UNIVERSAL TECHNICAL INSTITUT (UTI) Stock Fundamental Analysis
USA - New York Stock Exchange - NYSE:UTI - US9139151040 - Common Stock
25.5 USD
-0.58 (-2.22%)
25.52 USD
+0.02 (+0.08%)
We assign a fundamental rating of 5 out of 10 to UTI. UTI was compared to 77 industry peers in the Diversified Consumer Services industry. While UTI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. UTI has a valuation in line with the averages, but it does not seem to be growing.
1. Profitability
1.1 Basic Checks
UTI had positive earnings in the past year.
In the past year UTI had a positive cash flow from operations.
UTI had positive earnings in 4 of the past 5 years.
Of the past 5 years UTI 4 years had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 8.52%, UTI is in the better half of the industry, outperforming 76.62% of the companies in the same industry.
UTI has a better Return On Equity (20.57%) than 87.01% of its industry peers.
UTI has a Return On Invested Capital of 10.86%. This is amongst the best in the industry. UTI outperforms 83.12% of its industry peers.
UTI had an Average Return On Invested Capital over the past 3 years of 5.11%. This is below the industry average of 9.42%.
The 3 year average ROIC (5.11%) for UTI is below the current ROIC(10.86%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.52% | ||
| ROE | 20.57% | ||
| ROIC | 10.86% |
ROA(3y)2.68%
ROA(5y)2.09%
ROE(3y)7.52%
ROE(5y)5.81%
ROIC(3y)5.11%
ROIC(5y)N/A
1.3 Margins
UTI's Profit Margin of 7.79% is fine compared to the rest of the industry. UTI outperforms 67.53% of its industry peers.
UTI's Profit Margin has improved in the last couple of years.
UTI has a Operating Margin of 10.44%. This is in the better half of the industry: UTI outperforms 67.53% of its industry peers.
In the last couple of years the Operating Margin of UTI has grown nicely.
With a Gross Margin value of 49.65%, UTI perfoms like the industry average, outperforming 53.25% of the companies in the same industry.
In the last couple of years the Gross Margin of UTI has declined.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 10.44% | ||
| PM (TTM) | 7.79% | ||
| GM | 49.65% |
OM growth 3Y21.82%
OM growth 5YN/A
PM growth 3Y23.23%
PM growth 5YN/A
GM growth 3Y-14.8%
GM growth 5Y-8.67%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), UTI is creating some value.
There is no outstanding debt for UTI. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
UTI has an Altman-Z score of 3.59. This indicates that UTI is financially healthy and has little risk of bankruptcy at the moment.
UTI's Altman-Z score of 3.59 is amongst the best of the industry. UTI outperforms 84.42% of its industry peers.
UTI has a debt to FCF ratio of 0.99. This is a very positive value and a sign of high solvency as it would only need 0.99 years to pay back of all of its debts.
With an excellent Debt to FCF ratio value of 0.99, UTI belongs to the best of the industry, outperforming 84.42% of the companies in the same industry.
UTI has a Debt/Equity ratio of 0.23. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.23, UTI perfoms like the industry average, outperforming 54.55% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.99 | ||
| Altman-Z | 3.59 |
ROIC/WACC1.29
WACC8.44%
2.3 Liquidity
A Current Ratio of 1.00 indicates that UTI should not have too much problems paying its short term obligations.
UTI has a Current ratio (1.00) which is in line with its industry peers.
A Quick Ratio of 1.00 indicates that UTI should not have too much problems paying its short term obligations.
The Quick ratio of UTI (1.00) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1 | ||
| Quick Ratio | 1 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 54.05% over the past year.
UTI shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 3.11% yearly.
EPS 1Y (TTM)54.05%
EPS 3Y3.11%
EPS 5YN/A
EPS Q2Q%0%
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%13.28%
3.2 Future
The Earnings Per Share is expected to decrease by -3.86% on average over the next years.
Based on estimates for the next years, UTI will show a quite strong growth in Revenue. The Revenue will grow by 8.52% on average per year.
EPS Next Y-18.25%
EPS Next 2Y-3.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year8.25%
Revenue Next 2Y8.52%
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.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 22.37, which indicates a rather expensive current valuation of UTI.
Compared to the rest of the industry, the Price/Earnings ratio of UTI is on the same level as its industry peers.
UTI is valuated at similar levels of the S&P average when we compare the Price/Earnings ratio to 26.46, which is the current average of the S&P500 Index.
With a Price/Forward Earnings ratio of 27.36, UTI can be considered very expensive at the moment.
UTI's Price/Forward Earnings is on the same level as the industry average.
UTI is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 36.10, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.37 | ||
| Fwd PE | 27.36 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UTI indicates a somewhat cheap valuation: UTI is cheaper than 61.04% of the companies listed in the same industry.
UTI's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. UTI is cheaper than 66.23% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 18.57 | ||
| EV/EBITDA | 10.88 |
4.3 Compensation for Growth
UTI has a very decent profitability rating, which may justify a higher PE ratio.
