UNIVERSAL TECHNICAL INSTITUT (UTI) Stock Fundamental Analysis
NYSE:UTI - New York Stock Exchange, Inc. - US9139151040 - Common Stock
Overall UTI gets a fundamental rating of 6 out of 10. We evaluated UTI against 71 industry peers in the Diversified Consumer Services industry. While UTI has a great profitability rating, there are some minor concerns on its financial health. UTI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, UTI could be worth investigating further for growth investing!.
1. Profitability
1.1 Basic Checks
In the past year UTI was profitable.
UTI had a positive operating cash flow in the past year.
Each year in the past 5 years UTI has been profitable.
Each year in the past 5 years UTI had a positive operating cash flow.
1.2 Ratios
The Return On Assets of UTI (5.11%) is better than 73.44% of its industry peers.
With a decent Return On Equity value of 14.62%, UTI is doing good in the industry, outperforming 76.56% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 8.10%, UTI is in the better half of the industry, outperforming 79.69% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for UTI is significantly below the industry average of 11.87%.
The 3 year average ROIC (5.11%) for UTI is below the current ROIC(8.10%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 14.62% | ||
| ROIC | 8.1% |
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
With a decent Profit Margin value of 5.19%, UTI is doing good in the industry, outperforming 64.06% of the companies in the same industry.
In the last couple of years the Profit Margin of UTI has grown nicely.
UTI's Operating Margin of 8.35% is fine compared to the rest of the industry. UTI outperforms 60.94% of its industry peers.
UTI's Operating Margin has improved in the last couple of years.
UTI has a Gross Margin of 54.28%. This is in the better half of the industry: UTI outperforms 68.75% of its industry peers.
UTI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 8.35% | ||
| PM (TTM) | 5.19% | ||
| GM | 54.28% |
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
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so UTI is destroying value.
Compared to 1 year ago, UTI has more shares outstanding
The number of shares outstanding for UTI has been increased compared to 5 years ago.
Compared to 1 year ago, UTI has an improved debt to assets ratio.
2.2 Solvency
UTI has an Altman-Z score of 3.13. This indicates that UTI is financially healthy and has little risk of bankruptcy at the moment.
UTI's Altman-Z score of 3.13 is fine compared to the rest of the industry. UTI outperforms 78.13% of its industry peers.
UTI has a debt to FCF ratio of 2.04. This is a good value and a sign of high solvency as UTI would need 2.04 years to pay back of all of its debts.
UTI has a Debt to FCF ratio of 2.04. This is in the better half of the industry: UTI outperforms 78.13% of its industry peers.
UTI has a Debt/Equity ratio of 0.47. This is a healthy value indicating a solid balance between debt and equity.
Looking at the Debt to Equity ratio, with a value of 0.47, UTI is doing worse than 60.94% of the companies in the same industry.
Even though the debt/equity ratio score it not favorable for UTI, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | 3.13 |
ROIC/WACC0.71
WACC11.36%
2.3 Liquidity
A Current Ratio of 1.08 indicates that UTI should not have too much problems paying its short term obligations.
UTI has a worse Current ratio (1.08) than 60.94% of its industry peers.
A Quick Ratio of 1.08 indicates that UTI should not have too much problems paying its short term obligations.
UTI's Quick ratio of 1.08 is in line compared to the rest of the industry. UTI outperforms 42.19% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 289.47% over the past year.
Measured over the past years, UTI shows a very strong growth in Earnings Per Share. The EPS has been growing by 28.35% on average per year.
The Revenue has grown by 20.63% in the past year. This is a very strong growth!
The Revenue has been growing by 17.19% on average over the past years. This is quite good.
EPS 1Y (TTM)289.47%
EPS 3Y28.35%
EPS 5YN/A
EPS Q2Q%240%
Revenue 1Y (TTM)20.63%
Revenue growth 3Y29.79%
Revenue growth 5Y17.19%
Sales Q2Q%15.3%
3.2 Future
The Earnings Per Share is expected to grow by 26.37% on average over the next years. This is a very strong growth
UTI is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.47% yearly.
EPS Next Y32.85%
EPS Next 2Y26.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year10.67%
Revenue Next 2Y9.47%
Revenue Next 3YN/A
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is stable: in the next years the growth will be about the same than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
UTI is valuated quite expensively with a Price/Earnings ratio of 35.92.
UTI's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.94. UTI is valued slightly more expensive when compared to this.
The Price/Forward Earnings ratio is 27.04, which means the current valuation is very expensive for UTI.
Compared to the rest of the industry, the Price/Forward Earnings ratio of UTI is on the same level as its industry peers.
