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Universal Electronics Inc. (UEIC)
NASDAQ:UEIC
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Universal Electronics (UEIC) AI Stock Analysis

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UEIC

Universal Electronics

(NASDAQ:UEIC)

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Neutral 51 (OpenAI - 5.2)
Rating:51Neutral
Price Target:
$4.50
▲(7.14% Upside)
Action:Reiterated
Date:06/23/26
UEIC scores below average primarily due to persistent revenue decline and continued losses, which outweigh improving balance-sheet leverage and positive (but recently weaker) free cash flow. Guidance and cost actions provide some upside if execution holds, while technicals are broadly neutral and valuation is constrained by negative earnings and no dividend.
Positive Factors
Improving Leverage
materially lower leverage increases financial flexibility and reduces interest burden, giving the company room to fund restructuring, R&D prioritization, or absorb slower revenue without immediate liquidity stress. This durable improvement supports multi‑quarter execution of strategic plans and reduces refinancing risk.
Negative Factors
Multi-Year Revenue Decline
Persistent top‑line decline erodes scale, reduces bargaining power with suppliers, and impairs fixed‑cost absorption. Over the medium term this constrains margin recovery and ROE, limits reinvestment capacity, and makes growth-dependent restructuring less effective unless demand or design‑win trends reverse.
Read all positive and negative factors
Positive Factors
Negative Factors
Improving Leverage
materially lower leverage increases financial flexibility and reduces interest burden, giving the company room to fund restructuring, R&D prioritization, or absorb slower revenue without immediate liquidity stress. This durable improvement supports multi‑quarter execution of strategic plans and reduces refinancing risk.
Read all positive factors

Universal Electronics Key Performance Indicators (KPIs)

Any
Any
Revenue by Geography
Revenue by Geography
Breaks down sales across regions (e.g., North America, EMEA, APAC) to reveal geographic concentration and exposure to regional demand cycles, currency swings, and supply‑chain risks. For a company selling devices and control software worldwide, a balanced geographic mix points to broader market resilience, while heavy reliance on one region can magnify local downturns or regulatory risks.
Chart InsightsRevenue is increasingly driven by episodic recoveries in the U.S. and Europe—notably a sharp Q4 2024 rebound—while China shows a steady, structural decline through 2025. That divergence implies the company’s topline is being propped up by timing/seasonal orders in developed markets rather than broad, sustainable share gains; Asia ex-China offers intermittent upside but is uneven. For investors, the key risk is whether the U.S./Europe momentum repeats or merely reflects order timing, and whether management can arrest China weakness or diversify growth sources to make revenue improvements stick.
Data provided by:The Fly

Universal Electronics (UEIC) vs. SPDR S&P 500 ETF (SPY)

Universal Electronics Business Overview & Revenue Model

Company Description
Universal Electronics Inc. (UEIC) specializes in designing, developing, manufacturing, and supplying a comprehensive suite of control, audio-video (AV) accessories, and intelligent wireless security and smart home products. Their solutions cater t...
How the Company Makes Money
UEIC primarily makes money by selling control and related connected-device solutions to OEMs, service providers, and retailers, generating revenue from both physical products and supporting software/technology components. Key revenue streams inclu...

Universal Electronics Earnings Call Summary

Earnings Call Date:May 11, 2026
(Q1-2026)
|
% Change Since: |
Next Earnings Date:Jul 30, 2026
Earnings Call Sentiment Neutral
The call balances clear near-term challenges—most notably a meaningful revenue decline (−14.4% YoY), continued operating losses, margin pressure from mix, tariffs and commodity costs, and market headwinds in Europe and set-top boxes—with concrete early execution successes including $5.3M of operating expense reductions, a $9.8M inventory reduction, improved adjusted non-GAAP net loss and per-share metrics, and reaffirmed FY26 adjusted EPS guidance ($0.45–$0.65). Management’s focus is on cost alignment, R&D prioritization, working capital discipline and preserving customer relationships while acknowledging slower-than-expected demand recovery.
Positive Updates
Revenue and Segment Detail Provided
Total revenue of $79.0M for Q1 FY2026 (down 14.4% YoY from $92.3M). Management provided segment breakdown: Connected Home net sales $28.3M (down ~10.7% YoY from $31.7M) and Home Entertainment net sales $50.7M (down ~16.3% YoY from $60.6M), improving transparency into drivers of the top-line decline.
Negative Updates
Significant Top-Line Decline
Total revenue decreased 14.4% YoY to $79.0M, with both end markets contributing to the decline (Connected Home down ~10.7%, Home Entertainment down ~16.3%), reflecting secular pressures and delayed deployments.
Read all updates
Q1-2026 Updates
Negative
Revenue and Segment Detail Provided
Total revenue of $79.0M for Q1 FY2026 (down 14.4% YoY from $92.3M). Management provided segment breakdown: Connected Home net sales $28.3M (down ~10.7% YoY from $31.7M) and Home Entertainment net sales $50.7M (down ~16.3% YoY from $60.6M), improving transparency into drivers of the top-line decline.
Read all positive updates
Company Guidance
The company reaffirmed its FY2026 framework and expects revenue to decline year‑over‑year while delivering adjusted non‑GAAP diluted EPS of $0.45–$0.65 (vs. $0.31 in FY2025), with that outlook grounded in execution—cost alignment, portfolio focus, and working capital discipline—rather than a near‑term demand rebound. In Q1, revenue was $79.0M (down 14.4% YoY from $92.3M) with connected home sales of $28.3M (vs. $31.7M) and home entertainment sales of $50.7M (vs. $60.6M); adjusted non‑GAAP gross profit was $20.6M (26.1% of sales, down from 28.3%), with a 1.7‑point unfavorable product‑mix impact, GAAP operating loss of $3.9M (adjusted non‑GAAP operating loss $1.6M), adjusted non‑GAAP net loss of $1.3M or $0.10 per share (vs. $1.5M, $0.12), cash of $29.8M, operating cash flow down $0.8M, inventories reduced by $9.8M, A/R and contract assets down ~$0.8M sequentially, operating expenses down $5.3M YoY (R&D $5.4M vs. $7.2M, SG&A down $3.5M), expected ~ $5M of annualized labor cost savings and approximately $1.3M of one‑time severance.

