UCLOUDLINK GROUP INC (UCL) Stock Fundamental Analysis
USA - NASDAQ:UCL - US90354D1046 - ADR
2.49 USD
-0.07 (-2.79%)
We assign a fundamental rating of 3 out of 10 to UCL. UCL was compared to 22 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.
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
The Return On Assets of UCL (3.02%) is better than 63.64% of its industry peers.
The Return On Equity of UCL (8.70%) is comparable to the rest of the industry.
Looking at the Return On Invested Capital, with a value of 5.00%, UCL is in line with its industry, outperforming 59.09% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.02% | ||
| ROE | 8.7% | ||
| ROIC | 5% |
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 (2.19%) which is comparable to the rest of the industry.
UCL's Profit Margin has improved in the last couple of years.
UCL has a Operating Margin of 2.19%. This is in the lower half of the industry: UCL underperforms 77.27% of its industry peers.
In the last couple of years the Operating Margin of UCL has declined.
UCL has a Gross Margin (48.48%) which is in line with its industry peers.
UCL's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 2.19% | ||
| PM (TTM) | 2.19% | ||
| GM | 48.48% |
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), UCL is destroying value.
Compared to 1 year ago, UCL has more shares outstanding
UCL has more shares outstanding than it did 5 years ago.
UCL has a worse debt/assets ratio than last year.
2.2 Solvency
Based on the Altman-Z score of -1.66, we must say that UCL is in the distress zone and has some risk of bankruptcy.
The Altman-Z score of UCL (-1.66) is worse than 86.36% of its industry peers.
UCL has a debt to FCF ratio of 4.22. This is a neutral value as UCL would need 4.22 years to pay back of all of its debts.
The Debt to FCF ratio of UCL (4.22) is better than 81.82% of its industry peers.
UCL has a Debt/Equity ratio of 0.35. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.35, UCL belongs to the top of the industry, outperforming 90.91% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 4.22 | ||
| Altman-Z | -1.66 |
ROIC/WACC0.6
WACC8.32%
2.3 Liquidity
UCL has a Current Ratio of 1.37. This is a normal value and indicates that UCL is financially healthy and should not expect problems in meeting its short term obligations.
UCL's Current ratio of 1.37 is fine compared to the rest of the industry. UCL outperforms 63.64% of its industry peers.
A Quick Ratio of 1.26 indicates that UCL should not have too much problems paying its short term obligations.
The Quick ratio of UCL (1.26) is better than 63.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.26 |
3. Growth
3.1 Past
The earnings per share for UCL have decreased strongly by -54.55% in the last 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.
Looking at the last year, UCL shows a small growth in Revenue. The Revenue has grown by 3.72% in the last year.
The Revenue for UCL have been decreasing by -10.37% on average. This is quite bad
EPS 1Y (TTM)-54.55%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%-66.67%
Revenue 1Y (TTM)3.72%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%-13.33%
3.2 Future
The Earnings Per Share is expected to decrease by -49.75% on average over the next years. This is quite bad
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 Year-6.18%
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
UCL is valuated quite expensively with a Price/Earnings ratio of 49.80.
UCL's Price/Earnings ratio is a bit more expensive when compared to the industry. UCL is more expensive than 63.64% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 27.20, UCL is valued quite expensively.
The Price/Forward Earnings ratio is 82.18, which means the current valuation is very expensive for UCL.
UCL's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. UCL is more expensive than 72.73% of the companies in the same industry.
UCL is valuated expensively when we compare the Price/Forward Earnings ratio to 22.70, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.8 | ||
| Fwd PE | 82.18 |
4.2 Price Multiples
UCL's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. UCL is more expensive than 63.64% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, UCL is valued a bit more expensive than 72.73% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 49.63 | ||
| EV/EBITDA | 11.45 |
4.3 Compensation for Growth
A cheap valuation may be justified as UCL's earnings are expected to decrease with -49.75% in the coming years.
