Universal Electronics (UEIC) AI Stock Analysis

• Market Cap: $43.04M
• Dividend Yield: N/A
• Average Volume (3M): 123.80K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.01
• Revenue Growth: 2.35%
• EPS Growth: 18.83%
• Country: US
• Employees: 3,838
• Sector: Technology
• Sector Strength: 88
• Industry: Hardware, Equipment & Parts
• EPS (TTM): 0.08
• Shares Outstanding: 13,366,106
• 10 Day Avg. Volume: 68,187
• 30 Day Avg. Volume: 123,799
• PEG Ratio: 0.08
• Price to Book (P/B): 0.93
• Price to Sales (P/S): 0.36
• P/FCF Ratio: 22.29
• Enterprise Value/Market Cap: 1.38
• Enterprise Value/Revenue: 0.15
• Enterprise Value/Gross Profit: 0.53
• Enterprise Value/Ebitda: 8.99
• 1Y Price Target: $3.50
• Price Target Upside: 5.74% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 1
• EPS Forecast (FY): -0.01
• Revenue Forecast (FY): $377.73M

• Rating: 48 Neutral
• Price Target: $3.00 ▼(-9.37% Downside)

Universal Electronics' overall stock score is primarily impacted by its weak financial performance and valuation metrics, reflecting ongoing operational challenges and negative profitability. Technical analysis indicates a bearish trend, further weighing on the score. While the earnings call provided some positive insights into cost reductions and growth in the connected home segment, these were overshadowed by revenue declines and margin pressures. The recent corporate event offers a slight positive outlook, but it is not enough to significantly alter the overall assessment.

Positive Factors

Connected Home Growth

The 13% growth in the connected home segment indicates successful product launches and market expansion, suggesting a strong future revenue stream.

Cost Reduction Initiatives

Effective cost reduction initiatives enhance profitability and operational efficiency, providing a stronger financial foundation for future growth.

Amended Credit Agreement

The amended credit agreement improves financial flexibility, allowing for better capital management and strategic investments over the long term.

Negative Factors

Revenue Decline

The significant decline in revenue, particularly in home entertainment, indicates challenges in maintaining market share and consumer demand.

Gross Margin Headwinds

Persistent gross margin pressures due to tariffs and other factors can erode profitability, affecting long-term financial health.

Home Entertainment Challenges

Weak demand in key markets and industry challenges suggest difficulties in sustaining growth and competitive positioning in the consumer electronics sector.

Universal Electronics Business Overview & Revenue Model

Company Description

Universal Electronics Inc. (UEIC) is a leading global provider of innovative technology solutions for the connected home. The company operates primarily in the consumer electronics sector, specializing in the design and development of remote control devices, smart home products, and software solutions that enhance user experiences across various platforms. UEIC's core offerings include universal remote controls, voice-controlled devices, and automation solutions that integrate with a wide range of entertainment systems and smart home technologies.

How the Company Makes Money

Universal Electronics generates revenue primarily through the sale of its consumer electronics products, including remote controls, smart home devices, and audio video control systems. Key revenue streams include direct sales to original equipment manufacturers (OEMs), retail partnerships, and licensing agreements for their patented technologies. The company also benefits from recurring revenue through software updates and subscription services that enhance the functionality of their products. Significant partnerships with major global brands in the entertainment and technology sectors further bolster UEIC's market position and contribute to its earnings by securing long-term contracts and collaborative product development initiatives.

Universal Electronics Financial Statement Overview

Summary

Universal Electronics faces challenges with declining revenues and profitability, as evidenced by negative margins and net losses. While leverage has improved, the company still struggles with generating positive returns on equity. Cash flow management shows signs of improvement, but overall financial health remains a concern.

Income Statement

Universal Electronics has experienced declining revenue over the past few years, with a negative revenue growth rate in the TTM period. The gross profit margin has remained relatively stable, but the net profit margin is negative, indicating ongoing losses. The EBIT and EBITDA margins are also negative, reflecting operational challenges.

