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Universal Electronics Inc. (UEIC)
NASDAQ:UEIC

Universal Electronics (UEIC) AI Stock Analysis

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UEIC

Universal Electronics

(NASDAQ:UEIC)

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Neutral 55 (OpenAI - 5.2)
Rating:55Neutral
Price Target:
$4.50
▲(7.14% Upside)
Action:ReiteratedDate:03/14/26
The score is held back primarily by persistent multi-year revenue decline and ongoing net losses, despite stabilization versus prior trough levels. Strengths include low leverage and generally supportive cash generation, while technicals show modest improvement without a confirmed long-term uptrend. Valuation is penalized by negative earnings, and the earnings call was mixed—cost actions and connected-home progress are positives, but near-term revenue pressure and margin headwinds remain key risks.
Positive Factors
Low leverage / stronger balance sheet
Sharp debt reduction and a very low debt-to-equity ratio materially lower financial risk and increase flexibility. Over a 2-6 month horizon this supports the company’s ability to fund product development, absorb cyclical revenue weakness, and pursue capital allocation (buybacks or targeted investments) without refinancing stress.
Negative Factors
Multi-year revenue decline
A sustained drop in revenue over multiple years undermines scale economies, reduces bargaining power with suppliers and customers, and constrains reinvestment capacity. Without a durable reversal, shrinking top-line limits margin recovery and makes long-term turnaround dependent on material share gains or new market expansion.
Read all positive and negative factors
Positive Factors
Negative Factors
Low leverage / stronger balance sheet
Sharp debt reduction and a very low debt-to-equity ratio materially lower financial risk and increase flexibility. Over a 2-6 month horizon this supports the company’s ability to fund product development, absorb cyclical revenue weakness, and pursue capital allocation (buybacks or targeted investments) without refinancing stress.
Read all positive factors

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

Universal Electronics Business Overview & Revenue Model

Company Description
Universal Electronics Inc. designs, develops, manufactures, and sells pre-programmed and universal control products, audio-video (AV) accessories, and intelligent wireless security and smart home products for video services, consumer electronics, ...
How the Company Makes Money
UEIC makes money primarily by selling control-related products and solutions to business customers in the home entertainment and smart home markets. Key revenue streams include: (1) Hardware product sales: sales of remote controls and other contro...

Universal Electronics Earnings Call Summary

Earnings Call Date:Nov 06, 2025
(Q3-2025)
|
% Change Since: |
Next Earnings Date:Apr 30, 2026
Earnings Call Sentiment Neutral
The earnings call reflected a mixed sentiment with notable achievements in connected home growth, cost reductions, and product innovations. However, these were countered by significant revenue declines, gross margin challenges, and a subdued outlook for the next quarter.
Positive Updates
Connected Home Growth
Connected home channel grew 13% to $29.8 million, driven by strong performance from new products launched earlier this year.
Negative Updates
Revenue Decline
Net sales were $90.6 million, down 11% from the prior year period, with home entertainment sales declining 20%.
Read all updates
Q3-2025 Updates
Negative
Connected Home Growth
Connected home channel grew 13% to $29.8 million, driven by strong performance from new products launched earlier this year.
Read all positive updates
Company Guidance
During the third quarter of 2025, Universal Electronics reported revenue of $90.6 million, a decrease from the prior year due to temporary and structural market factors, facing challenges in home entertainment markets, particularly in Latin America and Europe. Despite these headwinds, the connected home channel saw a 13% revenue growth, driven by new product launches and expanded scale with existing customers. The company's gross margin stood at 29.1%, with earnings per share (EPS) within the guidance range at $0.08. Net cash increased by $9.1 million, reflecting disciplined execution amidst a challenging environment. Universal Electronics is focused on diversifying into adjacent markets like utilities and multi-dwelling unit property management and expects full-year growth for the connected home segment. The company also projects annualized cost savings of approximately $5 million starting in the fourth quarter, following strategic cost reductions and facility closures. For the fourth quarter, they anticipate net sales between $82 million and $92 million, with an expected year-over-year revenue decline but an overall profitable year, marking the first since 2022.

Universal Electronics Financial Statement Overview

Summary
Fundamentals are mixed. Revenue shows a multi-year decline and the company is still loss-making (latest net margin ~-5%), which drags the score. Offsetting this, leverage is very low after meaningful debt reduction and operating cash flow remains positive with solid 2025 free cash flow (~$23.6M), supporting liquidity.
Income Statement
32
Negative
Balance Sheet
64
Positive
Cash Flow
58
Neutral
BreakdownDec 2025Dec 2024Dec 2023Dec 2022Dec 2021
Income Statement
Total Revenue368.29M394.88M420.46M542.75M601.60M
Gross Profit103.25M113.99M97.56M152.29M173.02M
EBITDA14.11M10.52M-9.28M38.58M50.00M
Net Income-18.60M-24.03M-98.24M407.00K5.30M
Balance Sheet
Total Assets274.00M323.35M355.87M504.16M510.35M
Cash, Cash Equivalents and Short-Term Investments32.31M26.78M42.75M66.74M60.81M
Total Debt33.48M49.74M72.37M108.54M75.03M
Total Liabilities127.81M170.25M176.95M235.76M234.40M
Stockholders Equity146.18M153.10M178.92M268.41M275.95M
Cash Flow
Free Cash Flow19.75M6.39M11.31M-9.66M23.24M
Operating Cash Flow23.63M14.82M25.19M10.93M40.28M
Investing Cash Flow-6.75M-8.43M-13.88M-21.21M-17.04M
Financing Cash Flow-16.66M-19.76M-34.78M20.50M-22.03M

Universal Electronics Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price4.20
Price Trends
50DMA
4.03
Positive
100DMA
3.66
Positive
200DMA
4.51
Negative
Market Momentum
MACD
0.08
Positive
RSI
51.06
Neutral
STOCH
10.17
Positive
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 4.2 is above the 20-day moving average (MA) of 4.07, above the 50-day MA of 4.03, and below the 200-day MA of 4.51, indicating a neutral trend. The MACD of 0.08 indicates Positive momentum. The RSI at 51.06 is Neutral, neither overbought nor oversold. The STOCH value of 10.17 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral 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
64
Neutral
$198.74M18.0713.20%6.43%196.68%
61
Neutral
$37.18B12.37-10.20%1.83%8.50%-7.62%
57
Neutral
$1.62B5.81-4.45%-4.93%-59.17%
55
Neutral
$53.00M-2.56-12.50%2.35%18.83%
50
Neutral
$33.89M-17.32-2.85%11.58%81.08%
48
Neutral
$171.70M-0.67-17.94%13.27%-66.48%
46
Neutral
$128.44M-2.39-102.47%-27.37%70.46%
* Technology Sector Average
Performance Comparison
Ticker
Company Name
Price
Change
% Change
UEIC
Universal Electronics
4.12
-2.32
-36.02%
GPRO
GoPro
0.77
0.15
23.60%
KOSS
Koss
3.58
-1.15
-24.31%
TBCH
Turtle Beach
10.14
-4.92
-32.67%
ZEPP
Zepp Health
11.95
8.87
287.99%
SONO
Sonos
13.40
2.63
24.42%

Universal Electronics Corporate Events

Business Operations and StrategyStock BuybackFinancial DisclosuresRegulatory Filings and Compliance
Universal Electronics Highlights 2025 Results Amid Ongoing Challenges
Positive
Mar 12, 2026
On March 11, 2026, Universal Electronics amended its long‑standing credit agreement, doubling the cap on restricted payments to $8 million, a move that provides greater balance sheet flexibility for capital allocation. The same day, the boar...
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: Mar 14, 2026