UTI's earnings are expected to decrease with -3.86% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-3.86%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for UTI!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
25.5
-0.58 (-2.22%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners94.95%
Inst Owner Change-1.21%
Ins Owners2.24%
Ins Owner Change0.28%
Market Cap1.39B
Revenue(TTM)N/A
Net Income(TTM)63.10M
Analysts81.82
Price Target38.18 (49.73%)
Short Float %3.85%
Short Ratio2.77
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.03
Dividend Growth(5Y)-34.43%
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)71.27%
Min EPS beat(2)69.26%
Max EPS beat(2)73.27%
EPS beat(4)4
Avg EPS beat(4)69.47%
Min EPS beat(4)12.21%
Max EPS beat(4)123.12%
EPS beat(8)7
Avg EPS beat(8)80.23%
EPS beat(12)10
Avg EPS beat(12)129.78%
EPS beat(16)14
Avg EPS beat(16)215.22%
Revenue beat(2)2
Avg Revenue beat(2)2.83%
Min Revenue beat(2)1.15%
Max Revenue beat(2)4.51%
Revenue beat(4)4
Avg Revenue beat(4)2.54%
Min Revenue beat(4)1.15%
Max Revenue beat(4)4.51%
Revenue beat(8)8
Avg Revenue beat(8)2.39%
Revenue beat(12)11
Avg Revenue beat(12)2.98%
Revenue beat(16)15
Avg Revenue beat(16)3.43%
PT rev (1m)0%
PT rev (3m)0%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-1.46%
EPS NY rev (1m)0%
EPS NY rev (3m)-0.58%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.04%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 22.37 | ||
| Fwd PE | 27.36 | ||
| P/S | 1.71 | ||
| P/FCF | 18.57 | ||
| P/OCF | 12.88 | ||
| P/B | 4.52 | ||
| P/tB | 5.32 | ||
| EV/EBITDA | 10.88 |
EPS(TTM)1.14
EY4.47%
EPS(NY)0.93
Fwd EY3.65%
FCF(TTM)1.37
FCFY5.38%
OCF(TTM)1.98
OCFY7.76%
SpS14.87
BVpS5.64
TBVpS4.79
PEG (NY)N/A
PEG (5Y)N/A
Graham Number12.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 8.52% | ||
| ROE | 20.57% | ||
| ROCE | 15.21% | ||
| ROIC | 10.86% | ||
| ROICexc | 13.78% | ||
| ROICexgc | 15.4% | ||
| OM | 10.44% | ||
| PM (TTM) | 7.79% | ||
| GM | 49.65% | ||
| FCFM | 9.23% |
ROA(3y)2.68%
ROA(5y)2.09%
ROE(3y)7.52%
ROE(5y)5.81%
ROIC(3y)5.11%
ROIC(5y)N/A
ROICexc(3y)7.05%
ROICexc(5y)N/A
ROICexgc(3y)7.97%
ROICexgc(5y)N/A
ROCE(3y)7.15%
ROCE(5y)N/A
ROICexgc growth 3Y41.64%
ROICexgc growth 5YN/A
ROICexc growth 3Y37.09%
ROICexc growth 5YN/A
OM growth 3Y21.82%
OM growth 5YN/A
PM growth 3Y23.23%
PM growth 5YN/A
GM growth 3Y-14.8%
GM growth 5Y-8.67%
F-Score6
Asset Turnover1.09
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.23 | ||
| Debt/FCF | 0.99 | ||
| Debt/EBITDA | 0.58 | ||
| Cap/Depr | 87.82% | ||
| Cap/Sales | 4.08% | ||
| Interest Coverage | 11.6 | ||
| Cash Conversion | 88.25% | ||
| Profit Quality | 118.43% | ||
| Current Ratio | 1 | ||
| Quick Ratio | 1 | ||
| Altman-Z | 3.59 |
F-Score6
WACC8.44%
ROIC/WACC1.29
Cap/Depr(3y)259.47%
Cap/Depr(5y)259.17%
Cap/Sales(3y)10.54%
Cap/Sales(5y)10.62%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)54.05%
EPS 3Y3.11%
EPS 5YN/A
EPS Q2Q%0%
EPS Next Y-18.25%
EPS Next 2Y-3.86%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)N/A
Revenue growth 3YN/A
Revenue growth 5YN/A
Sales Q2Q%13.28%
Revenue Next Year8.25%
Revenue Next 2Y8.52%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y85.69%
EBIT growth 3Y58.11%
EBIT growth 5YN/A
EBIT Next Year114.2%
EBIT Next 3Y30.39%
EBIT Next 5YN/A
FCF growth 1Y395.38%
FCF growth 3YN/A
FCF growth 5Y32.12%
OCF growth 1Y222.73%
OCF growth 3Y15.89%
OCF growth 5Y31.61%
UNIVERSAL TECHNICAL INSTITUT / UTI FAQ
What is the fundamental rating for UTI stock?
ChartMill assigns a fundamental rating of 5 / 10 to UTI.
Can you provide the valuation status for UNIVERSAL TECHNICAL INSTITUT?
ChartMill assigns a valuation rating of 4 / 10 to UNIVERSAL TECHNICAL INSTITUT (UTI). This can be considered as Fairly Valued.
Can you provide the profitability details for UNIVERSAL TECHNICAL INSTITUT?
UNIVERSAL TECHNICAL INSTITUT (UTI) has a profitability rating of 7 / 10.
What are the PE and PB ratios of UNIVERSAL TECHNICAL INSTITUT (UTI) stock?
The Price/Earnings (PE) ratio for UNIVERSAL TECHNICAL INSTITUT (UTI) is 22.37 and the Price/Book (PB) ratio is 4.52.
Can you provide the expected EPS growth for UTI stock?
The Earnings per Share (EPS) of UNIVERSAL TECHNICAL INSTITUT (UTI) is expected to decline by -18.25% in the next year.