Balance Sheet

The company's debt-to-equity ratio has improved in the TTM period, indicating better leverage management. However, the return on equity remains negative, suggesting that the company is not generating sufficient returns on shareholder investments. The equity ratio is stable, reflecting a balanced asset structure.

Cash Flow

Free cash flow has shown positive growth in the TTM period, and the operating cash flow to net income ratio is improving, indicating better cash management. However, the free cash flow to net income ratio suggests that cash flow generation is still not fully aligned with profitability.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	391.00M	394.88M	420.46M	542.75M	601.60M	614.68M
Gross Profit	111.72M	113.99M	97.56M	152.29M	173.02M	176.26M
EBITDA	6.62M	10.52M	-9.28M	38.58M	50.00M	67.00M
Net Income	-22.04M	-24.03M	-98.24M	407.00K	5.30M	38.57M
Balance Sheet
Total Assets	280.70M	323.35M	355.87M	504.16M	510.35M	510.29M
Cash, Cash Equivalents and Short-Term Investments	31.51M	26.78M	42.75M	66.74M	60.81M	57.15M
Total Debt	25.14M	49.74M	72.37M	108.54M	75.03M	39.77M
Total Liabilities	134.55M	170.25M	176.95M	235.76M	234.40M	196.99M
Stockholders Equity	146.15M	153.10M	178.92M	268.41M	275.95M	313.30M
Cash Flow
Free Cash Flow	27.94M	6.39M	11.31M	-9.66M	23.24M	50.16M
Operating Cash Flow	34.32M	14.82M	25.19M	10.93M	40.28M	73.39M
Investing Cash Flow	-7.44M	-8.43M	-13.88M	-21.21M	-17.04M	-23.73M
Financing Cash Flow	-22.50M	-19.76M	-34.78M	20.50M	-22.03M	-65.96M

Universal Electronics Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 3.31
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UEIC, the sentiment is Neutral. The current price of 3.31 is above the 20-day moving average (MA) of 3.14, below the 50-day MA of 3.73, and below the 200-day MA of 5.41, indicating a neutral trend. The MACD of -0.10 indicates Negative momentum. The RSI at 47.68 is Neutral, neither overbought nor oversold. The STOCH value of 71.86 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for UEIC.

Universal Electronics Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TBCH	62 Neutral	$286.00M	17.39	17.19%	―	6.43%	196.68%
Sector *	61 Neutral	$37.18B	12.37	-10.20%	1.83%	8.50%	-7.62%
SONO	59 Neutral	$2.30B	―	-15.60%	―	-4.93%	-59.17%
GPRO	50 Neutral	$303.63M	―	-91.95%	―	-27.37%	70.46%
KOSS	49 Neutral	$43.59M	-198.71	-0.69%	―	11.58%	81.08%
UEIC	48 Neutral	$43.04M	―	-14.35%	―	2.35%	18.83%
ZEPP	44 Neutral	$410.64M	―	-24.39%	―	13.27%	-66.48%

Universal Electronics Corporate Events

Universal Electronics Amends Credit Agreement with U.S. Bank

On November 17, 2025, Universal Electronics Inc. amended its credit agreement with U.S. Bank National Association, extending the term to September 30, 2027, reducing the credit limit to $60 million, and modifying financial covenants. These changes aim to enhance the company’s financial flexibility and stability, potentially impacting its operations and stakeholder relationships positively.

Universal Electronics Extends Share Repurchase Program

On November 4, 2025, Universal Electronics‘ Board of Directors authorized the continuation of a share repurchase program initially approved in October 2023. This program allows the company to repurchase up to $3.5 million worth of its common stock or 778,362 shares, whichever is less, using various methods including open-market transactions. The authorization remains effective until the Board decides otherwise or the program is fully executed, with no obligation for the company to repurchase shares, as repurchases depend on market conditions.