Compared to an average S&P500 Price/Forward Earnings ratio of 24.11, UTI is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.92 | ||
| Fwd PE | 27.04 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of UTI is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, UTI is valued a bit cheaper than the industry average as 67.19% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.31 | ||
| EV/EBITDA | 15.47 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
UTI has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as UTI's earnings are expected to grow with 26.37% in the coming years.
PEG (NY)1.09
PEG (5Y)N/A
EPS Next 2Y26.37%
EPS Next 3YN/A
5. Dividend
5.1 Amount
UTI does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
UNIVERSAL TECHNICAL INSTITUT
NYSE:UTI (1/17/2025, 8:04:00 PM)
Premarket: 27.01 +0.43 (+1.62%)26.58
+0.58 (+2.23%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Services
GICS IndustryDiversified Consumer Services
Earnings (Last)
Earnings (Next)
Inst Owners86.06%
Inst Owner Change0.79%
Ins Owners2.15%
Ins Owner Change1.44%
Market Cap1.44B
Analysts82.22
Price Target26.86 (1.05%)
Short Float %2.33%
Short Ratio2.48
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly Dividend0.03
Dividend Growth(5Y)-34.43%
DP2.88%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)16.86%
Min EPS beat(2)12.21%
Max EPS beat(2)21.52%
EPS beat(4)3
Avg EPS beat(4)77.8%
Min EPS beat(4)-5.06%
Max EPS beat(4)282.54%
EPS beat(8)6
Avg EPS beat(8)79.08%
EPS beat(12)10
Avg EPS beat(12)262%
EPS beat(16)12
Avg EPS beat(16)192.99%
Revenue beat(2)2
Avg Revenue beat(2)1.68%
Min Revenue beat(2)1.67%
Max Revenue beat(2)1.68%
Revenue beat(4)4
Avg Revenue beat(4)2.26%
Min Revenue beat(4)1.67%
Max Revenue beat(4)2.93%
Revenue beat(8)8
Avg Revenue beat(8)3.63%
Revenue beat(12)11
Avg Revenue beat(12)3.79%
Revenue beat(16)13
Avg Revenue beat(16)2.46%
PT rev (1m)3.95%
PT rev (3m)24.41%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-17.3%
EPS NY rev (1m)0%
EPS NY rev (3m)4.1%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.09%
Revenue NY rev (1m)-0.07%
Revenue NY rev (3m)0.97%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 35.92 | ||
| Fwd PE | 27.04 | ||
| P/S | 1.96 | ||
| P/FCF | 23.31 | ||
| P/OCF | 16.72 | ||
| P/B | 5.52 | ||
| P/tB | 6.73 | ||
| EV/EBITDA | 15.47 |
EPS(TTM)0.74
EY2.78%
EPS(NY)0.98
Fwd EY3.7%
FCF(TTM)1.14
FCFY4.29%
OCF(TTM)1.59
OCFY5.98%
SpS13.56
BVpS4.82
TBVpS3.95
PEG (NY)1.09
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 5.11% | ||
| ROE | 14.62% | ||
| ROCE | 11.34% | ||
| ROIC | 8.1% | ||
| ROICexc | 11.57% | ||
| ROICexgc | 13.2% | ||
| OM | 8.35% | ||
| PM (TTM) | 5.19% | ||
| GM | 54.28% | ||
| FCFM | 8.41% |
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
ROICexcg growth 3Y41.64%
ROICexcg 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-Score7
Asset Turnover0.98
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.47 | ||
| Debt/FCF | 2.04 | ||
| Debt/EBITDA | 1.36 | ||
| Cap/Depr | 82.86% | ||
| Cap/Sales | 3.32% | ||
| Interest Coverage | 5.89 | ||
| Cash Conversion | 94.9% | ||
| Profit Quality | 161.89% | ||
| Current Ratio | 1.08 | ||
| Quick Ratio | 1.08 | ||
| Altman-Z | 3.13 |
F-Score7
WACC11.36%
ROIC/WACC0.71
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)289.47%
EPS 3Y28.35%
EPS 5YN/A
EPS Q2Q%240%
EPS Next Y32.85%
EPS Next 2Y26.37%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)20.63%
Revenue growth 3Y29.79%
Revenue growth 5Y17.19%
Sales Q2Q%15.3%
Revenue Next Year10.67%
Revenue Next 2Y9.47%
Revenue Next 3YN/A
Revenue Next 5YN/A
EBIT growth 1Y158.86%
EBIT growth 3Y58.11%
EBIT growth 5YN/A
EBIT Next Year109.36%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y917.26%
FCF growth 3YN/A
FCF growth 5Y32.12%
OCF growth 1Y74.77%
OCF growth 3Y15.89%
OCF growth 5Y31.61%