UCLOUDLINK GROUP INC (UCL)
US90354D1046 - ADR
We assign a fundamental rating of 5 out of 10 to UCL. UCL was compared to 22 industry peers in the Wireless Telecommunication Services industry. UCL has an average financial health and profitability rating. UCL has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
UCL had positive earnings in the past year.
In the past year UCL had a positive cash flow from operations.
In multiple years UCL reported negative net income over the last 5 years.
In multiple years UCL reported negative operating cash flow during the last 5 years.
1.2 Ratios
With an excellent Return On Assets value of 7.52%, UCL belongs to the best of the industry, outperforming 100.00% of the companies in the same industry.
UCL's Return On Equity of 22.02% is amongst the best of the industry. UCL outperforms 90.48% of its industry peers.
UCL has a Return On Invested Capital of 13.27%. This is amongst the best in the industry. UCL outperforms 95.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.52% | ||
| ROE | 22.02% | ||
| ROIC | 13.27% |
ROA(3y)-35.63%
ROA(5y)-34.15%
ROE(3y)-141.89%
ROE(5y)-106.95%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
The Profit Margin of UCL (5.02%) is better than 61.90% of its industry peers.
The Operating Margin of UCL (4.91%) is comparable to the rest of the industry.
UCL has a worse Gross Margin (51.69%) than 61.90% of its industry peers.
UCL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 4.91% | ||
| PM (TTM) | 5.02% | ||
| GM | 51.69% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y15.79%
GM growth 5Y6.05%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UCL is creating some value.
Compared to 1 year ago, UCL has about the same amount of shares outstanding.
The number of shares outstanding for UCL has been increased compared to 5 years ago.
UCL has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -2.59, we must say that UCL is in the distress zone and has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of -2.59, UCL is doing worse than 95.24% of the companies in the same industry.
The Debt to FCF ratio of UCL is 0.57, which is an excellent value as it means it would take UCL, only 0.57 years of fcf income to pay off all of its debts.
UCL's Debt to FCF ratio of 0.57 is amongst the best of the industry. UCL outperforms 95.24% of its industry peers.
UCL has a Debt/Equity ratio of 0.24. This is a healthy value indicating a solid balance between debt and equity.
With an excellent Debt to Equity ratio value of 0.24, UCL belongs to the best of the industry, outperforming 85.71% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | 0.57 | ||
| Altman-Z | -2.59 |
ROIC/WACC1.51
WACC8.81%
2.3 Liquidity
A Current Ratio of 1.34 indicates that UCL should not have too much problems paying its short term obligations.
UCL has a Current ratio (1.34) which is comparable to the rest of the industry.
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.
The Quick ratio of UCL (1.29) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.29 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an nice 10.00% over the past year.
Looking at the last year, UCL shows a quite strong growth in Revenue. The Revenue has grown by 19.69% in the last year.
The Revenue has been decreasing by -7.50% on average over the past years.
EPS 1Y (TTM)10%
EPS 3YN/A
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)19.69%
Revenue growth 3Y-1.52%
Revenue growth 5Y-7.5%
Sales Q2Q%5.57%
3.2 Future
The Earnings Per Share is expected to grow by 146.17% on average over the next years. This is a very strong growth
Based on estimates for the next years, UCL will show a quite strong growth in Revenue. The Revenue will grow by 17.25% on average per year.
EPS Next Y13.63%
EPS Next 2Y146.17%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year7.8%
Revenue Next 2Y17.25%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 26.36, the valuation of UCL can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of UCL indicates a somewhat cheap valuation: UCL is cheaper than 76.19% of the companies listed in the same industry.
When comparing the Price/Earnings ratio of UCL to the average of the S&P500 Index (27.83), we can say UCL is valued inline with the index average.
Based on the Price/Forward Earnings ratio of 5.98, the valuation of UCL can be described as very cheap.
UCL's Price/Forward Earnings ratio is rather cheap when compared to the industry. UCL is cheaper than 95.24% of the companies in the same industry.
UCL's Price/Forward Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 22.65.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 5.98 |
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 100.00% of the companies listed in the same industry.
UCL's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. UCL is cheaper than 76.19% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 13.42 | ||
| EV/EBITDA | 2.56 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
UCL's earnings are expected to grow with 146.17% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.93
PEG (5Y)N/A
EPS Next 2Y146.17%
EPS Next 3YN/A
5. Dividend
5.1 Amount
UCL does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
UCLOUDLINK GROUP INC
NASDAQ:UCL (12/18/2024, 8:00:01 PM)
After market: 2.98 +0.08 (+2.76%)2.9
+1.44 (+98.63%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap108.73M
Analysts
Price Target
Short Float %
Short Ratio
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
Avg EPS beat(4)
Min EPS beat(4)
Max EPS beat(4)
EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
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Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 26.36 | ||
| Fwd PE | 5.98 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)1.93
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 7.52% | ||
| ROE | 22.02% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | 4.91% | ||
| PM (TTM) | 5.02% | ||
| GM | 51.69% | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover1.5
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.24 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | 1.34 | ||
| Quick Ratio | 1.29 | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
High Growth Momentum
Growth
EPS 1Y (TTM)10%
EPS 3YN/A
EPS 5Y
EPS Q2Q%
EPS Next Y13.63%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)19.69%
Revenue growth 3Y-1.52%
Revenue growth 5Y
Sales Q2Q%
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y