PEG (NY)N/A
PEG (5Y)12.82
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 (9/18/2025, 4:30:02 PM)
2.49
-0.07 (-2.79%)
Chartmill FA Rating
GICS SectorCommunication Services
GICS IndustryGroupTelecommunication Services
GICS IndustryWireless Telecommunication Services
Earnings (Last)
Earnings (Next)
Inst Owners17.57%
Inst Owner Change-14.13%
Ins Owners8.51%
Ins Owner ChangeN/A
Market Cap93.71M
Analysts80
Price Target8.16 (227.71%)
Short Float %0.27%
Short Ratio0.04
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)24.75%
Min EPS beat(2)-0.99%
Max EPS beat(2)50.5%
EPS beat(4)2
Avg EPS beat(4)-136.14%
Min EPS beat(4)-692.08%
Max EPS beat(4)98.02%
EPS beat(8)5
Avg EPS beat(8)-6.44%
EPS beat(12)7
Avg EPS beat(12)-5.65%
EPS beat(16)8
Avg EPS beat(16)-89.12%
Revenue beat(2)1
Avg Revenue beat(2)-7.3%
Min Revenue beat(2)-16.59%
Max Revenue beat(2)2%
Revenue beat(4)2
Avg Revenue beat(4)-4.16%
Min Revenue beat(4)-16.59%
Max Revenue beat(4)2.2%
Revenue beat(8)4
Avg Revenue beat(8)-3.27%
Revenue beat(12)5
Avg Revenue beat(12)-2.9%
Revenue beat(16)7
Avg Revenue beat(16)-1.97%
PT rev (1m)-11.11%
PT rev (3m)-11.11%
EPS NQ rev (1m)-66.67%
EPS NQ rev (3m)-66.67%
EPS NY rev (1m)0%
EPS NY rev (3m)116.67%
Revenue NQ rev (1m)-16.6%
Revenue NQ rev (3m)-16.6%
Revenue NY rev (1m)-11.45%
Revenue NY rev (3m)-11.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.8 | ||
| Fwd PE | 82.18 | ||
| P/S | 1.05 | ||
| P/FCF | 49.63 | ||
| P/OCF | 49.63 | ||
| P/B | 4.17 | ||
| P/tB | 4.27 | ||
| EV/EBITDA | 11.45 |
EPS(TTM)0.05
EY2.01%
EPS(NY)0.03
Fwd EY1.22%
FCF(TTM)0.05
FCFY2.01%
OCF(TTM)0.05
OCFY2.01%
SpS2.37
BVpS0.6
TBVpS0.58
PEG (NY)N/A
PEG (5Y)12.82
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.02% | ||
| ROE | 8.7% | ||
| ROCE | 8.53% | ||
| ROIC | 5% | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | 2.19% | ||
| PM (TTM) | 2.19% | ||
| GM | 48.48% | ||
| FCFM | 2.11% |
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-Score4
Asset Turnover1.38
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.35 | ||
| Debt/FCF | 4.22 | ||
| Debt/EBITDA | 1.86 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 44.05% | ||
| Profit Quality | 96.67% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 1.26 | ||
| Altman-Z | -1.66 |
F-Score4
WACC8.32%
ROIC/WACC0.6
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)-54.55%
EPS 3YN/A
EPS 5Y3.89%
EPS Q2Q%-66.67%
EPS Next Y-91.58%
EPS Next 2Y-49.75%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)3.72%
Revenue growth 3Y7.48%
Revenue growth 5Y-10.37%
Sales Q2Q%-13.33%
Revenue Next Year-6.18%
Revenue Next 2Y6.48%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y-53.65%
EBIT growth 3YN/A
EBIT growth 5Y-12.3%
EBIT Next Year25.81%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-83.5%
FCF growth 3YN/A
FCF growth 5Y12.11%
OCF growth 1Y-83.5%
OCF growth 3YN/A
OCF growth 5Y9.78%