UCLOUDLINK GROUP INC (UCL) Stock Fundamental Analysis
NASDAQ:UCL - Nasdaq - US90354D1046 - ADR - Currency: USD
Taking everything into account, UCL scores 4 out of 10 in our fundamental rating. UCL was compared to 21 industry peers in the Wireless Telecommunication Services industry. UCL has an average financial health and profitability rating. UCL does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
In the past year UCL was profitable.
In the past year UCL had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: UCL reported negative net income in multiple years.
The reported operating cash flow has been mixed in the past 5 years: UCL reported negative operating cash flow in multiple years.
1.2 Ratios
With an excellent Return On Assets value of 5.60%, UCL belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
UCL's Return On Equity of 16.48% is amongst the best of the industry. UCL outperforms 80.95% of its industry peers.
UCL's Return On Invested Capital of 8.96% is fine compared to the rest of the industry. UCL outperforms 71.43% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.6% | ||
| ROE | 16.48% | ||
| ROIC | 8.96% |
ROA(3y)-10.45%
ROA(5y)-33.28%
ROE(3y)-58.54%
ROE(5y)-103.86%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
UCL has a Profit Margin (3.81%) which is comparable to the rest of the industry.
UCL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 3.69%, UCL is in line with its industry, outperforming 42.86% of the companies in the same industry.
In the last couple of years the Operating Margin of UCL has declined.
UCL has a worse Gross Margin (47.75%) than 61.90% of its industry peers.
In the last couple of years the Gross Margin of UCL has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.69% | ||
| PM (TTM) | 3.81% | ||
| GM | 47.75% |
OM growth 3YN/A
OM growth 5Y-2.15%
PM growth 3YN/A
PM growth 5Y26.84%
GM growth 3Y17.9%
GM growth 5Y3.39%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so UCL is still creating some value.
Compared to 1 year ago, UCL has more shares outstanding
The number of shares outstanding for UCL has been increased compared to 5 years ago.
Compared to 1 year ago, UCL has a worse debt to assets ratio.
2.2 Solvency
Based on the Altman-Z score of -2.06, we must say that UCL is in the distress zone and has some risk of bankruptcy.
UCL's Altman-Z score of -2.06 is on the low side compared to the rest of the industry. UCL is outperformed by 90.48% of its industry peers.
The Debt to FCF ratio of UCL is 1.06, which is an excellent value as it means it would take UCL, only 1.06 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of UCL (1.06) is better than 95.24% of its industry peers.
UCL has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
UCL has a Debt to Equity ratio of 0.37. This is amongst the best in the industry. UCL outperforms 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.06 | ||
| Altman-Z | -2.06 |
ROIC/WACC1.06
WACC8.46%
2.3 Liquidity
A Current Ratio of 1.34 indicates that UCL should not have too much problems paying its short term obligations.
UCL's Current ratio of 1.34 is fine compared to the rest of the industry. UCL outperforms 61.90% of its industry peers.
A Quick Ratio of 1.28 indicates that UCL should not have too much problems paying its short term obligations.
UCL's Quick ratio of 1.28 is fine compared to the rest of the industry. UCL outperforms 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.28 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 200.00% over the past year.
UCL shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.89% yearly.
The Revenue has been growing slightly by 7.65% in the past year.
UCL shows a very negative growth in Revenue. Measured over the last years, the Revenue has been decreasing by -10.37% yearly.
EPS 1Y (TTM)200%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%-300%
Revenue 1Y (TTM)7.65%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%3.43%
3.2 Future
Based on estimates for the next years, UCL will show a very negative growth in Earnings Per Share. The EPS will decrease by -49.75% on average per year.
UCL is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 6.48% yearly.
EPS Next Y-91.58%
EPS Next 2Y-49.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year5.96%
Revenue Next 2Y6.48%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 20.33, UCL is valued on the expensive side.
61.90% of the companies in the same industry are more expensive than UCL, based on the Price/Earnings ratio.
UCL is valuated rather cheaply when we compare the Price/Earnings ratio to 27.29, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 60.40, the valuation of UCL can be described as expensive.
