Stock Updates

Is this Large Market Cap Stock target price reasonable for Ubiquiti Networks, Inc. (NASDAQ:UBNT)?

The company in question is, Ubiquiti Networks, Inc. (NASDAQ:UBNT) currently with a stock price of 49.42 (-0.10% today). The market cap for Ubiquiti Networks, Inc. is 4080.29, and is in the sector Technology, and Wireless Communications industry. The target price for Ubiquiti Networks, Inc. is 41.75. Currently Ubiquiti Networks, Inc. is trading with a P/E of 19.84, and a forward P/E of 16.34. Average volume for Ubiquiti Networks, Inc. is 438.94 and so far today it is 276024.

Performance in the last year for Ubiquiti Networks, Inc. has been 41.99%. For EPS growth, Ubiquiti Networks, Inc. has seen a growth of 72.00%, and is looking to grow in the next year to 8.92%. More long term stats show that EPS growth has been 114.90% over the last five years and could be 6.00% for the next five years. Ubiquiti Networks, Inc. has seen sales growth quarter over quarter at 27.80%, with EPS growth quarter over quarter at 1177.20%. The 20-day simple moving average is -4.91%, with the 200-day simple moving average coming to 25.44%.

Since the IPO date for Ubiquiti Networks, Inc. on the 10/14/2011, Ubiquiti Networks, Inc. has seen performance year to date to be 56.11%. With Ubiquiti Networks, Inc. trading at 49.42, the dividend yield is *TBA, and the EPS is 2.49.

So could Ubiquiti Networks, Inc., be undervalued? Well as said before P/E is 19.84. The PEG is 3.31, P/S is 6.12 and the P/B is at 9.26. The P/cash is 7.41, with P/free cash flow at 21.33.

Ubiquiti Networks, Inc. ability to deal with debt shows that the current ratio is 8, and the quick ratio is 7.4. This is with long term debt/equity at 0.44, and total debt/equity at 0.46.

In terms of margins, Ubiquiti Networks, Inc. has a gross margin of 48.70%, an operating margin of 36.30% and a profit margin of 32.10%.Payout ratio for Ubiquiti Networks, Inc. is 0.00%. Return on assets come to 32.50% with return on investment coming to 33.50%.

Insider ownership for Ubiquiti Networks, Inc., is at 0.10% and institutional ownership comes to 32.40%. Outstanding shares are at 82.48. While shares float is 24.47. The float short is currently 32.03%, and short ratio is 17.86.

Disclaimer: Remember there is a risk to your investment, this is not a recommendation, nor personal advice, never invest more than you are able too loose.

About the author

Stephen Butters

Leave a Comment