Ubiquiti (NYSE:UI) Stock Jumps 12.7% Following Strong Earnings

Ubiquiti Inc. (NYSE:UI)’s stock price rose 12.7% during trading on Monday after the company announced better than expected quarterly earnings. The stock traded as high as $666.25 and last traded at $668.3150. 95,594 shares changed hands during trading, a decline of 18% from the average daily volume of 117,215 shares. The stock had previously closed at $592.84.

The company reported $5.32 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.25 by $1.07. Ubiquiti had a return on equity of 87.95% and a net margin of 30.08%. The firm had revenue of $1.03 billion during the quarter, compared to the consensus estimate of $977.45 million.

Ubiquiti Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Monday, November 23rd. Investors of record on Monday, November 16th will be given a dividend of $1.00 per share. This represents a $4.00 dividend on an annualized basis and a yield of 0.6%. The ex-dividend date of this dividend is Monday, November 16th. Ubiquiti’s dividend payout ratio is 22.59%.

Analyst Ratings Changes

Several analysts have issued reports on UI shares. Zacks Research upgraded Ubiquiti from a “hold” rating to a “strong-buy” rating in a research note on Friday, September 18th. Barclays boosted their price target on shares of Ubiquiti from $489.00 to $537.00 and gave the stock an “underweight” rating in a research report on Monday. BWS Financial reaffirmed a “buy” rating and set a $980.00 price objective on shares of Ubiquiti in a research note on Tuesday, September 29th. Finally, Weiss Ratings downgraded shares of Ubiquiti from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Friday, October 30th. One investment analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $758.50.

Hedge Funds Weigh In On Ubiquiti

A number of institutional investors and hedge funds have recently bought and sold shares of the stock. Valeo Financial Advisors LLC lifted its holdings in shares of Ubiquiti by 1.7% during the third quarter. Valeo Financial Advisors LLC now owns 1,076 shares of the company’s stock valued at $611,000 after acquiring an additional 18 shares during the period. Greenleaf Trust lifted its position in Ubiquiti by 4.3% during the 3rd quarter. Greenleaf Trust now owns 504 shares of the company’s stock valued at $286,000 after purchasing an additional 21 shares during the period. Fortitude Family Office LLC grew its stake in shares of Ubiquiti by 109.5% during the third quarter. Fortitude Family Office LLC now owns 44 shares of the company’s stock worth $25,000 after purchasing an additional 23 shares during the period. Choreo LLC raised its stake in Ubiquiti by 2.8% during the 3rd quarter. Choreo LLC now owns 880 shares of the company’s stock worth $500,000 after buying an additional 24 shares during the period. Finally, EverSource Wealth Advisors LLC increased its holdings in Ubiquiti by 20.8% during the 1st quarter. EverSource Wealth Advisors LLC now owns 145 shares of the company’s stock worth $115,000 after purchasing an additional 25 shares in the last quarter. Institutional investors own 4.00% of the company’s stock.

Ubiquiti Stock Performance

The company has a fifty day moving average price of $586.72 and a two-hundred day moving average price of $657.17. The company has a market cap of $40.55 billion, a P/E ratio of 37.79 and a beta of 1.34.

Ubiquiti Company Profile

Ubiquiti Inc develops and sells networking technology for businesses, service providers and consumers. Its products include wireless access points, routers, switches and broadband wireless equipment, along with network management software and security devices such as cameras and access control systems.

The company markets products under brands including UniFi, airMAX, EdgeMAX and AmpliFi. Its UniFi platform brings together networking, video surveillance and access control products with centralized management tools.

Founded in 2003 by Robert Pera, Ubiquiti serves customers globally through distributors, online channels and retail partners.