.4% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 3.56x current ratio provides a solid financial cushion.
UI Profit Margin, ROE & Profitability Analysis
UI vs Telecom Sector: How Ubiquiti Inc. Compares
How Ubiquiti Inc. compares to Telecom sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is Ubiquiti Inc. Stock Overvalued? UI Valuation Analysis 2026
Based on fundamental analysis, Ubiquiti Inc. appears fundamentally strong relative to the Telecom 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.
Ubiquiti Inc. Balance Sheet: UI Debt, Cash & Liquidity
UI Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: Ubiquiti Inc.'s revenue has grown significantly by 33% over the 5-year period, indicating strong business expansion. The most recent EPS of $6.74 reflects profitable operations.
UI Revenue Growth, EPS Growth & YoY Performance
UI Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2026 | $664.2M | $128.0M | $2.98 |
| Q2 2026 | $599.9M | $128.0M | $2.26 |
| Q1 2026 | $550.3M | $128.0M | $2.12 |
| Q3 2025 | $493.0M | $76.3M | $1.26 |
| Q2 2025 | $465.0M | $82.1M | $1.36 |
| Q1 2025 | $463.1M | $87.8M | $1.45 |
| Q3 2024 | $457.8M | $76.3M | $1.26 |
| Q2 2024 | $465.0M | $82.1M | $1.36 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
Ubiquiti Inc. Dividends, Buybacks & Capital Allocation
UI SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for Ubiquiti Inc. (CIK: 0001511737)
📋 Recent SEC Filings
❓ Frequently Asked Questions about UI
What is the AI rating for UI?
Ubiquiti Inc. (UI) has an AI grade of B with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are UI's key strengths?
Claude: Exceptional profitability with industry-leading gross margin of 46.3% and net margin of 28.9%. Outstanding returns on equity (56.2%) and assets (39.4%) demonstrate highly efficient capital deployment.
What are the risks of investing in UI?
Claude: Flat revenue growth (+0.0% YoY) signals operational stagnation with no organic growth trajectory. Zero insider Form 4 filings in past 90 days suggests limited insider confidence in near-term prospects.
What is UI's revenue and growth?
Ubiquiti Inc. reported revenue of $2.3B.
Does UI pay dividends?
Ubiquiti Inc. pays dividends, with $145.2M distributed to shareholders in the trailing twelve months.
Where can I find UI SEC filings?
Official SEC filings for Ubiquiti Inc. (CIK: 0001511737) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is UI's EPS?
Ubiquiti Inc. has a diluted EPS of $11.15.
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 UI's fundamental grade?
Based on our AI fundamental analysis in June 2026, Ubiquiti Inc. has a B grade with 72% confidence. Review the strengths and risks sections above for full context. This is not investment advice.
Is UI stock overvalued or undervalued?
Valuation metrics for UI: ROE of 56.2% (sector avg: 15%), net margin of 28.9% (sector avg: 14%). Higher ROE suggests strong returns relative to peers.
What is UI's AI grade for 2026?
Our dual AI analysis gives Ubiquiti Inc. a combined B grade for 2026. Revenue is data pending, with profitability above sector average. Always conduct your own research.
What is UI's free cash flow?
Ubiquiti Inc.'s operating cash flow is $630.1M, with capital expenditures of $14.4M. FCF margin is 26.4%.
How does UI compare to other Telecom stocks?
Vs Telecom sector averages: Net margin 28.9% (avg: 14%), ROE 56.2% (avg: 15%), current ratio 3.56 (avg: 1).
Why is UI's return on equity (ROE) so high?
Ubiquiti Inc. has a return on equity of 56.2%, significantly above the Telecom sector average of 15%. A high ROE indicates the company is efficient at generating profits from shareholder equity. This is supported by a 28.9% net margin.