80.95% of the companies in the same industry are cheaper than UCL, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of UCL to the average of the S&P500 Index (21.74), we can say UCL is valued expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.33 | ||
| Fwd PE | 60.4 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UCL indicates a rather cheap valuation: UCL is cheaper than 85.71% of the companies listed in the same industry.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of UCL is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 9.2 | ||
| EV/EBITDA | 3.81 |
4.3 Compensation for Growth
UCL's earnings are expected to decrease with -49.75% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)5.23
EPS Next 2Y-49.75%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for UCL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:UCL (7/7/2025, 8:00:02 PM)
1.83
0 (0%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners17.57%
Inst Owner Change0%
Ins Owners8.51%
Ins Owner ChangeN/A
Market Cap68.87M
Analysts80
Price Target9.18 (401.64%)
Short Float %0.48%
Short Ratio0.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-320.79%
Min EPS beat(2)-692.08%
Max EPS beat(2)50.5%
EPS beat(4)3
Avg EPS beat(4)-61.88%
Min EPS beat(4)-692.08%
Max EPS beat(4)296.04%
EPS beat(8)5
Avg EPS beat(8)-31.19%
EPS beat(12)7
Avg EPS beat(12)-6.79%
EPS beat(16)9
Avg EPS beat(16)-86.94%
Revenue beat(2)2
Avg Revenue beat(2)2.1%
Min Revenue beat(2)2%
Max Revenue beat(2)2.2%
Revenue beat(4)3
Avg Revenue beat(4)0.14%
Min Revenue beat(4)-4.25%
Max Revenue beat(4)2.2%
Revenue beat(8)5
Avg Revenue beat(8)-1.13%
Revenue beat(12)6
Avg Revenue beat(12)-1.13%
Revenue beat(16)8
Avg Revenue beat(16)-0.79%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)100%
EPS NY rev (1m)116.67%
EPS NY rev (3m)116.67%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.22%
Revenue NY rev (1m)0%
Revenue NY rev (3m)1.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.33 | ||
| Fwd PE | 60.4 | ||
| P/S | 0.75 | ||
| P/FCF | 9.2 | ||
| P/OCF | 9.2 | ||
| P/B | 3.23 | ||
| P/tB | 3.3 | ||
| EV/EBITDA | 3.81 |
EPS(TTM)0.09
EY4.92%
EPS(NY)0.03
Fwd EY1.66%
FCF(TTM)0.2
FCFY10.87%
OCF(TTM)0.2
OCFY10.87%
SpS2.45
BVpS0.57
TBVpS0.55
PEG (NY)N/A
PEG (5Y)5.23
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.6% | ||
| ROE | 16.48% | ||
| ROCE | 15.43% | ||
| ROIC | 8.96% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 3.69% | ||
| PM (TTM) | 3.81% | ||
| GM | 47.75% | ||
| FCFM | 8.11% |
ROA(3y)-10.45%
ROA(5y)-33.28%
ROE(3y)-58.54%
ROE(5y)-103.86%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5Y-2.15%
PM growth 3YN/A
PM growth 5Y26.84%
GM growth 3Y17.9%
GM growth 5Y3.39%
F-Score6
Asset Turnover1.47
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 1.06 | ||
| Debt/EBITDA | 1.39 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 130.59% | ||
| Profit Quality | 212.95% | ||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.28 | ||
| Altman-Z | -2.06 |
F-Score6
WACC8.46%
ROIC/WACC1.06
Cap/Depr(3y)133.27%
Cap/Depr(5y)103.42%
Cap/Sales(3y)2.46%
Cap/Sales(5y)2.1%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)200%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%-300%
EPS Next Y-91.58%
EPS Next 2Y-49.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.65%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%3.43%
Revenue Next Year5.96%
Revenue Next 2Y6.48%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y229.65%
EBIT growth 3YN/A
EBIT growth 5Y-12.3%
EBIT Next Year25.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-28.6%
FCF growth 3YN/A
FCF growth 5Y12.11%
OCF growth 1Y-28.6%
OCF growth 3YN/A
OCF growth 5Y9.78%