Universal Technical Institute (UTI) Fundamental Analysis: Revenue, Earnings & Valuation

7.28 / 10

Outperform

UTI's fundamental score of 7.3/10 reflects strong asset, revenue, and profit metrics, along with healthy cash flow and profitability (49.7% gross margin). However, the long-term debt to working capital ratio of 15.8% is a notable concern, as it places the company in a lower-performing group historically. Factors such as Asset-MV, Cash-UP, and Gross profit margin contribute positively, while Long-term debt to working capital drags slightly. Overall, the balance of strengths and weaknesses leads to an Outperform rating with a solid but not outstanding fundamental stance.

Analysis Checks(9/10)

Revenue-MV

Value0.16

Score2/3

Weight0.90%

1M Return0.46%

Gross profit margin (%)

Value49.68

Score3/3

Weight14.84%

1M Return7.34%

Equity ratio (Total liabilities / Shareholders’ equity attributable to parent company) (%)

Value1.52

Score2/3

Weight0.89%

1M Return0.43%

Profit-MV

Value-0.91

Score3/3

Weight27.75%

1M Return9.48%

Non-current assets / Total assets (%)

Value70.15

Score3/3

Weight13.77%

1M Return6.63%

Cash-UP

Value0.76

Score2/3

Weight-4.29%

1M Return-3.63%

Long-term debt to working capital ratio (%)

Value15.82

Score1/3

Weight-0.98%

1M Return-0.53%

Cost of sales ratio (%)

Value50.32

Score3/3

Weight14.17%

1M Return6.94%

Asset-MV

Value-0.50

Score2/3

Weight19.08%

1M Return8.74%

Current assets / Total assets (%)

Value29.85

Score3/3

Weight13.87%

1M Return6.69%

Is UTI fundamentally strong?

UTI scores 7.28/10 on fundamentals and holds a Discounted valuation at present. Backed by its 3.86% ROE, 6.28% net margin, 26.15 P/E ratio, 4.18 P/B ratio, and -1.00% earnings growth, these metrics solidify its Outperform investment rating.