Universal Electronics (NASDAQ:UEIC) Issues Earnings Results, Beats Estimates By $0.07 EPS

Universal Electronics (NASDAQ:UEIC) released its earnings results on Thursday. The technology company reported $0.17 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.10 by $0.07, FiscalAI reports. The company had revenue of $89.42 million during the quarter, compared to the consensus estimate of $76.97 million. Universal Electronics had a negative net margin of 4.57% and a positive return on equity of 2.70%.

Here are the key takeaways from Universal Electronics’ conference call:

• Third-quarter sales were $89.4 million, down 1.3% year over year but up 22% sequentially. Connected Home grew 13.4%, led by HVAC, while Home Entertainment fell as subscription-broadcast demand continued to decline.
• Adjusted gross margin fell to 26.3% from 29.1%, pressured by higher component costs and a stronger Chinese renminbi. The company says pricing adjustments and surcharges are expected to recover roughly three-quarters of identified inflation, with most benefits beginning in Q1 2027.
• Cost reductions helped adjusted non-GAAP operating expenses fall 20% to $19.9 million, while adjusted EPS rose to $0.17 from $0.08 a year ago. Further actions taken in August and October are expected to deliver about $2.5 million in annualized savings.
• UEI reaffirmed its fiscal 2026 adjusted EPS guidance of $0.45–$0.65, after delivering $0.42 through nine months. Cash increased $9.1 million year to date to $41.4 million, and borrowings under credit lines declined; management expects inventory to build modestly in Q4 as it secures materials for 2027.

Universal Electronics Price Performance

UEIC traded down $0.32 during midday trading on Thursday, hitting $4.86. 135,446 shares of the company’s stock traded hands, compared to its average volume of 57,959. The company has a market cap of $62.65 million, a PE ratio of -4.19 and a beta of 1.30. The stock’s fifty day simple moving average is $5.10 and its 200-day simple moving average is $4.48. Universal Electronics has a one year low of $2.69 and a one year high of $5.99.

Wall Street Analysts Forecast Growth

A number of research firms have recently weighed in on UEIC. Rosenblatt Securities reaffirmed a “neutral” rating and issued a $5.00 price target on shares of Universal Electronics in a research note on Friday, August 7th. Wall Street Zen cut Universal Electronics from a “strong-buy” rating to a “buy” rating in a research report on Sunday. Zacks Research raised Universal Electronics to a “hold” rating in a research report on Monday, October 5th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Universal Electronics in a research note on Friday, September 18th. Three research analysts have rated the stock with a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock presently has an average rating of “Reduce” and a consensus price target of $4.25.

Insider Buying and Selling

In other news, insider Toro 18 Holdings Llc sold 105,541 shares of the stock in a transaction on Friday, September 11th. The shares were sold at an average price of $4.63, for a total transaction of $488,654.83. Following the transaction, the insider owned 1,101,832 shares in the company, valued at $5,101,482.16. This represents a 8.74% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders have sold 442,815 shares of company stock valued at $2,201,304 over the last ninety days. Insiders own 17.10% of the company’s stock.

About Universal Electronics

Universal Electronics Inc (NASDAQ: UEIC) designs, develops and distributes consumer electronics products and technologies that simplify the control of home entertainment and smart-home devices. Its offerings include universal remote controls, wireless home-control products, audio and video accessories, and related software and connected-device solutions.

The company serves original equipment manufacturers, subscription television providers, retailers and consumers. Its products are marketed under the One For All and other company brands, as well as through private-label and licensed-brand arrangements.