UCLOUDLINK GROUP INC (UCL) Stock Fundamental Analysis
NASDAQ:UCL - Nasdaq - US90354D1046 - ADR - Currency: USD
UCL gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 21 industry peers in the Wireless Telecommunication Services industry. UCL has only an average score on both its financial health and profitability. UCL does not seem to be growing, but still is valued expensively.
1. Profitability
1.1 Basic Checks
UCL had positive earnings in the past year.
UCL had a positive operating cash flow in the past year.
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
UCL has a Return On Assets of 7.01%. This is amongst the best in the industry. UCL outperforms 95.24% of its industry peers.
The Return On Equity of UCL (21.08%) is better than 90.48% of its industry peers.
Looking at the Return On Invested Capital, with a value of 11.64%, UCL belongs to the top of the industry, outperforming 95.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.01% | ||
| ROE | 21.08% | ||
| ROIC | 11.64% |
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's Profit Margin of 4.97% is fine compared to the rest of the industry. UCL outperforms 61.90% of its industry peers.
UCL's Profit Margin has improved in the last couple of years.
Looking at the Operating Margin, with a value of 4.79%, 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's Gross Margin of 48.41% is on the low side compared to the rest of the industry. UCL is outperformed by 61.90% of its industry peers.
UCL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.79% | ||
| PM (TTM) | 4.97% | ||
| GM | 48.41% |
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
UCL has a Return on Invested Capital (ROIC), which is just above the Cost of Capital (WACC), which means it is creating some value.
The number of shares outstanding for UCL has been increased compared to 1 year ago.
UCL has more shares outstanding than it did 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 -2.34, we must say that UCL is in the distress zone and has some risk of bankruptcy.
UCL has a Altman-Z score of -2.34. This is amonst the worse of the industry: UCL underperforms 90.48% of its industry peers.
UCL has a debt to FCF ratio of 1.34. This is a very positive value and a sign of high solvency as it would only need 1.34 years to pay back of all of its debts.
UCL's Debt to FCF ratio of 1.34 is amongst the best of the industry. UCL outperforms 95.24% of its industry peers.
A Debt/Equity ratio of 0.32 indicates that UCL is not too dependend on debt financing.
UCL has a better Debt to Equity ratio (0.32) than 85.71% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.34 | ||
| Altman-Z | -2.34 |
ROIC/WACC1.44
WACC8.09%
2.3 Liquidity
UCL has a Current Ratio of 1.32. This is a normal value and indicates that UCL is financially healthy and should not expect problems in meeting its short term obligations.
UCL has a Current ratio of 1.32. This is in the better half of the industry: UCL outperforms 61.90% of its industry peers.
UCL has a Quick Ratio of 1.29. This is a normal value and indicates that UCL is financially healthy and should not expect problems in meeting its short term obligations.
UCL has a Quick ratio of 1.29. This is in the better half of the industry: UCL outperforms 66.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 50.00% over the past year.
Measured over the past 5 years, UCL shows a small growth in Earnings Per Share. The EPS has been growing by 3.89% on average per year.
UCL shows a small growth in Revenue. In the last year, the Revenue has grown by 7.07%.
The Revenue for UCL have been decreasing by -10.37% on average. This is quite bad
EPS 1Y (TTM)50%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%20%
Revenue 1Y (TTM)7.07%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%19.47%
3.2 Future
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
EPS Next Y-150.5%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year4.8%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
No EPS estimates are available, so we could not analyze the future EPS growth and evolution.
No Revenue estimates are available, so we could not analyze the future revenue growth and evolution.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 8.96, the valuation of UCL can be described as very reasonable.
UCL's Price/Earnings ratio is rather cheap when compared to the industry. UCL is cheaper than 80.95% of the companies in the same industry.
UCL's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 28.78.
UCL is expected to report negative earnings next year, which makes the Forward Price/Earnings Ratio negative.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | N/A |
4.2 Price Multiples
61.90% of the companies in the same industry are more expensive than UCL, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.8 | ||
| EV/EBITDA | -1.04 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.31
EPS Next 2YN/A
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for UCL!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
1.075
+0.05 (+4.88%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners17.72%
Inst Owner Change0%
Ins Owners8.65%
Ins Owner ChangeN/A
Market Cap40.46M
Analysts80
Price Target9.18 (753.95%)
Short Float %0.81%
Short Ratio0.36
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)-297.03%
Min EPS beat(2)-692.08%
Max EPS beat(2)98.02%
EPS beat(4)3
Avg EPS beat(4)-24.75%
Min EPS beat(4)-692.08%
Max EPS beat(4)296.04%
EPS beat(8)5
Avg EPS beat(8)-8.5%
EPS beat(12)6
Avg EPS beat(12)-48.86%
EPS beat(16)N/A
Avg EPS beat(16)N/A
Revenue beat(2)1
Avg Revenue beat(2)-1.03%
Min Revenue beat(2)-4.25%
Max Revenue beat(2)2.2%
Revenue beat(4)3
Avg Revenue beat(4)-0.29%
Min Revenue beat(4)-4.25%
Max Revenue beat(4)2.2%
Revenue beat(8)4
Avg Revenue beat(8)-1.47%
Revenue beat(12)6
Avg Revenue beat(12)-1.15%
Revenue beat(16)N/A
Avg Revenue beat(16)N/A
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)N/A
EPS NY rev (1m)0%
EPS NY rev (3m)-120.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)-8.9%
Revenue NY rev (3m)-8.9%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 8.96 | ||
| Fwd PE | N/A | ||
| P/S | 0.44 | ||
| P/FCF | 7.8 | ||
| P/OCF | 4.4 | ||
| P/B | 1.87 | ||
| P/tB | 1.92 | ||
| EV/EBITDA | -1.04 |
EPS(TTM)0.12
EY11.16%
EPS(NY)-0.06
Fwd EYN/A
FCF(TTM)0.14
FCFY12.82%
OCF(TTM)0.24
OCFY22.71%
SpS2.43
BVpS0.57
TBVpS0.56
PEG (NY)N/A
PEG (5Y)2.31
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.01% | ||
| ROE | 21.08% | ||
| ROCE | 19.23% | ||
| ROIC | 11.64% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 4.79% | ||
| PM (TTM) | 4.97% | ||
| GM | 48.41% | ||
| FCFM | 5.66% |
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 Turnover1.41
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.32 | ||
| Debt/FCF | 1.34 | ||
| Debt/EBITDA | 1.04 | ||
| Cap/Depr | 171.74% | ||
| Cap/Sales | 4.36% | ||
| Interest Coverage | 22.37 | ||
| Cash Conversion | 136.84% | ||
| Profit Quality | 113.82% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z | -2.34 |
F-Score6
WACC8.09%
ROIC/WACC1.44
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)50%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%20%
EPS Next Y-150.5%
EPS Next 2YN/A
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)7.07%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%19.47%
Revenue Next Year4.8%
Revenue Next 2YN/A
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y69.9%
EBIT growth 3YN/A
EBIT growth 5Y-12.3%
EBIT Next Year25.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y16.79%
FCF growth 3YN/A
FCF growth 5Y12.11%
OCF growth 1Y41.17%
OCF growth 3YN/A
OCF growth 5Y9.78%