Universal Electronics Financial Statement Overview

Summary
Financials are mixed: revenue is in a multi-year decline and profitability remains negative (net margin about -5% to -6%, EBIT negative in TTM). Offsetting this, leverage has improved materially (debt-to-equity ~0.24) and cash generation is positive (TTM operating cash flow ~$13.9M; free cash flow ~$8.5M), though free cash flow fell sharply versus 2025 and durability is a concern.
Income Statement
34
Negative
Balance Sheet
63
Positive
Cash Flow
55
Neutral
BreakdownTTMDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue355.00M368.29M394.88M420.46M542.75M601.60M
Gross Profit96.55M103.25M113.99M97.56M152.29M173.02M
EBITDA2.23M3.16M10.52M-9.28M35.43M42.83M
Net Income-19.66M-18.60M-24.03M-98.24M407.00K5.30M
Balance Sheet
Total Assets255.14M274.00M323.35M355.87M504.16M510.35M
Cash, Cash Equivalents and Short-Term Investments29.83M32.31M26.78M42.75M66.74M60.81M
Total Debt33.25M33.48M49.74M72.37M108.54M75.03M
Total Liabilities115.82M127.81M170.25M176.95M235.76M234.40M
Stockholders Equity139.32M146.18M153.10M178.92M268.41M275.95M
Cash Flow
Free Cash Flow7.62M19.75M6.39M11.31M-9.66M23.24M
Operating Cash Flow13.86M23.63M14.82M25.19M10.93M40.28M
Investing Cash Flow-6.01M-6.75M-8.43M-13.88M-21.21M-17.04M
Financing Cash Flow-11.38M-16.66M-19.76M-34.78M20.50M-22.03M

Universal Electronics Technical Analysis

Technical Analysis Sentiment
Positive
Last Price4.20
Price Trends
50DMA
4.20
Positive
100DMA
4.16
Positive
200DMA
3.97
Positive
Market Momentum
MACD
0.18
Negative
RSI
65.74
Neutral
STOCH
69.22
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UEIC, the sentiment is Positive. The current price of 4.2 is below the 20-day moving average (MA) of 4.37, below the 50-day MA of 4.20, and above the 200-day MA of 3.97, indicating a bullish trend. The MACD of 0.18 indicates Negative momentum. The RSI at 65.74 is Neutral, neither overbought nor oversold. The STOCH value of 69.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UEIC.

Universal Electronics Risk Analysis

Universal Electronics disclosed 49 risk factors in its most recent earnings report. Universal Electronics reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks

Universal Electronics Peers Comparison

Overall Rating
UnderperformOutperform
Sector (61)
Financial Indicators
Name
Overall Rating
Market Cap
P/E Ratio
ROE
Dividend Yield
Revenue Growth
EPS Growth
62
Neutral
$1.68B70.855.99%-0.22%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
60
Neutral
$257.02M296.671.02%-21.70%-93.37%
51
Neutral
$58.98M-3.10-13.45%-10.20%9.43%
48
Neutral
$36.64M-33.42-3.62%3.28%-44.36%
43
Neutral
$78.98M-0.16-18.46%50.67%49.50%
40
Underperform
$133.48M-0.97-201.66%-21.02%12.80%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
UEIC
Universal Electronics
4.66
-2.19
-31.97%
GPRO
GoPro
0.76
-0.06
-7.07%
KOSS
Koss
3.95
-1.16
-22.70%
TBCH
Turtle Beach
12.84
-0.38
-2.87%
ZEPP
Zepp Health
5.34
-4.23
-44.20%
SONO
Sonos
14.50
3.80
35.51%

Universal Electronics Corporate Events

Business Operations and StrategyPrivate Placements and Financing
Universal Electronics Monetizes Tariff Claims via Claim Sale
Positive
Jun 22, 2026
On June 17, 2026, Universal Electronics Inc. received approximately $7.6 million from a third-party financial institution under a Claim Sale and Purchase Agreement covering tariff-related claims against U.S. Customs and Border Protection. The comp...
Business Operations and StrategyExecutive/Board ChangesShareholder Meetings
Universal Electronics Shareholders Approve Governance and Compensation Changes
Positive
May 21, 2026
At its annual meeting of stockholders held on May 19, 2026, Universal Electronics Inc. shareholders elected five Class II directors to the board, while simultaneously approving a charter amendment to declassify the board so that all directors will...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: Jun 23, 2026