Ubiquiti (NYSE:UI) Upgraded to “Buy” at Wall Street Zen

Wall Street Zen upgraded shares of Ubiquiti (NYSE:UI) from a hold rating to a buy rating in a research note released on Saturday morning.

UI has been the topic of a number of other research reports. Weiss Ratings reissued a “hold (c+)” rating on shares of Ubiquiti in a report on Monday, December 29th. Barclays set a $527.00 price target on shares of Ubiquiti and gave the company an “underweight” rating in a research note on Friday. Zacks Research raised shares of Ubiquiti from a “hold” rating to a “strong-buy” rating in a report on Wednesday, December 3rd. Finally, BWS Financial reaffirmed a “buy” rating and set a $720.00 price objective on shares of Ubiquiti in a report on Thursday, January 15th. One investment analyst has rated the stock with a Strong Buy rating, one has given a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $615.67.

Ubiquiti Trading Up 7.8%

NYSE UI opened at $620.89 on Friday. Ubiquiti has a 1-year low of $255.00 and a 1-year high of $803.59. The company has a market capitalization of $37.56 billion, a price-to-earnings ratio of 42.29 and a beta of 1.40. The stock’s 50 day moving average is $563.82 and its two-hundred day moving average is $580.08.

Ubiquiti (NYSE:UI) last posted its earnings results on Friday, February 6th. The company reported $3.88 earnings per share for the quarter, topping the consensus estimate of $3.08 by $0.80. The business had revenue of $814.87 million for the quarter, compared to analyst estimates of $716.95 million. Ubiquiti had a net margin of 28.72% and a return on equity of 132.71%. The firm’s quarterly revenue was up 35.8% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $2.28 EPS. On average, analysts predict that Ubiquiti will post 7.21 earnings per share for the current year.

Ubiquiti Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Monday, February 23rd. Stockholders of record on Tuesday, February 17th will be paid a $0.80 dividend. The ex-dividend date of this dividend is Tuesday, February 17th. This represents a $3.20 dividend on an annualized basis and a dividend yield of 0.5%. Ubiquiti’s dividend payout ratio is 24.46%.

Insider Activity at Ubiquiti

In related news, CAO Kevin Radigan sold 350 shares of Ubiquiti stock in a transaction on Wednesday, November 12th. The stock was sold at an average price of $576.58, for a total transaction of $201,803.00. Following the completion of the sale, the chief accounting officer directly owned 2,768 shares of the company’s stock, valued at $1,595,973.44. The trade was a 11.23% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 93.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Ubiquiti

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Wealth Enhancement Advisory Services LLC increased its stake in shares of Ubiquiti by 244.3% in the 4th quarter. Wealth Enhancement Advisory Services LLC now owns 155,916 shares of the company’s stock valued at $88,815,000 after acquiring an additional 110,632 shares during the last quarter. M&T Bank Corp increased its stake in Ubiquiti by 7,845.7% in the fourth quarter. M&T Bank Corp now owns 98,527 shares of the company’s stock valued at $54,520,000 after purchasing an additional 97,287 shares in the last quarter. Long Walk Management LP bought a new stake in Ubiquiti in the second quarter valued at approximately $28,480,000. Capital World Investors raised its holdings in Ubiquiti by 315.9% in the third quarter. Capital World Investors now owns 86,086 shares of the company’s stock worth $56,867,000 after purchasing an additional 65,386 shares during the period. Finally, Arrowstreet Capital Limited Partnership boosted its position in shares of Ubiquiti by 47.4% during the third quarter. Arrowstreet Capital Limited Partnership now owns 163,960 shares of the company’s stock worth $108,309,000 after purchasing an additional 52,744 shares in the last quarter. Institutional investors own 4.00% of the company’s stock.

Key Headlines Impacting Ubiquiti

Here are the key news stories impacting Ubiquiti this week:

• Positive Sentiment: Ubiquiti reported robust Q2 fiscal 2026 results — GAAP EPS ~$3.86–3.88 and revenue $814.9M, well above consensus; revenue rose ~36% YoY and margins/ROE remain strong. This beat drove initial buying interest. BusinessWire: Ubiquiti Inc. Reports Second Quarter Fiscal 2026 Financial Results
• Positive Sentiment: The board declared a $0.80 per‑share cash dividend (record Feb 17, pay Feb 23), signaling capital return and supporting investor sentiment despite a modest yield. Press Release: Q2 Results and Dividend
• Positive Sentiment: An independent outlet (Wall Street Zen) upgraded Ubiquiti to a Buy, which can reinforce momentum from the earnings beat. American Banking News: Rating Increased to Buy at Wall Street Zen
• Neutral Sentiment: Market coverage noted a ~5% intraday jump after the results — reflects rapid repricing on the earnings surprise rather than new fundamental information. Investing.com: Ubiquiti shares rise 5% as earnings soar past estimates
• Negative Sentiment: Ax Wireless filed a complaint with the U.S. International Trade Commission against Ubiquiti, introducing potential litigation risk that could lead to import bans or royalties depending on outcome — a clear catalyst for downside volatility. Yahoo Finance: Ubiquiti discloses complaint with ITC filed by Ax Wireless
• Negative Sentiment: Several “bear case” commentary pieces have surfaced raising concerns about valuation, concentration and legal/regulatory risks — these narratives can pressure the stock if they gain traction with investors. Yahoo Finance: Ubiquiti Inc. (UI): A Bear Case Theory

About Ubiquiti

Ubiquiti Inc (NYSE: UI) is a U.S.-based technology company that designs and sells networking and wireless communication products for enterprise, service provider and consumer markets. Its product portfolio includes Wi‑Fi access points, routers and gateways, managed Ethernet switches, network management software, and IP surveillance systems. Ubiquiti’s offerings are organized under several well‑known lines—most notably UniFi for managed LAN/Wi‑Fi and networked video, AmpliFi for consumer Wi‑Fi, and product families targeting service‑provider and point‑to‑point wireless broadband applications.

The company emphasizes integrated hardware and software solutions, with centralized management and cloud‑enabled control as core features of its platform approach.